• Friday, March 29, 2024

Business

P&O Ferries job cuts: Minister says UK law ‘not applicable always’

Protesters stand behind a banner during a demonstration against the sacking of 800 P&O workers, outside the Houses of Parliament in London, on March 21, 2022. (Photo by HOLLIE ADAMS/AFP via Getty Images)

By: Pramod Thomas

THE Rail, Maritime and Transport union (RMT) has alleged that Indian agency workers hired to replace P&O Ferries crews in Dover are being paid £1.81 an hour, reported the BBC.

Terming the low pay as a ‘shocking exploitation’, the union added that the firm also betrayed the sacked employees.

P&O Ferries clarified that the figure was inaccurate, adding that it could not comment on how much agencies pay workers on ferries. The minimum wage in the UK for people aged 23 and above is £8.91 per hour.

Meanwhile, UK transport secretary Grant Shapps has said that ships in UK waters operated under international law governed by treaties, so UK law did not always apply.

P&O Ferries, which is owned by Dubai’s DP World, prompted outcry from trade unions and politicians last week when the loss-making group axed 800 jobs with immediate effect to save cash, citing its unviable finances.

Protesters hold up placards during a demonstration against the sacking of 800 P&O workers, outside the Houses of Parliament in London, on March 21, 2022.
Protesters hold up placards during a demonstration against the sacking of 800 P&O workers, outside the Houses of Parliament in London, on March 21, 2022. (Photo by HOLLIE ADAMS/AFP via Getty Images)

According to the BBC, some of P&O’s ferries are registered in Cyprus and do not have to pay the minimum wage required by UK law. Firms using UK ports often register ships in other countries, allowing them to pay lower wages.

Maritime employees have not, in this country, indeed throughout much of the world, received some of the same benefits and protections that exist otherwise for workers and this is simply not good enough and it’s a practice we have been seeking to end,” Shapps told the Parliament.

These complications allow for employers to take advantage in a way that we’ve seen I think with P&O Ferries.

The minister added that the government was reviewing all of its contracts with P&O Ferries.

Shadow transport secretary Louise Haigh said government ministers had “completely failed to act” and the reported rates of pay were “nothing short of a betrayal of the workers who protected this country’s supply chain during the pandemic”.

A spokesman for P&O said safety was the utmost priority and the new crewing management model was used by many competitors.

Protests took place close to Parliament and also outside the London offices of P&O owners, DP World this week.

RMT general secretary Mick Lynch said P&O staff were being replaced by exploited workers, vulnerable workers from overseas.

We have no beef with those people. We want those people to be paid the wages that we’ve negotiated for in this country,” he was quoted as saying by the BBC.

The union has called for a boycott of P&O services and is urging the government to look at legal options to reinstate the sacked workers.

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