Managerial prerogatives are also referred to as the functions and rights of management, is considered as the discretion of the employer or manager on how to manage its business, not bound by collective bargaining. It is a term that easily leads to widespread misunderstanding. Different circles have different interpretations of this term. When it is used in the trade unions circles, is perceived as a user's support for unilateral management power and can cause protests.When used by the management circle, It is considered as exclusive right and control right without interference. Managerial prerogatives give employers or managers the power to control the direction in which their businesses are heading. Employees basically do not have this power.