P&O Ferries has "lost the trust of the public and has given business a bad name", Business Secretary Kwasi Kwarteng has said in a letter to the company's chairman. The letter, also signed by business minister Paul Scully and addressed to chairman Robert Woods, said the way staff have been treated "has been appalling".
"It is particularly depressing that this should happen given the millions of pounds of British taxpayer support P&O companies received from the furlough scheme," it added. "It cannot be right that the company feels tied closely enough to the UK to receive significant amounts of taxpayer money but does not appear willing to abide by the rules that we have put in place to protect British workers.
"At the very least, P&O should have given the Government the courtesy of sufficient notice so we and our agencies could have worked with you to protect workers and support those in finding alternative employment."
The letter demanded answers to a series of questions about what had happened, and said the Insolvency Service would look at whether rules around the processes that employers must follow if they are making large groups of staff redundant had been followed.
Transport Secretary Grant Shapps said P&O Ferries had only let a "very small group" of officials know about the decision on Wednesday evening, meaning it was "far too late" for the Government to intervene.
In a separate letter addressed to P&O Ferries chairman Robert Woods, he said: "Following the Maritime Minister's call with your company yesterday, I am writing to express my anger and disappointment about the action that P&O took yesterday to make 800 seafarers redundant without notice and without consultation. The lack of engagement, of prior notice, or of any empathy whatsoever for your workers that P&O demonstrated yesterday was completely unacceptable.
"Seafarers make a huge contribution to this country, and many have dedicated years of service to P&O, and I was frankly staggered yesterday at the way you dismissed them with zero respect. While I accept this was a commercial decision for P&O to take, I was also deeply concerned at the way in which this decision was communicated to the Government.
"Although I understand you told a very small group of officials the evening before the announcement, this was clearly far too late for the Government to engage in something you had obviously been planning for some time and were determined to force through."
Mr Shapps went on to say in his letter that all Government contracts with P&O Ferries and its owner DP World would be reviewed and all the firm's vessels would be subject to inspection by the Maritime and Coastguard Agency before they resumed sailing. He urged P&O Ferries to change course.
His letter continued: "The way in which your company has made these changes has fundamentally changed the way the British public feels about P&O Ferries - with many believing that they have seen the company's true colours. I would therefore urge you to begin to repair the damage that has been caused to your company's reputation, by pausing the changes announced yesterday and starting a true dialogue with the seafarers and the trade unions.
"I am willing to facilitate any such dialogue through any possible means. It is not too late for P&O Ferries to salvage this situation and I await your urgent response."
In a new statement issued on Friday afternoon, P&O Ferries acknowledged that the sackings "came without warning or prior consultation, and we fully understand that this has caused distress for them and their families".
The statement added: "The changes we've made bring us into line with standard industry practice. All affected crew who were working yesterday were notified face-to-face and in-person on board their vessels.
"For crew who were off, P&O Ferries made all efforts to notify them personally: they were individually called on the phone, as well as via email and text. Virtual meetings were also held but only 261 of our 800 affected staff were on those calls.
"To try to minimise disruption for our customers, we contacted everyone we could reach. If any passengers have any queries about travelling with us, we encourage them to get in touch with our customer services team.
"Our aim is to have the first of our services running again in the next day or two as we lose £1m a day for each day they are not moving. The teams escorting the seafarers off our vessels were totally professional in handling this difficult task with all appropriate sensitivity.
"Contrary to rumours, none of our people wore balaclavas nor were they directed to use handcuffs nor force."
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