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P&O Ferries - mass redundancies without consultation

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Gloster

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P&O have just published their latest annual report (I think I have got the right part of the business): there is a ‘less than remote possibility‘ of fines as a result of all the sackings and no provision is made for such. So all those promises by Shapps, Johnson, etc. to come down hard on them were as solid as spume.
 
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zwk500

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P&O have just published their latest annual report (I think I have got the right part of the business): there is a ‘less than remote possibility‘ of fines as a result of all the sackings and no provision is made for such. So all those promises by Shapps, Johnson, etc. to come down hard on them were as solid as spume.
Which should come as absolutely no surprise whatsoever.
 

paul1609

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P&O have just published their latest annual report (I think I have got the right part of the business): there is a ‘less than remote possibility‘ of fines as a result of all the sackings and no provision is made for such. So all those promises by Shapps, Johnson, etc. to come down hard on them were as solid as spume.
Surely if they have broken the law that is a matter for the courts and the government can't act until the case is brought?
 

Wolfie

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Surely if they have broken the law that is a matter for the courts and the government can't act until the case is brought?
If no one ever investigates said breach of the law and prosecutes it will never get near a Court. Personally I would say that the Chief Executive admitting to a Parliamentary committee that the law was deliberately broken is more than sufficient for Government action.
 

zwk500

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If no one ever investigates said breach of the law and prosecutes it will never get near a Court. Personally I would say that the Chief Executive admitting to a Parliamentary committee that the law was deliberately broken is more than sufficient for Government action.
Of course, if he'd thought for a moment there was any serious chance of the government taking any punitive action he'd have never been so frank.
 

Wolfie

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Of course, if he'd thought for a moment there was any serious chance of the government taking any punitive action he'd have never been so frank.
Indeed. If l was cynical l'd say that donations have their uses lol...
 

JamesT

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If no one ever investigates said breach of the law and prosecutes it will never get near a Court. Personally I would say that the Chief Executive admitting to a Parliamentary committee that the law was deliberately broken is more than sufficient for Government action.
Though which government? As I understood things, the legislation around notifying the government about large scale redundancies was changed in 2018 so that the government to be informed was the one the ship was flagged under. I've not heard of any court cases being launched in Cyprus...
 

RT4038

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Of course, if he'd thought for a moment there was any serious chance of the government taking any punitive action he'd have never been so frank.
Would a prosecution (if in fact the law was broken, and which part of it) have been in the public interest? In order to sort out the competitive financial position, the company had the choice of (a) taking the risk of law breaking and paying off their staff or (b) declaring bankruptcy and paying off their staff. Either way, the staff got paid off, but in (a) I believe the staff got a better deal, and the option for many of re-employment on a new contract as the operation continued, whereas (b) would have been statutory minimum and possibly no or fewer re-employments as capacity may have been stripped out.
 

zwk500

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Would a prosecution (if in fact the law was broken, and which part of it) have been in the public interest? In order to sort out the competitive financial position, the company had the choice of (a) taking the risk of law breaking and paying off their staff or (b) declaring bankruptcy and paying off their staff. Either way, the staff got paid off, but in (a) I believe the staff got a better deal, and the option for many of re-employment on a new contract as the operation continued, whereas (b) would have been statutory minimum and possibly no or fewer re-employments as capacity may have been stripped out.
I don't really know. The idea would be to try and ensure nobody tried to do something similar but that assumes that a) it was probable to secure a conviction and b) the government wanted to go down such a course.

Various issues of jurisdiction (the vessels were not UK flagged), the actual laws involved, the political wishes of the government and the Economic weighing-up of the damage a company like P&O going under would cause against the benefits for workers would all have been very difficult to untangle, and any settlement for the works would have likely been peanuts compared to the cost to the taxpayer for just preparing the case.

Fundamentally, people want the cheapest possible fares to go to France, so the government would not be popular if it forced a ferry company out of business no matter how they treat their workers (look at P&O's bookings to see how much people really cared).
 

