P&O Ferries and Employment Rights

Ruth Cadbury Excerpts

Monday 21st March 2022 Commons Chamber

[Ruth Cadbury (Brentford and Isleworth) (Lab)]

The actions of P&O Ferries are among the most appalling abuses of British workers that I have seen in my adult life, but they did not happen in a vacuum. We did not get here by accident. I listened to the Secretary of State with care; I heard his outrage about P&O’s methods last week, but not his condemnation of the context in which this happened. A toxic combination of factors applicable in the UK but not in other jurisdictions where P&O workers live, such as France and the Netherlands, of weak employment rights, weak enforcement, a loophole in the minimum wage legislation and insignificant penalties for breaking law—have all contributed to this nationally embarrassing scandal.

In this House in June 2020, I told Ministers they needed to ensure that employers such as British Airways could not get away with their fire and rehire tactics. The Government did not listen to the warnings about where this would lead voiced by Opposition MPs and even a few in their own party, nor to workers at British Airways and the trade unions. We are in this situation today because this Government failed to act to protect workers in and of this country.

P&O’s skilled and experienced staff are being replaced by workers paid £1.80 an hour. That is morally unacceptable, but this is not just a moral issue, nor is it merely about employment law. It is about safety risk. Lloyd’s of London—hardly the most radical organisation in this country—has raised concerns, saying that the change of crew represents an underwriting risk that needs to be “swiftly assessed”, including an assessment of whether the ships can be considered seaworthy with a crew of unknown provenance who are unfamiliar with them.

I am old enough to remember the 1987 sinking of a ferry in Zeebrugge with the loss of 193 people, and the subsequent inquiry, which found that weak corporate culture was a factor. Ironically, that ship was named the Spirit of Free Enterprise. Now, in 2022, P&O’s tactics call to mind what a Conservative Prime Minister described as the “unpleasant face of capitalism”.

[Karl Turner]

Will my hon. Friend give way?

[Ruth Cadbury]

I think I would get in trouble if I did.

For too long, there has been a dirty bargain between UK Ministers and cowboy employers, such that employers know they can get away with it. They know what happens: Ministers appear at the Dispatch Box, all bluster and outrage, but what happens next? Absolutely nothing. In 2020, we saw thousands of British Airways employees being fired and rehired. Over 400 of my constituents were cast aside, and even now about 1,000 BA staff have significantly weaker terms and conditions. What is worse is that the Government were giving these companies billions of pounds of taxpayers’ support—a blank cheque—while they abused their workforces.

Ministers cannot just stand at the Dispatch Box and offer crocodile tears and words of wind. If they really care, they can use the might of their offices to stand up for workers. Specifically, they can outlaw fire and rehire, they can suspend contracts with DP World, and they can remove it from the UK Government’s transport advice workforce.

We told the Government in 2020 that they needed to act to send a clear message to bad employers. They did not listen. The Secretary of State’s key ask of P&O is to change the names of the ships. If the Government do not act today, the dial shifts. What is seen as outrageous behaviour this week could become the norm, in which the message is that all employers can treat their workforce how they like.