Ministers, businesses and union leaders have reached agreement on the implementation of a European Union directive on informing and consulting employees.

Under the changes, workers will be able to request information and consultation arrangements with company bosses with a petition from 10 per cent of the total workforce, after which a period of time will be allowed for reaching new agreements.

Where arrangements are already in place, the workforce will have to be balloted, with at least 40 per cent needing to back any changes.

But companies that fail to consult employees could face fines of up to £75,000.

"I want these changes to lead to a 'no surprises' culture at work where employers and employees discuss common ground and find solutions to mutual problems," said trade secretary Patricia Hewitt.

"We have reached this agreement with the CBI and TUC through constructive dialogue and discussion. It's exactly the spirit in which we want new rules on information and consultation to operate in workplaces across Britain."