- Under the proposals if the worker accepts the deal it will become legally protected so it cannot be used later as evidence in any court case or tribunal.
- Officials insist the move is fair to employees as they are not obliged to take the package and also incentivises bosses to offer a good package, which can include a binding promise of a favourable reference.
- Mr Cable will also consult on plans to change the limit on unfair dismissal payouts to a maximum of 12 months' salary or set it at an even lower figure.
- He wants to reduce the current £72,300 cap significantly in the hope of encouraging small businesses to start hiring more staff.
More top news
Britain's broken social care system is leaving pensioners to provide free care for disabled loved ones.
More than 70 firefighters were called to the blaze in the early hours of Friday morning.
UK consumers are willing to pay for more environmentally friendly packaging, but many remain confused as to which items can be recycled.