RT4038

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I don't really know. The idea would be to try and ensure nobody tried to do something similar but that assumes that a) it was probable to secure a conviction and b) the government wanted to go down such a course.

Various issues of jurisdiction (the vessels were not UK flagged), the actual laws involved, the political wishes of the government and the Economic weighing-up of the damage a company like P&O going under would cause against the benefits for workers would all have been very difficult to untangle, and any settlement for the works would have likely been peanuts compared to the cost to the taxpayer for just preparing the case.

Fundamentally, people want the cheapest possible fares to go to France, so the government would not be popular if it forced a ferry company out of business no matter how they treat their workers (look at P&O's bookings to see how much people really cared).
But, if a similar situation occurred (and I appreciate that there is a certain amount of uniqueness and national interest present in the P&O case) in another place/industry, why would the Government want to force an operating company out of business, rather than allow it to restructure its cost base to that of its competitors?

As you say, people want the cheapest possible fares - they had no concern (probably didn't know?) that DFDS and Irish Ferries workers were on inferior ts & cs to P&O workers, so why would they be worried when P&O brought theirs in line, in order to stay in business?
 

zwk500

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But, if a similar situation occurred (and I appreciate that there is a certain amount of uniqueness and national interest present in the P&O case) in another place/industry, why would the Government want to force an operating company out of business, rather than allow it to restructure its cost base to that of its competitors?

As you say, people want the cheapest possible fares - they had no concern (probably didn't know?) that DFDS and Irish Ferries workers were on inferior ts & cs to P&O workers, so why would they be worried when P&O brought theirs in line, in order to stay in business?
As I point out, the government are quite happy for big companies to screw over the workers, and that's why it's happened with little consequences for P&O.
 

RT4038

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As I point out, the government are quite happy for big companies to screw over the workers, and that's why it's happened with little consequences for P&O.
How were the workers screwed over?
 

Starmill

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But, if a similar situation occurred (and I appreciate that there is a certain amount of uniqueness and national interest present in the P&O case) in another place/industry, why would the Government want to force an operating company out of business, rather than allow it to restructure its cost base to that of its competitors?

As you say, people want the cheapest possible fares - they had no concern (probably didn't know?) that DFDS and Irish Ferries workers were on inferior ts & cs to P&O workers, so why would they be worried when P&O brought theirs in line, in order to stay in business?
I doubt most people would have seriously blamed DP World for wanting to change their operating model. It also wouldn't have attracted much attention in the media, had they bothered to go about it in the way everyone else is obliged to.

However, what they actually did was unlawful. It's possible that offences were even committed. Why bother making something unlawful if no penalties ever apply to those who do it anyway? Such inaction in the face of bad actors is likely to be viewed as tacit approval for future lawbreaking, as others have already commented. Especially as the public in general suspect that corporate greed will, at some time in one's career, be likely to take precedence over one's own lawful employment rights. In my view it is clear cut that this happened here.
 

Wolfie

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I doubt most people would have seriously blamed DP World for wanting to change their operating model. It also wouldn't have attracted much attention in the media, had they bothered to go about it in the way everyone else is obliged to.

However, what they actually did was unlawful. It's possible that offences were even committed. Why bother making something unlawful if no penalties ever apply to thoze who do it anyway? Such inaction in the face of bad actors is likely to be viewed as tacit approval for future lawbreaking, as others have already commented.
Absolutely. We find ourselves in a bloody dangerous place if we start questioning which laws should and should not be enforced.
 

RT4038

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By being sacked with zero notice?
But they weren't. They were paid their notice period. The employees lost no money whatsoever.

What they missed out on was the opportunity to cause disruption to the Company's operations during the redundancy consultation period. It is hardly surprising that the Company wished to avoid this, as the all the disadvantage would be to the Company and little to the staff.

I doubt most people would have seriously blamed DP World for wanting to change their operating model. It also wouldn't have attracted much attention in the media, had they bothered to go about it in the way everyone else is obliged to.

