How P&O Ferries broke the law – and what the consequences might be
Last week it summarily sacked 786 crew working on ships sailing from UK ports, telling them that this was their last day in employment and that they would be replaced by new crew brought in by a third party.Ministers expressed their immediate outrage – but have not yet followed up with any action.
Yes – but possibly not as illegal as you might think. There are two specific areas where P&O clearly admits to have flouted employment law, but neither necessarily lead to sanctions from the UK government. Ministers are currently taking advice from the Insolvency Service on possible action. Despite the prime minister claiming that P&O Ferries would be prosecuted under section 194 of the Trade Union and Labour Relations Act of 1992, no action has yet been taken.
An employer has a) to give 45 days notice to the relevant authorities when planning to make significant redundancies, and b) to consult the workforce, normally via unions.
On point a), P&O Ferries argues that it did not have to notify the UK government since an amendment to the law in 2018 – and it didn’t. However, it also admits it did not give notice, as legally required, to the flag states for its ships, which are registered in Cyprus, Bermuda and the Bahamas. The three flag states, which under international maritime law regulate the ships, require 30-45 days notice but were only told of P&O’s plans on the day. Given the long history of flag states being unable to police crimes onboard ships in international waters, any intervention or sanction appears unlikely.
P&O Ferries admits it deliberately broke the law. In astonishingly candid testimony to MPs this week, chief executive Peter Hebblethwaite said: “There’s absolutely no doubt we were required to consult with the
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