The encyclopedia · Advertising & PR · Marketing decision · 2022
P&O Ferries told MPs it broke the law sacking 800 sailors — and it would do it again
After sacking 800 crew without notice, P&O's CEO told MPs it broke the law, said he'd make the decision again, and revealed replacements earned £5.50 an hour.
P&O Ferries · 2022-03
What happened
P&O Ferries, owned by Dubai's DP World, runs ferry routes between the UK and continental Europe. By 2022 it said it was losing money and that its crew costs were uncompetitive. On 17 March 2022 it sacked around 800 seafarers without notice and without consulting their unions, replacing them with cheaper foreign agency workers. The abruptness — crews told they were fired as they boarded — sparked immediate outrage and protests in Dover, Liverpool and Hull.
A week later, on 24 March 2022, chief executive Peter Hebblethwaite gave evidence to a joint parliamentary committee. He admitted there was 'absolutely no doubt' the firm had been required to consult unions and that it had chosen not to — 'I completely throw my hands up.' He said no union would have accepted the plan. He told MPs the new crew would be paid an average of £5.50 an hour, below the UK minimum wage. And asked whether he would change anything, he said: 'I would make this decision again, I'm afraid.'
The response turned a labor dispute into a national scandal. The Conservative chair of the Transport Committee said it was 'untenable' to admit breaking the law with no regrets and that Hebblethwaite 'needs to hand his card in'; the business committee chair said he should be 'fined, struck off and prosecuted.' The government promised to close the loophole P&O had used. P&O escaped criminal prosecution — the Insolvency Service saw no realistic prospect of a conviction — but a civil investigation continued, and the scandal fed into new seafarer protections in the Employment Rights Bill.
Why it happened
- Hebblethwaite combined three things a crisis response should keep apart: an admission of illegality, a refusal to consult, and an absence of regret. Each alone was survivable; together they were not.
- Saying 'I would make this decision again' told the public, the unions and the government that the company felt no constraint, removing any reason to give it the benefit of the doubt.
- Revealing that replacement crew would earn £5.50 an hour, below the UK minimum wage, gave the story a concrete, morally loaded detail that travelled far faster than the company's cost argument.
- The legal position — that consulting was required but skipped — was weak to begin with, so an open admission foreclosed the only defence the company might have preserved.
The lesson
A company can survive admitting it broke the law. It cannot survive adding 'we'd do it again.' P&O's CEO handed critics the exact words they needed, and spent three years unable to take them back.
Aftermath
Hebblethwaite stayed for three more years — DP World initially said he would not be sacked — but the admission haunted him. At a later hearing he reversed course, arguing the sackings were not illegal and saying he was 'deeply sorry' and 'would not make that decision again.' On 29 August 2025 P&O announced he was stepping down to 'dedicate more time to family matters.' The RMT union, which had called him a 'corporate pirate,' welcomed a 'Hebblethwaite-free ferry industry.' The scandal outlasted him: it became a reason for new protections against fire-and-rehire for seafarers.
Sources
- BBC News: P&O Ferries boss who sacked 800 staff quits (resignation, 29 August 2025)
- CNBC: Britain's P&O Ferries broke the law in laying off 800 staff, boss says
- BBC News: P&O Ferries — not consulting on job cuts broke law, boss admits (24 March 2022 evidence)
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