Shipping company P&O cannot reverse the decision to immediately lay off 800 employees, as the British government would like. That would irrevocably lead to the demise of the company, CEO Hebblethwaite writes in a letter to British Transport Minister Shapps.
“Granting your request would mean the intentional collapse of the company, which would result in the loss of an additional 2,200 jobs,” says the CEO† “I can’t imagine that you would expect that from an employer.”
He said something similar to a parliamentary committee last week. There, he also acknowledged that his company had broken the law by not submitting the decision to the unions first.
Lower than minimum wage
British politicians and trade unions were therefore incensed when the shipping company one and a half week ago reported to dismiss 800 employees per video message and with immediate effect. The mass layoff would be necessary to make the company financially healthy again in one fell swoop.
Instead of the permanent employees, P&O wants to hire foreign temporary staff, which could put it below the UK minimum wage. From next month that will be £9.50 per hour (about EUR 11.25), while the temporary workers only earn £5.50. According to the company, it works the same way in other parts of the world.
The question is whether P&O’s plan will succeed. The government of Prime Minister Johnson wants to oblige shipowners who dock in British ports to pay the British minimum wage to their staff. New legislation should regulate that.
The ferry service operates between Rotterdam and Hull and between Dover and Calais.
–
