Ferry operator in Britain must explain layoffs

LONDON (AP) — A government-owned ferry operator in Dubai has until Tuesday to explain why it fired 800 workers without warning, while British authorities said they could seek criminal sanctions if it is found that the company acted illegally.

P&O Ferries fired crew members in a Zoom call last week and then sent security teams to ships to evict workers, sparking protests in ports across the UK. The guilds say that their members have been replaced by foreign workers hired through an agency and who are paid $2.38 per hour.

The British government informed P&O that the company appears to have violated rules requiring employers to consult with unions and notify authorities before firing large numbers of workers. The government wants to know why the company thinks the rules don't apply to it.

“It is important that we receive the exact details and we need to collect them in one place, because there are criminal penalties in this matter, including an unlimited fine,” said Business Minister Paul Scully, who is responsible for labor affairs, in statements to Sky News.

British law requires employers to consult with unions and pay the minimum wage, now at £8.91 ($11.75) per hour for workers aged 23 and over. But shipping companies that sail international waters can evade these rules by registering in other countries.

P&O Ferries serves ports in the UK, Ireland, France and Holland. It is owned by the global logistics company DP World, a unit of Dubai World, which is in turn owned by the emirate government.

On Monday, lawmakers criticized the British government for not acting to stop the layoffs, although it had advance knowledge of the company's plans.

Labour Party spokeswoman for transportation issues Louise Haigh said she had obtained a memorandum showing that the government was aware of P&O's plans, but that the document did not express concern about the measure.