Is it permissible to leave work and resign without paying the penalty clause mentioned in the contract, knowing that the employee is psychologically unable to continue and believes that remaining would lead to negligence and consuming ill-gotten gains?

The contract between you and the company is a binding lease agreement for both parties, and you are not permitted to abandon it merely because you dislike the company's management. The penalty clause for the execution of work is binding on the employee unless there is a legitimate excuse beyond their control, or if the company incurs no damage from the breach of contract.

The Council of the Senior Scholars unanimously resolved that a penalty clause is valid and must be upheld unless there is a legitimate Sharia-compliant excuse that negates it. If the penalty clause is excessive, it must be adjusted to fairness and equity according to the lost benefit or incurred damage.

As for the Islamic Fiqh Academy, it ruled that a penalty clause should not be enforced if the obligated party proves that their breach was due to circumstances beyond their control, or if they prove that the other party incurred no damage.

Therefore, we advise you to be patient with the work until the contract term expires and to perform your duties to the best of your ability.