Regulating Flexible Work Arrangements through Employment Contracts and Maqasid al-Shari’ah: A Comparative Study of Malaysia, Indonesia, and the UAE

Kamal Halili bin Hassan, Nazruzila Razniza Nadzri, Budi Santoso

Abstract

Flexible Working Arrangements are a salient part of contemporary employment relations, but their legal regulation varies throughout Muslim-majority states. Existing scholarship has explored FWAs from regulatory, contractual and employee-welfare perspectives, and their normative evaluation through Maqasid al-Shari’ah has, for the most part, evolved separately. This study compares FWA regulation in Malaysia, Indonesia, and the UAE and assesses how these frameworks accommodate mutual trust and confidence, managerial prerogative, employee autonomy, and Maqasid al-Shari’ah objectives. The study employs a comparative doctrinal method, using empirical findings from Malaysia, to evaluate legislation, regulatory tools, policy documents and employment practices. The findings reveal three regulatory patterns: Malaysia provides a procedural right to request FWAs with transparency and justification requirements; Indonesia relies largely on contractual arrangements, workplace policies, and managerial discretion; while the UAE formally recognises flexible work but retains substantial employer control. Despite these differences, the three frameworks demonstrate varying degrees of compatibility with mutual trust and confidence and Maqasid objectives concerning welfare, intellect, wealth, and human dignity. The study develops an integrated normative framework linking employment contract theory and Maqasid al-Shari’ah, demonstrating that effective FWA regulation requires not only legal recognition but also procedural fairness, reciprocal trust, and appropriate constraints on managerial discretion

Keywords

Contract of employment; Flexible working arrangements (FWAs); Maqasid al-Shari’ah

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