PARLIAMENTARY DEBATE
P&O Ferries - 17 March 2022 (Commons/Commons Chamber)
Debate Detail
Earlier today, P&O announced its decision to make around 800 seafarers redundant on several routes across the UK. Let me say right off the bat: the way that these workers were informed was completely unacceptable. I will say more on that in a moment or two. While this is fundamentally a commercial decision for the company, I wanted to come to the House today to inform Members about our latest understanding of the situation and what is now being done.
In taking this decision to make seafarers redundant, P&O has also today informed us that it will be suspending services, for approximately a week to ten days, while it locates new crew. The affected routes are Dover to Calais, Larne to Cairnryan, Dublin to Liverpool and Hull to Rotterdam. I know right across the House will share my concern over the loss of these routes, but I should stress that P&O says they are only temporary and that alternative provision will be provided by other operators, to whom I am extremely grateful.
Passengers will still be able to travel to and from the UK, including across the channel, with freight coming in and out of the country. I understand that DFDS is stepping in to provide alternative services for passengers with valid tickets, and I would like to thank DFDS for its swift action.
However, I must warn travellers that they should expect some disruption over the coming days. I have asked my officials to liaise with the Kent Resilience Forum and the Cabinet Office to closely manage traffic in Kent over the coming days while P&O works to restore services. Today, the Dover TAP—the Dover traffic assessment project—has been activated, although as Members will know that is not all that uncommon, and there is some queuing on Jubilee Way, although the Port of Dover expects this to reduce over the afternoon. I have also asked officials to remain in close contact with other resilience forums around the country, as well as the devolved Administrations, in managing this issue.
Mr Deputy Speaker, we of course have long planned contingencies for such situations and disruption, particularly around the channel, and I do not expect the supply of critical goods and services to be impacted as a result of this decision by P&O, although queues on the way to Dover are more likely to occur at times. Modelling suggests we have sufficient capacity to handle the temporary loss of these P&O ferries.
Let me turn now to the issue of the seafarers. These are hard-working, dedicated staff who have given years in service to P&O. The way they have been treated today is wholly unacceptable and my thoughts are first and foremost with them. Reports of workers being given zero notice and escorted off their ships with immediate effect, while being told cheaper alternatives would take up their roles, shows the insensitive way in which P&O has approached this issue—a point I made crystal clear to P&O’s management when I spoke to them earlier this afternoon.
As I told Peter Hebblethwaite, I am extremely concerned, and frankly angry, at the way workers have been treated today by P&O. As a matter of urgency I have asked my Department to liaise closely with counterparts in the Department for Work and Pensions to ensure that workers are being signposted to the most relevant support, and I am intending to call the trade unions immediately after this statement to discuss the situation with them.
There can be no doubt that the pandemic has had a devasting impact on the finances of many travel companies, including P&O. But while their finances are matters for them, and them alone, I would have expected far better for the workers involved. We will continue to engage closely over the coming days, and I commend this statement to the House.
Workers are now left wondering how on earth they will put food on their families’ tables. The management did not even have the decency to tell them face to face: they were told this life-changing news on a pre-recorded video. Images are circulating of what we are told are handcuff-trained security staff, some wearing balaclavas, marching British crew off their ships. This is not a corporate restructure and it is not the way we go about business in this country. It is beneath contempt: the action of thugs.
It is quite simply a scandal that this Dubai-owned company, which received millions of pounds of taxpayers’ money during the pandemic has, without consultation or notice, upended the lives of 800 British workers, all while the profits of the owners, DP World, soared by 52% in the first half of 2021. We need a clear, unequivocal statement from the Government—no ifs, no buts. An overseas conglomerate cannot be given free rein to sack workers in secure jobs here in Britain at the click of a button and replace them with agency staff. The Government must not give the green light to this appalling practice. They must act now to secure the livelihoods of these workers, not signpost them to the Department for Work and Pensions.
This cannot stand. Will the Minister review any and every contract and licence that the Government have with P&O or DP World, to maximise leverage and force them to do the right thing? DP World runs two of the Government’s freeport schemes. Will he consider terminating those contracts? Will he convene urgent talks with P&O and the unions to look immediately at what steps can be taken to safeguard these jobs? Will he confirm whether the Secretary of State received notification, as required under the Trade Union and Labour Relations (Consolidation) Act 1992? Given that neither the workers nor their unions received notification, this action is clearly illegal.
Will the Minister act immediately and ensure that all those party to the decision are appropriately proceeded against? Will he join me in condemning Clyde Marine Recruitment and Interforce for the role that they have apparently played in today’s events and investigate any action that can be taken against them? Will he outline the full extent to which other operators will be able to cover this unacceptable disruption? It is impossible to conceive that we have sufficient capacity to cover a loss of 10 days. Finally, will the Minister look at clawing back every single penny of taxpayers’ money given to P&O over the course of the pandemic?
This situation must be set in context. For far too long, the Government have sat on their hands and chosen to side with bad bosses by failing to take action to outlaw fire and rehire. This is the cruel consequence of a decade of attacks on workers’ rights. No more excuses: it is time for Ministers to keep the promises they have made, deliver workers’ rights and outlaw fire and rehire without delay.
