Sure, it was all well and good for Genghis Khan, but when we discuss the modern employer/employee, the loyalty expected is a bit one-sided. The employee is supposed to work as much overtime as the company wants, yet the company can fire/lay off the employee with nary a warning. Where's the loyalty in that?
I agree completely, but I don't think that that loyalty can or should come from legislation. It's got to come from the culture of the company, perhaps with contracts to back it up.
I think these days, most people of my generation don't really think much of the idea of loyalty from or too a company, which, for some people, careers, and companies, is probably damaging in the long run.