Therefore it is quite practical to have a collective bargaining agreement in place so that the force and strength of the union can be exploited to receive the greatest benefits. .
Management rights refer to the process of working with people and resources to accomplish organizational goals by making the best possible use of money, time, materials and people. The management process, when properly executed, involves a wide variety of activities including planning, organizing, directing and controlling. It is management's role to perform all of these functions in order to maximize results. Management maintains the right to direct all business activities. In order to retain as much authority as possible in the direction of the workplace, management usually seeks to include certain provisions in collective bargaining agreements. Management has no rights over individual people within the organization, but does maintain rights to property, which are real and legally enforceable. Management has sole discretion and flexibility in deployment and discipline issues and maintains the right to assign measures to people within the company, as it deems appropriate, as long as the language of the agreement does not explicitly limit the action. .
A typical management rights clause reads as follows: "The company retains the exclusive right and responsibility to manage the business and plants and to direct the working forces subject to the provisions of this agreement, including the right to hire, suspend, or discharge for proper cause or transfer, and the right to relieve employees from duty because of lack of work or for other legitimate reasons." The effect of the management clause may be limited, in as much as, the company has a legal duty to bargain about many matters and may be required to do so, regardless of the employer rights clause in the agreement. Union security clauses address the status of employee membership in the union and attempt to ensure that the union has continuous strength.