Corporate social responsibility disclosure index of Malaysian Shariah – compliant companies

Abstract

PurposeThe purpose of this paper is to examine the extent of Maqasid Al-Shariah corporate social responsibility (CSR) disclosure of public listed companies of Shariah-compliant companies in Malaysia.Design/methodology/approachContent analysis was used to construct the Maqasid Al-Shariah CSR disclosure index. Furthermore, the study used a checklist that covered four themes of CSR, namely environment, community involvement, human resource and product, and five elements of Maqasid Al-Shariah, namely, faith, human self, intellect, posterity and wealth.FindingsThe findings of the study show that the level of Maqasid Al-Shariah CSR disclosure index is generally low. The study found that Shariah-compliant companies revealed more community-related theme and an intellect element in their annual reports for the year of the survey.Originality/valueThis paper is one of few papers that has developed the Maqasid Al-Shariah CSR disclosure index that used the aforementioned four themes of CSR and five Maqasid Al-Shariah elements.