P&O Ferries sack 800 staff with immediate effect

P&O Ferries has made 800 members of staff redundant with immediate effect, having made a £100-million year-on-year loss. The company has said the business is 'not viable in its current state'.

Author: Natalie CrawfordPublished 17th Mar 2022
Last updated 17th Mar 2022

P&O Ferries has made 800 members of staff redundant with immediate effect, having made a £100-million year-on-year loss.

In a statement released in the last hour the company has confirmed it is making the 'difficult but necessary' decision to issue severance notices to 800 members of staff because P&O Ferries is not a viable business in its current state - pointing out an 'unsustainable' £100-million loss year on year.

It goes on to say those workers affected will be given an enhanced compensation package due to the lack of advance notice, and that the tough call has been reached to secure the jobs of more than 2,000, and to ensure customer demand can continue to be met.

A spokesperson for P&O Ferries said: “P&O Ferries plays a critical role in keeping trade flowing, supply chains moving, and connecting families and friends across the North and Irish seas and the English Channel. We have been at the heart of this service for years and we are committed to serving these vital routes.

"However, in its current state, P&O Ferries is not a viable business. We have made a £100m loss year on year, which has been covered by our parent DP World. This is not sustainable. Our survival is dependent on making swift and significant changes now. Without these changes there is no future for P&O Ferries.

"These circumstances have resulted in a very difficult but necessary decision, which was only taken after seriously considering all the available options. As part of the process we are starting today, we are providing 800 seafarers with immediate severance notices and will be compensating them for this lack of advance notice with enhanced compensation packages.

"In making this tough decision, we are securing the future viability of our business which employs an additional 2,200 people and supports billions in trade in and out of the UK. And we are ensuring that we can continue serving our customers in a way that they have demanded from us for many years.”

A DfT Spokesperson said: “The DfT is working with the Kent Resilience Forum and all local partners to ensure the free flow of traffic in Kent. There are other operators running services on cross channel routes, so passengers and goods can continue to travel.

“Ministers and officials will be speaking with P&O Ferries later today to understand more about the changes, and the impact on staff and passengers.”

Hear all the latest news from across Tayside, Perthshire and Angus on the hour, every hour, at Tay FM. Listen on FM, via our Radio Tay app, on your DAB radio, online at TAYFM.co.uk, or say ‘Play TAY FM’ on your Smart Speaker.