We are an island nation. British seafaring has been, and is, the envy of the world. We are rightly proud of the British sailors, ratings and officers, who make our fleet and whose name is known across the globe. What has happened is a straightforward assault on British seafaring. It cannot be allowed to stand. The Government must stand up, speak out and take action to protect the livelihoods of these proud workers.
Employment laws apply, of course. It is difficult for me at the moment to comment in any detail on where that might be. I urge anyone affected to consider legal advice. Clearly that is something that they should do, but it is difficult for me to comment on that, particularly as this is a fast-moving situation.
The hon. Member asked me to review contracts that may exist. I have asked my officials to do that. I apologise, but I cannot give her any details at the moment, although I will be able to provide information to the House in due course if required. Conversations about freeports would have to take place across Government, involving, in particular, the Treasury and the Department for Levelling Up, Housing and Communities. The hon. Lady asked me to convene urgent talks with the unions; I will speak to them this afternoon. It is possible that that will be an initial conversation and then there will be others, but I need no persuading that that will happen. She hon. Lady mentioned illegality. I ought not to go into that, but obviously the Government have a number of concerns, and I urge people to take the advice that they will need.
The hon. Lady asked me to give details of the operations. As I have said, this is a fast-moving situation, but although I am assured that there is not likely to be an operations impact, I will be monitoring that closely. I will give the hon. Lady more details when I have them, and if there are any steps to be taken, I will consider what they should be.
The hon. Lady spoke of setting this in context. I of course reject any suggestion that we have sided with bad bosses. I have made absolutely clear, today and on other occasions, that I expect people to be treated with respect at all times, and that is not the way in which these people have been treated. No one should be treated in the way in which they have been treated today.
Finally, the hon. Lady asked about seafarers. We will continue to do everything we can to support British seafarers, and I hope to be able to give the House more details about that in due course.
P&O, that once great flag carrier of the seas, has made an appalling error. If it does not reverse that error immediately, reinstate the employees and follow proper process, it is hard to see a way back for it commercially. The parent company, DP World, needs to understand that the British public will not do business with companies that treat their employees with such contempt. Will the Government do everything within their power and influence, including tabling emergency legislation if necessary, to ensure that this appalling employment transaction cannot be completed?
Earlier today I said that the actions of P&O were deeply concerning, but as more information has emerged, it has become clear that those actions were shameful, insensitive and inhumane. The Government responded to the fire and rehire scandal with lip service and warm words, saying that fire and rehire was shameful but stubbornly refusing to back those words up with any legislative action. That inaction has had consequences. What P&O has done today in sacking 800 workers over Zoom with no notice or consultation, and dragging them from their place of work using handcuff-trained private security personnel, is well beyond even fire and rehire. Of course, our primary concern must be for the traumatised P&O staff and their families. People are now jobless, having gone to work as they would on any other day. Will the Minister support the staff who remain aboard P&O vessels, and call on P&O to end its attempts to forcibly remove staff members?
The villain in all this is P&O and its parent company DP World, which is owned by anti-trade union oligarchs in Dubai who have a shockingly bad track record on employment relations. P&O’s plan is for entirely new crews to operate vessels with zero or little time for acclimatisation. Does the Minister not agree that P&O’s aim of resuming shipping with new staff almost immediately is reckless and unsafe? The Prime Minister visited the United Arab Emirates yesterday. Was there any discussion between him and the Dubai Government, the owners of DP World, about P&O?
The Minister said that while this is a commercial decision
“for them, and them alone, I would have expected far better for the workers involved.”
I agree, but I would also expect far better protections for our workers from the Government of the day. Can the Minister tell us if there is anything—anything at all—that the Government can do to intervene and help these workers? If there is not, does that not demonstrate, yet again, just how broken UK employment law is?
Will my hon. Friend work with my old friends in the maritime sector, the RMT and others to recover any moneys granted to P&O during the pandemic and to ensure it reverses its decision? I will not let anyone tell me this is the free market. The free market put little girls in factories and boys down mines, and it put both at risk on the high seas. We thought those dark days had gone. P&O is either too dim to see it or too dastardly to know it.
My right hon. Friend rightly speaks about employment rights, which are extensive in this country. They exist for good reason, they continue and the Government support them.
The Government have to be clear about whom they back. They cannot just say this is a commercial decision. This is a choice between predatory employers that are sacking workers on Zoom in their levelling-down race to the bottom and our loyal, hard-working UK workers who are fighting for their jobs. Will the Minister instruct Dubai-based DP World to stand down the replacement crews, send their security muscle home and reinstate immediately those who have been sacked?
The right hon. Member for Kingston upon Hull North (Dame Diana Johnson) asks whether we are on the side of levelling down and a race to the bottom. No, we are not. I have been clear today that we expect rights to be maintained and supported. She asks whether we are on the side of hard-working workers. Yes, we absolutely are.
Contains Parliamentary information licensed under the Open Parliament Licence v3.0.