The TUC has this weekend stepped up its attack on failed bosses who land big pay offs.

Union chiefs called for a change in the law to limit directors' notice periods - with the introduction of a statutory upper limit of six months.

Severance packages should contain no elements of performance related pay or bonuses, the TUC argued.

In addition the unions called for shareholders to be give new powers to set bosses' pay.

"The TUC believes that corporate Britain has had long enough to get its house in order, and says that voluntary codes of conduct have not altered bosses behaviour, leaving the government with no choice but to legislate against corporate excess," said a spokesman.

The demands come in the unions' submission to the government's consultation on executive pay.

The document, entitled "Rewards for failure", says the pay packages which were disputed at annual general meetings this year could become "a thing of the past" if the government takes action to curb excess.

TUC chief Brendan Barber said: "Good practice guidelines alone have failed to rein in executive excess.

"Corporate Britain has shown itself incapable of self-regulation and with each gigantic golden handshake, the divide between director and worker pay grows ever wider.

"The time has come for a change in the law, nothing less is going to pull the plug on Britain's greedy bosses."