The Trades Union Congress said the Government is "desperately short on solutions" when it comes to the use of zero hours contracts.
The growth of zero hours contracts is one of the reasons why so many hard-working people are fearful for their jobs and struggling to make ends meet, in spite of the recovery.
But while the Government has identified some of the problems faced by those with zero job security, it's desperately short on solutions to curb the use of these contracts.
Through the consultation, the TUC and unions will propose tougher action in order to tackle abuse of zero hours contracts, which can leave people not knowing how much they'll be earning from one week to the next.
Zero hours contracts can be "beneficial for students, older workers or with caring duties" according to a business chief.
John Wastnage, head of employment at the British Chambers of Commerce, welcomed Vince Cable's consultation into zero hours contracts but warned against demonising the controversial business practice.
We welcome the Government's consultation as an opportunity to ensure best practice, but without jeopardising employment opportunities.
Much of the negativity surrounding zero hours contracts misunderstands the vital role they can play in creating jobs.
For example, they can be beneficial for students, older workers or those with caring duties who don't want to be constrained by a fixed contract, and they allow employers to experiment with new services or markets.
Business Secretary Vince Cable has ruled out a ban on "flexible" zero hours contracts but said that there may be a ban on exclusivity clauses that prevent employees from working elsewhere.
The controversial business practice, where people are not guaranteed any working hours, will be put under the microscope by the business secretary in a 12-week consultation.
Mr Cable said: "A growing number of employers and individuals today are using zero hour contracts.
"While for many people they offer a welcome flexibility to accommodate childcare or top up monthly earnings, for others it is clear that there has been evidence of abuse around this type of employment which can offer limited employment rights and job security.
"We believe they have a place in today's labour market and are not proposing to ban them outright, but we also want to make sure that people are getting a fair deal."
A study of zero hours contracts by Unite the Union has found that those working on such conditions earn an average of £500 a month. A survey of 5,000 members found that the vast majority of people working such contracts did not want to continue on such terms. The study found:
More than one in five were on zero hours contracts
Workers on Zero hours contracts reported earning an average of £500 a month
Under-30s more likely to be on zero hours contracts - 50% of those who Unite spoke to were between 16-30
A third of respondents said they did not get holiday pay
77% of respondents said they did not get any sick pay
Only one in seven said they wanted to stay on zero hours contracts
There is a "danger" controversial zero-hours contracts, which do not guarantee the employee any hours of paid work, become "the norm", said Shadow Business Secretary, Chuka Umunna.
New evidence highlights that there could be hundreds of thousands more people on zero-hours contracts than previously thought...Flexibility works for some, but the danger today is that too often insecurity at work becomes the norm.
The huge spike in the use of zero-hours contracts has brought increased reports of abuses and bad practice. There should be zero tolerance of such abuse.
That is why Labour has convened this important summit bringing together representatives of employers and employers to consider what action must be taken.