Managerial prerogatives, employee expectations, and property rights in job security: Institutionalizing the “new equity”

Changes in the structure and provisions of the employment relationship create substantial challenges for the management community. The employer-manager's traditional prerogatives to terminate at will are being eroded in response to changing socioeconomic values that recognize the emergence of an employee's reasonable expectations of job security. The United States lags far behind the international community in protecting these expectations. The authors survey the erosion of the employment-at-will doctrine, and review the concepts of corporate due process and property rights relating to employment. To ensure the institutionalization of this “new equity,” the authors call on the management community to take the initiative in crafting progressive legislation that strikes a sensible balance between managerial prerogatives and employee expectations of job security.