P&O Ferries refuses plea from Grant Shapps to reverse redundancies

P&O Ferries boss Peter Hebblethwaite refuses to reverse firm’s decision to sack nearly 800 seafarers as he tells Grant Shapps his request ‘ignores the situation’s fundamental and factual realities’

  • P&O Ferries’ CEO Pete Hebblethwaite refuses to U-turn over sacking 800 staff 
  • Transport Secretary Grant Shapps said he’d give P&O ‘one further opportunity’ 
  • But Mr Hebblethwaite rejected the call, saying it would lead to P&O’s collapse 
  • ‘The circumstances which led P&O Ferries to make the decision still apply’

The boss of P&O Ferries has insisted he will not reverse the decision to sack nearly 800 seafarers despite being given ‘one further opportunity’ by Transport Secretary Grant Shapps.

Chief executive Peter Hebblethwaite wrote to the Cabinet minister claiming his request ‘ignores the situation’s fundamental and factual realities’.

Re-employing the sacked workers on their previous wages would ‘deliberately cause the company’s collapse, resulting in the irretrievable loss of an additional 2,200 jobs’, the letter stated.

‘I cannot imagine that you would wish to compel an employer to bring about its own downfall, affecting not hundreds but thousands of families.’

Peter Hebblethwaite, Chief Executive, P&O Ferries, answering questions in front of the House of Commons’ Transport Select Committee last week

The boss of P&O Ferries has insisted he will not reverse the decision to sack nearly 800 seafarers despite being given `one further opportunity´ by Transport Secretary Grant Shapps (Gareth Fuller/PA)

When P&O Ferries announced its decision to replace its crews with cheaper agency workers, it stated that the business needed to cut costs to survive as it was losing £100 million a year.

The letter was in response to a letter from Mr Shapps which stated that P&O Ferries had ‘one further opportunity to reverse this decision by immediately offering all 800 workers their jobs back’. 

Mr Hebblethwaite also rejected the minister’s request to delay the deadline of Thursday for sacked workers to accept redundancy offers, as more than 765 of the 786 affected people have ‘taken steps to accept the settlement offer’.

He wrote: ‘These are legally binding agreements, and crew members who have entered them will rightly expect us to comply with their terms.’

The chief executive insisted he will continue in his role despite Mr Shapps describing his position as ‘untenable’.

Mr Hebblethwaite wrote: ‘I am fully cognisant of the reputational cost to the P&O Ferries brand and me personally.

Transport Secretary Grant Shapps has said that P&O Ferries’ CEO Peter Hebblethwaite should resign

P&O Ferries made all 800 crew members redundant without union consultation (Pictured: two of the company’s ferries moored at the Port of Dover last week)

‘That notwithstanding, I am compelled to discharge my duties for this historical company, saving the jobs of the 2,200 dedicated employees who continue working for P&O Ferries and providing for the effective operation of the trade routes upon which this country depends.’

The Maritime and Coastguard Agency detained a second vessel belonging to P&O Ferries following a safety inspection.

Pride Of Kent is being held at the Port of Dover.

Another of the firm’s ships, European Causeway, remains under detention in Larne, Northern Ireland.

The decision over redundancies related solely to P&O Ferries and not the Southampton-based firm P&O Cruises, which is unconnected to the firm.

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