Your father obviously understands Franklin's quote about just that trade: You are only getting an empty promise for sacrificing your liberty. Why would the state live up to it's promise? You gave away the means to enforce the deal.
I view it a little differently from a government point of view, of course there would need to be strictly enforcible regulations on what a person can be compelled to do and what they cannot, fundamental human rights would remain intact obviously. However since a person who would be offering you a way out has an incentive for you to live a productive and healthy life via equity ownership it would be a similar endevor of a small business owner exchanging 75% stake ownership in his company to a venture capitalist, not every person would be considered investable, because VCs want a return on their investment of course. Both parties have incentives for the person in bondage to reach his full potential.