Laws to prevent a repeat of the P&O Ferries mass sackings scandal will be presented to parliament this week as Labour focuses on improving working conditions at sea, including for cruise and cargo ships.
Transport Secretary Louise Haigh stated that the new laws will close loopholes used by P&O when it fired 800 crew members without notice in 2022, and companies could face unlimited fines for similar actions.
The employment rights bill will strengthen rules on collective dismissal for seafarers. Starting 1 December, cross-Channel ferry operators must pay the national minimum wage of £11.44 an hour under the Seafarers’ Wages Act.
Deputy Prime Minister Angela Rayner emphasized that the P&O Ferries incident highlights the need for bold action to enhance job security, stating that these changes would help good employers compete based on quality and innovation rather than undercutting wages.
P&O Ferries and Irish Ferries previously reduced costs by employing agency workers at low wages.
The government plans to ban “fire and rehire” practices, except in genuine cases of necessity. Although P&O claimed it needed to change its staff structure for viability, Haigh labeled it a “rogue operator,” noting that others have maintained full-time crews.
Haigh pointed out that DFDS has operated in the Dover straits with fair employment practices. P&O Ferries, owned by a profitable parent company, has been criticized for its treatment of staff.
The new measures will initially apply to ships visiting UK ports 120 times a year, regardless of flag or crew nationality. Operators failing to prove compliance with minimum wage will incur surcharges or face port entry bans.
Haigh expressed a desire to further improve working conditions and broaden the scope of the laws, acknowledging challenges posed by international shipping law, and she aims for a robust bill.
The government is observing France, which has enforced its minimum wage for cross-Channel ferries since June, although it faces legal challenges.
Most cargo and cruise ships will not be impacted by the new laws as they spend more time in international waters. However, Haigh stated that no operator should offer worse conditions at sea than on land. She mentioned past instances of cruise ships employing similar “fire and rehire” tactics and highlighted the need to address worker exploitation in UK waters.
Gemma Griffin, vice-president of global crewing at DFDS, welcomed the new laws, stating they would help protect workers and create a level playing field in the Dover Straits.
Captain Adrian Sheaff from DFDS noted that the exploitation of seafarers is unacceptable and hopes the focus will be on ships using flags of convenience that fail to meet labor standards.
Seafarers unions Nautilus and RMT supported the measures and are advocating for a mandatory charter to limit working hours and ensure regular crew rotations, as ferry crew typically work no more than two weeks at sea before the P&O sackings.
RMT General Secretary Mick Lynch stated this shows Labour is committed to protecting seafarer jobs, calling the action long overdue.
Nautilus’ Martyn Gray expressed confidence in the government’s commitment and praised the strong start.
A spokesperson for P&O Ferries, owned by DP World, claimed the company complies with national and international laws and has adjusted its crewing policies to meet new legal requirements.
They stated that changes to crew rotations were made due to French legislation, making it impractical to employ large numbers of non-European crew members.
A spokesperson for P&O Cruises, owned by Carnival, affirmed that their seafarers are central to their operations and that they will not dismiss or rehire any crew members.
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