From RMT General Secretary Bob Crow

The House of Lords has voted to remove Clause 27 of the Growth and Infrastructure Bill, which would legislate to allow employers to offer shares in their organisation to workers in return for the right to claim unfair dismissal, to be paid a redundancy settlement and to request flexible working and training.

On 20 March 2013), the proposals were debated by peers in the Bill's third day of Report Stage, and received criticism not only from Labour lords, but from all sides of the House.

Amendment 50 to leave out Clause 27 of the Bill was moved by Lord Pannick (Liberal Democrats) who gave four main criticisms of the policy: That it unfairly weakens workers' rights, that jobseekers can be refused a job on the basis they refuse to forsake their rights for shares, that it will "negate trust" between employers and employees, and that workers would not receive independent legal advice to help them understand the impact on them of giving up their rights.

This Union and the Institute of Employment Rights has emphasised the dangers of Clause 27 since it was announced by George Osborne last autumn. It was quickly slotted into the Growth and Infrastructure Bill after a rushed three-week consultation, in which 92% of a total 209 responders opposed the idea. Critics were not limited to Unions and those campaigning for workers' rights, but also from business associations, which warned that only rogue employers would see a use for "employee-ownership" of this kind. Other criticisms have included the tax loopholes the legislation could throw up, which would allow further immoral corporate behaviour of the kind frequently splashed across the tabloids in the past year.

While it is of course great news that the Lords has sided with the rights of workers on this proposal, this will not be the end of ConDem policies designed to disintegrate employment rights.

The 'rights for sale' was always a crazy idea, and one this Union was keen to see kicked into the long grass. But the Governments ideas are often resurrected by this ideologically driven government so we need to remain ever vigilant."