A NEW government policy will erode workers’ rights in exchange for being offered shares in a company, a Bolton MP has claimed.

Labour MP Julie Hilling claims under new employment status, staff will lose protection against unfair dismissal, the right to request flexible working and time for training, statutory redundancy pay and will have to give a longer notice period when returning from maternity or adoption leave.

Despite claiming the scheme will be “voluntary”, she says it is still unclear whether posts will be advertised as being available only under the new status, and says it raises fears unemployed people could be forced to take a job which sees them lose rights at work or stand to lose Jobseekers Allowance.

The government said the new employment contract will be introduced in April and added the move would give staff “a stake in their firms’ future success” and give companies “greater choice” about the contracts they can offer.

Ms Hilling, who voted against the policy in the Commons, said: “The consequences of this are very serious.

“Slashing people’s rights at work is wrong and will donothing to help jobs and growth.”