Soul means being alive. Anything living thus has it.
Free will was granted to Eve and Adam by the Serpent, not Yahweh. Christians call that original sin.
Because animals did not disobey by partaking of the fruit of the tree, and do not sin for pleasure and gain like humans do despite an endless parade of religions and Gods commanding them not to, they won't share this grace, but condemned humans cast out of Paradise for it will? How nice.