The purpose of this research is to analyze the development strategy of As’adiyah Islamic Boarding School business unit in Sengkang to increase employee income from a sharia economic perspective. This study used a qualitative approach with a case study design on As’adiyah Islamic Boarding School business unit. Research informants are selected using a purposive sampling technique, consisting of busines managers, employees and students who were consedered to understand the management and impact of the business unit on increasing employee income. The result showed that the development of the Islamic Boarding School business unit had a positive impact on increasing employeee income through job creation, providing more stable wages or incentives therebt encouraging the achievement of employee ecomomic welfare. Supporting factors included strategic location and high market potential, while inhibiting factors included limited human resources and business cimpetition. The develpment strategy of the Islamic boarding school business unit based on sharia economic principles was realiazed though the provision of halal products and services, the implementation of justice in employee wages, trustworthy and transparent business manajement and strengthening ta’awun-based business partnerships so as to improve the welfare of the Islamic boarding school business unit’s employees
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