However, what they actually did was unlawful. It's possible that offences were even committed. Why bother making something unlawful if no penalties ever apply to those who do it anyway? Such inaction in the face of bad actors is likely to be viewed as tacit approval for future lawbreaking, as others have already commented. Especially as the public in general suspect that corporate greed will, at some time in one's career, be likely to take precedence over one's own lawful employment rights. In my view it is clear cut that this happened here.
Failing to prosecute unlawful acts, because it would not be in the public interest, happens with all sorts of laws.
 

zwk500

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But they weren't. They were paid their notice period. The employees lost no money whatsoever.
Eventually. Did they all get to recover their property they were locked out from on the ship and were they compensated for the distress caused by the initial actions?
What they missed out on was the opportunity to cause disruption to the Company's operations during the redundancy consultation period. It is hardly surprising that the Company wished to avoid this, as the all the disadvantage would be to the Company and little to the staff.
Of course, treating the workers fairly by managing the transition to new contracts responsibly would also have avoided disruption to the companies actions.
 

Snow1964

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By being sacked with zero notice?

But they got paid for the notice period, all their accrued holiday and redundancy pay. I think I also read there was others like pension contributions paid during notice period so no one financially lost due to lack of notice.

Admittedly had to leave ships promptly and spend notice period on gardening leave, but that might have reduced distress.

Not exactly screwed over as you phrase it.
 

zwk500

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But they got paid for the notice period, all their accrued holiday and redundancy pay. I think I also read there was others like pension contributions paid during notice period so no one financially lost due to lack of notice.

Admittedly had to leave ships promptly and spend notice period on gardening leave, but that might have reduced distress.

Not exactly screwed over as you phrase it.
Don't underestimate the impact of a period of not knowing if you'll get so much as a penny, as was an initial concern. Being paid eventually does not cancel out getting turfed out unceremoniously.
 

Starmill

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Failing to prosecute unlawful acts, because it would not be in the public interest, happens with all sorts of laws.
There's a difference between failure to prosecute by the CPS and a decision or pressure not to investigate. If you don't search for evidence of lawbreaking it's impossible to find any.

But they weren't. They were paid their notice period. The employees lost no money whatsoever.
What happened was still unlawful.

What they missed out on was the opportunity to cause disruption to the Company's operations during the redundancy consultation period.
What disruption did you have in mind? Who was going to cause it and how?

It is hardly surprising that the Company wished to avoid this, as the all the disadvantage would be to the Company and little to the staff.
So are you suggesting that this hypothetical would have been a defence against breaking the law? In my view your hypothetical is nonsense and there's zero chance this would have been a relevant defence.

But they got paid for the notice period, all their accrued holiday and redundancy pay. I think I also read there was others like pension contributions paid during notice period so no one financially lost due to lack of notice.
If you're not sure what you read maybe you ought to be checking it rather than speculating?
Not exactly screwed over as you phrase it.
Even if you actively want to contract yourself out of your employment rights, you may not do so. There's a very good reason for that. Putting your staff under duress like would have likely attracted greater compensation, over and above lost wages, than was paid too, if claims had been made in the Tribunal rather than accepting the settlements offered, so I'd say there's a clear element of compensation most of the former employees lost out on.
 
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RT4038

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What disruption did you have in mind? Who was going to cause it and how?
Go slows, strikes, vessel sit-ins etc. Quite a history of such action on this route. Caused by the staff affected by the redundancy.
 

RT4038

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So are you suggesting that this hypothetical would have been a defence against breaking the law? In my view your hypothetical is nonsense and there's zero chance this would have been a relevant defence.
It is an explanation of the company's actions, not a defence of any law breaking. No defence has been required because no prosecution has taken place.
 

Starmill

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It is an explanation of the company's actions, not a defence of any law breaking. No defence has been required because no prosecution has taken place.
Most people are arguing that Ministers are complicit in the unlawful sale of people's employment rights. You're arguing against that point by accusing the workers of intending to cause "go slows, strikes, vessel sit-ins etc" without evidence. And you're now indignant at having been pulled up on the point?
 

