Assalamu’alaykum
I have a query re an element within the Royal Mail Pension. 2 of the 3 elements are clearly defined benefit schemes (based on years of service and final salary), however, the 3rd element is noted as defined benefit cash scheme.
Looking into the scheme, it effectively operates similarly to a defined contribution scheme where both parties put into a fund.
The key differences are:
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that the pot value is guaranteed to be at least the amount of the monies deposited by both parties when it is released; and
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the employee does not have control as to how the monies are invested eg picking the fund (this would make sense since the company is taking the risk of guaranteeing the value).
In this scenario, where it appears to be somewhat of a hybrid, would this pension be zakat liable?
My inclination is yes but unsure due to not having control as to how the monies are invested.