An Islamic perspective on CSR-workplace-employee practice in Islamic banks

This study seeks to investigate specific CSR practices i.e. dimension of workplace from an Islamic perspective. Three major principles in Islam, which include vicegerent (khalifah), divine accountability, and obligation to enjoin good and forbid evil guide the understanding about the responsibilities of business organizations to their employees. Using content analysis, annual reports (2007-2011) of six full-fledged Islamic banks in Malaysia and Indonesia have been analysed. The data has been collected based on the AAOIFI's (2005) guidelines and disclosure index of some prevailing literature. Generally, the Malaysian banks disclosed more information, but the trend in both countries is rather similar. Generally, all banks have treated their employees justly in creating a positive workplace environment hence comply with the Islamic laws and principles.