RT4038

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Sounds like this is just your prejudice talking to me.
You asked the question, and I am speculating as to the likely reason and you want to attack me for the reply! Is there a likely other reason then why the company might have taken the action they did, rather than go through a 3 month consultation period for the same result?

Most people are arguing that Ministers are complicit in the unlawful sale of people's employment rights. You're arguing against that point by accusing the workers of intending to cause "go slows, strikes, vessel sit-ins etc" without evidence. And you're now indignant at having been pulled up on the point?
Without evidence of what? No accusation, merely speculating as to the reason for the Company's actions - presumably they wished to avoid that possibility.
 

Starmill

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Without evidence of what? No accusation, merely speculating as to the reason for the Company's actions - presumably they wished to avoid that possibility.
You're missing the point, which has been made repeatedly now. Obviously they wanted to avoid costly consequences and breaking the law is one easy way to do that. This applies to nearly all businesses, nearly all of the time, and is nothing at all to do with the conditions of this particular business. Good businesses respect that there are some rules that they must follow, costly to do so or otherwise. Bad businesses ignore the rules, and do things like what P&O did. If we're willing to tolerate that in some cases but not others we're fundamentally undermining the basis of employment law. If a business can only survive by breaking the rules in this way, it's better it doesn't survive at all. The consequences of that are exactly the same, but it doesn't have the effect of undermining the rules for everyone else.

You asked the question, and I am speculating as to the likely reason and you want to attack me for the reply! Is there a likely other reason then why the company might have taken the action they did, rather than go through a 3 month consultation period for the same result?
I assumed you were going to present one that might be justified, yes. Clearly that was too naive of me.
 

RT4038

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You're missing the point, which has been made repeatedly now. Obviously they wanted to avoid costly consequences and breaking the law is one easy way to do that. This applies to nearly all businesses, nearly all of the time, and is nothing at all to do with the conditions of this particular business. Good businesses respect that there are some rules that they must follow, costly to do so or otherwise. Bad businesses ignore the rules, and do things like what P&O did. If we're willing to tolerate that in some cases but not others we're fundamentally undermining the basis of employment law. If a business can only survive by breaking the rules in this way, it's better it doesn't survive at all. The consequences of that are exactly the same, but it doesn't have the effect of undermining the rules for everyone else.


I assumed you were going to present one that might be justified, yes. Clearly that was too naive of me.
I respect your opinion, but I don't think that life quite works so black & white, whether it is individuals or companies.
 

Wolfie

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I respect your opinion, but I don't think that life quite works so black & white, whether it is individuals or companies.
If and when you are unjustly deprived of your legal rights l am sure that you will get loads of sympathy.....
 

Starmill

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I respect your opinion, but I don't think that life quite works so black & white, whether it is individuals or companies.
You're free to pass off bad things happening to people who aren't yourself as "life" as if it's some kind of universal constant if you like, of course. But personally when I see other people making a case that they're unhappy with their lot I look at it based on the facts, and it's a fact here that due process wasn't followed - the company themselves have admitted as much. That's not "life" - that's a choice by an unethical company to get ahead over a less unethical one, and by all of the rest of us to let them do so and then keep the benefits from it.

If and when you are unjustly deprived of your legal rights l am sure that you will get loads of sympathy.....
Indeed. Even if you're comfortable enough that you couldn't care less about other workers being stripped of their rights, you never know when your own time will come.
 

RT4038

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If and when you are unjustly deprived of your legal rights l am sure that you will get loads of sympathy.....
As it seems the 'right' that they were deprived of was effectively the opportunity to disrupt the Company's operations (and any additional compensation that they could blackmail the Company into paying to prevent that) - in a similar situation I am unsure that I would get loads of sympathy anyway. I am quite entitled to have my opinion as to whether any law or right is just or not (there are plenty of laws all of us don't agree with or like, I am sure) and consequently this will influence my sympathy or otherwise to those who transgress - and that works both ways as you point out!
 
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