Equality is very crucial in ensuring a better working relationship between the employers and employees as well as enhancing the organizational performance. The negative effect of discrimination has crippled the development of many organizations especially in the developing countries. This study aims to determine the effect of inequality on organizational performance from Islamic point of view. Sample of this study comprises of senior and junior staff of Usmanu Danfodiyo University Teaching Hospital Sokoto, Nigeria. Survey questionnaire was administered to 350 employees through simple random sampling and only 201 were used for the analysis. Smart PLS 3 version was used for the analysis. The study found that there is significant relationship between equality and organizational performance. The study also established that equal treatment of employees by the managers increases the performance of the organization while injustice and discrimination negatively affects it. This research is intended to benefit the managers in ensuring equal treatment is given to all employees for the betterment of organizational performance. This research is significant as it complement the existing literature on Islamic approach linking equality to organizational performance. While this paper sets the stage, there is however, the need for future research.
