P&O Ferries is laying off 800 employees, the travel giant has confirmed.
Earlier today the ferry firm suspended its services with Liverpool services impacted. The company employs 3,000 workers and has 20 ships. A P&O Ferries spokesperson has confirmed to The ECHO that the firm needed to lay off 800 of its workers due to losing £100million year on year.
The spokesperson said P&O is "not a viable business" as it is. They added: "Our survival is dependent on making swift and significant changes now. Without these changes there is no future for P&O Ferries.
READ MORE: P&O Ferries suddenly suspends all sailings ahead of 'major announcement' with Liverpool affected
"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."
P&O runs 30,000 voyages a year across the English Channel, North Sea and Irish Sea. The general secretary of the RMT, Mick Lynch, said: "We have instructed our members to remain onboard and are demanding our members across P&O's UK operations are protected, and that the Secretary of State intervenes to save UK seafarers from the dole queue."
The Department for Transport (DfT) is having "urgent discussions" with P&O, according to the official spokesperson for the prime minister.
The ferry firm spokesperson added: "It does obviously cause concern for P&O workers, the company is not ceasing to operate and DfT is speaking with them to understand what the potential impact is so there will be further updates later on.” P&O staff on one ferry are reportedly staging a "sit-in" protest on the firm's Pride of Rotterdam ship, in Hull.
The mother of a P&O worker told a Mirror sister title that P&O staff were told they had "five minutes to get their stuff and get off the ships". Earlier today the company told its staff by email to expect a major announcement.
The email said: "We will be making a major company announcement today which, with the support of our shareholder DP World, will secure the long-term viability of P&O Ferries. To facilitate this announcement all our vessels have been asked to discharge their passengers and cargo and standby for further instructions.
"This means we're expecting all our ports to experience serious disruption today so please bear with us and we will give further information in an all-colleague announcement later today.
"If you're in a customer facing role further information will follow separately on how we would like you to work with our customers. Thank you for your patience and support."
Ferries from Liverpool, Hull, Cairnryan in Scotland and Dover have all been affected by the suspensions. This morning a P&O spokesperson denied claims the firm was going bust.
Reacting to the news, Louise Haigh MP, Labour’s Shadow Transport Secretary, commenting on P&O’s announcement that it will serve notice to 800 staff, said: “This scandalous action is a betrayal of the workers that kept this country stocked throughout the pandemic.
“Unscrupulous employers cannot be given free rein to sack their workforce in secure jobs and replace with agency staff. The Conservative government must not give the green light to this appalling practice, and must act to secure the livelihoods of these workers.”
Are you a member of staff affected by this P&O Ferries announcement? Message liam.thorp@reachplc.com
Michael Foote, at travel insurance comparison site, Quotegoat.com, said:“It’s distressing news for P&O Ferries employees and their families. Now is the time to check what redundancy rights you have and dig out any income or mortgage protection policies you hold.
“If you’ve got tickets booked with P&O Ferries and they don’t offer you alternative transport, it’s a good idea to contact your travel insurance company. Not all policies will cover you, but it’s worth reaching out. If you paid by debit card, you may be able to make a claim through your Mastercard and Visa Chargeback scheme.
“If you paid with a credit card, you may also be able to claim under section 75 of the Consumer Credit Act 1974. You’ll need to have spent more than £100 on your tickets. If you booked with a tour operator and they are a member of ABTA, your money should be protected.”
