Employer prerogative from a labour law perspective

Abstract

In the sphere of labour and employment, "prerogative" is usually taken to refer to the "right to manage" an organisation. The right can be divided into those decisions which relate to the utilisation of the human resources of the organisation and decisions of an "economic" or "business" nature. This thesis focuses on the first category of decisionmaking. It is generally accepted by employers and trade unions that employers have the right to manage employees. The legal basis for this right is to be found in the contract of employment which has as one of its elements the subordination of the employee to the authority of the employer. This element affords the employer the legal right to give instructions and creates the legal duty for the employee to obey these instructions. Employers' right to manage is, however, neither fixed nor static. The main purpose of this thesis is to determine the extent of employers' right to manage employees. This is done by examining the restrictions imposed by the law {ie common law and legislation) and collective bargaining. The examination is accordingly focussed on what is Jett of employer prerogative. A number of conclusions are drawn from the examination. One of the most important conclusions reached is that, although most of an employer's common law decisionmaking powers have been statutorily regulated, none have been rescinded. The employer has accordingly retained its decision-making power, albeit in a more restricted or limited form. This makes further restriction of its decision-making power through contractual or statutory provisions or collective bargaining possible. It, however, also makes the lessening or even the total removal of these restrictions through future statutory provisions or collective bargaining possible.