Managerial prerogative

Managerial Prerogatives are considered natural rights that allow employers to manage their employees. They are the discretionary powers left at any moment in the hands of managers. Every act which a manager or his subordinates can lawfully do, without the consent of the worker organization, is done by virtue of this prerogative. Consequently, employee’s are unable to negotiate with them on terms and conditions.For this reason Trade Unions work to aid employees as well as control and regulate these prerogatives. Managerial prerogatives give managers the power to control the direction in which their businesses are heading. Employees do not have this power. Managers of various types of businesses practice their managerial rights.

Essentially, it is an area of managerial decision-making where managers believe they have exclusive rights to make decisions, and therefore resist any interference with that control. These decisions include the employer’s right to hire, dismiss, promote, and demote employees as they see fit. This gives employers freedom to run their own business. However, governmental laws surrounding business ethics state that employers are expected to have sound judgment when practicing these rights. Managerial prerogatives have been one of the most divisive factors between labor and management, due to the managed workers making an effort to challenge the authority of the manager, and the manager attempts to maintain control.In the context of most modern employment relationships, there are large, hierarchical, and complex organizations where an element of subordination and discipline exists.

The manager's right to manage is the legitimation in capitalism, or other industrial societies, of the disciplinary powers that managers claim over workers. It is fundamentally related to the property rights of the person claiming to own particular means and tools of production, and their agents to act on their behalf, in directing wage labourers to perform duties. Closely related to the relationship in industrial law, the manager's right to manage is often contested by day to day industrial resistance, or organised bodies of workers, such as revolutionary industrial unions.

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