P&O Ferries boss apologises to workers as MPs investigate job losses

Peter Hebblethwaite said sorry to those who lost their jobs last week

Author: Rory GannonPublished 24th Mar 2022

The boss of P&O Ferries has issued an apology to the 800 staff members and their families after being made redundant over Zoom.

At an inquiry by MPs, Peter Hebblethwaite, CEO of the company, said he wanted to say sorry to not just those who lost their jobs, but also those that remained and had to "face very difficult questions".

"You may see this as a late apology and I just want to reassure you the reason that you're hearing this for the first time today is because I've spent the last week in the business, talking to our people one to one," he said.

The ferry company, which has been in operation since 1884, made the decision to sack 800 staff with immediate effect on March 17th, with the staff due to be replaced by foreign agency workers.

Part of the decision to recruit the workers was the reduction in wage pay - with some workers earning as little as £5.15 an hour.

However, during the interrogation, Mr Hebblethwaite said that the company did not seek to consult its staff before making the decision, which contravenes UK law.

Speaking at Prime Minister's Questions on Wednesday (March 23rd), Boris Johnson said that the company will face legal proceedings after deeming the actions in breach of law.

Solicitor General Alex Chalk said that legal proceedings will being "if the law allows for a prosecution", speaking to MPs.

As a result of the move, protests across the country erupted, as workers, MPs and union representatives expressed their outrage.

General Secretary of the Rail, Maritime and Transport (RMT) Union Micky Lynch told MPs said that P&O Ferries' move was deliberate and as a result, the debacle has highlighted the "shambles" of UK employment law.

"The politicians and the lawyers in this country have watched over the last 30 years, while not only workers have been made vulnerable, but our merchant marine has been decimated and destroyed," he said.

"If this goes the way it's likely to go from what I've seen, we won't have a merchant navy in this country."

Going on, Mr Hebblethwaite said that the reaction to the sackings had been "extremely strong". He did say he was sorry, but anticipated the decision was going to be controversial.

When asked if he was to go back and change his decision, Mr Hebblethwaite said that he "would do the same again".

"We now have a future and a need to serve customers so that we can pay the bills," he said, adding that every other option would have resulted in the closure of the business.

This is how the P&O Ferries scandal unfolded:

P&O Ferries suspend services

Concern first began after P&O Ferries, which has operated since 1884, said it would suspend services "for the next few days". There had been speculation over whether the company would close after its share prices were continuing to fall, but the company said there would be "a major announcement" on March 17th.

Staff made redundant

On the evening of March 17th, P&O Ferries announced that 800 of its staff would be made redundant effective immediately. The decision was communicated to staff over a video message delivered over Zoom. Many workers were already on board ships when the news was made public. As a result, staff on one ship - the Pride of Hull - refused to get off the boat, once docked.

Protests erupt opposing the sacking

Immediately following the redundancy announcement, many union workers began to protest across the UK, where P&O Ferries holds several routes. The Rail, Maritime and Transport Union (RMT) organised demonstrations in Liverpool, Hull and Dover, while the crew of the Pride of Hull ship continued to refuse to disembark in protest at the company's decision.

P&O Ferries compensation for sacked staff

On March 22nd, P&O Ferries announced it's offering more than £36 million in compensation to sacked staff, with 40 employees in line for payments of more than £100,000.
It said payouts would be linked to the period of service, and in some cases exceed £170,000, with no worker set to receive less than £15,000. Employees are also being given support to find a new job at sea or onshore.

Prime Minister weighs in

The P&O Ferries scandal spread throughout political spheres, with Transport Secretary Grant Shapps saying the Government was "seriously reconsidering" its relationship with P&O Ferries. At Prime Minister's Questions on Wednesday (March 23rd), Boris Johnson added to the criticism, saying that the company will face investigation to see if it has broken UK law.

P&O Ferries boss admits they broke law over sackings

The firm's boss Peter Hebblewaite gave evidence to a Commons select committee a week after sacking staff via zoom. He revealed that new staff are being paid between £5.15 and £6 an hour, which is below the UK's minimum wage of £8.91.

Transport Secretary calls for P&O Ferries boss to resign

Transport Secretary Grant Shapps has called for Peter Hebblewaite to quit "right now". He told Sky News, "I cannot believe that he can stay in that role having admitted to deliberately go out and use a loophole – well, break the law, but also use a loophole."

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