P&O Ferries, one of the largest ferry operators serving the United Kingdom, fired 800 crew members Thursday with “immediate” effect, touching off protests and prompting some of the staffers to lock themselves aboard vessels.
The announcement came without notice, with the company saying its survival depended on “swift and significant changes.” Workers fired by Zoom message were told that P&O ferries, which operate between the U.K. and France, Ireland and the Netherlands, would be run by a third-party crew provider.
“Clearly, the way that this was communicated to staff was not right, and we have made that clear,” said Max Blain, the British prime minister’s spokesman. “Our sympathies are with these hard-working employees affected during this challenging time who have given years of service to P&O.”
A union representing crew members said the company’s action was “scandalous” after it received millions of pounds of British government funding during the COVID-19 pandemic. Nautilus International advised its members to stay on board their vessels “until further notice.”
“The news that P&O Ferries is sacking the crew across its entire U.K. fleet is a betrayal of British workers,” Nautilus General Secretary Mark Dickinson, whose union represents some 20,000 maritime professionals, said in a statement. “There was no consultation and no notice given by P&O.”
The company, which is a unit of Dubai-government owned logistics giant DP World, directed passengers to other ferry operators because many of its services would be suspended for “the next few days.”
“In its current state, P&O Ferries is not a viable business,” the company said in a statement. “We have made a £100 million 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.”
The company said the workers who were fired would receive enhanced compensation packages to make up for the lack of notice. But union leaders fiercely challenged the company’s actions with crews at ports like Dover in southeast England.
“We are receiving reports that security guards at Dover are seeking to board ships with handcuffs to remove crew so they can be replaced with cheaper labor,” RMT trade union general secretary Mick Lynch said. “We are seeking urgent legal action and are again calling for the government to take action to stop what is fast turning into one of the most shameful acts in the history of British industrial relations.”
Travel companies worldwide saw revenue plummet during the pandemic as governments imposed travel restrictions and people canceled holidays. P&O in May 2020 warned that around 1,100 workers could lose their jobs as part of a plan to make the business “viable and sustainable.?
“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 U.K.,” P&O said. “And we are ensuring that we can continue serving our customers in a way that they have demanded from us for many years.”
Nautilus said the company received more than £4.3 million ($4.97 million) of emergency funding from the government during the pandemic as part of program to subsidize freight operators. It also received government support to pay more than 1,400 workers furloughed during the pandemic, the union said.
Thursday’s announcement “is nothing short of scandalous given that this Dubai-owned company received British taxpayer’s money during the pandemic,” Dickinson said.