Sharia Profit Sharing and Employee Welfare at Warung Nasi Alam Sunda: Ibn Rushd's Perspective

Abstract

Purpose: This study aims to analyze the implementation of the sharia profit-sharing system at Warung Nasi Alam Sunda, assess its compliance with the principles of sharia compliance and distributive justice from Ibn Rushd's perspective, and evaluate its implications for employee welfare. Method: The study used a qualitative approach with a case study design combined with normative and empirical Islamic economic analysis. Data were collected through in-depth interviews with business owners and employees, direct observation of operational practices, and documentation of business revenue distribution. Findings: The results show that the profit sharing mechanism is implemented through a transparent percentage system based on mutual agreement, thus reflecting the principles of justice, proportionality, and willingness in accordance with sharia compliance. From Ibn Rushd's perspective, this practice demonstrates distributive justice through a balance between work contributions and rewards received, protection of workers' rights, and the absence of exploitation. The profit sharing system also has a positive impact on employee welfare, including increased income stability, job satisfaction, and a sense of ownership of the business. Implications: This study emphasizes the importance of implementing a sharia-based profit sharing model in the micro business sector to improve worker welfare while maintaining ethical economic practices. Theoretically, this research contributes to contextualizing Ibn Rushd's notion of justice within the labor economics of Sharia-based micro enterprises.