header-logo header-logo

23 March 2022
Issue: 7972 / Categories: Legal News , Employment
printer mail-detail

Ferry sackings cause shockwave

P&O Ferries will face expensive legal action for firing 800 crew members with immediate effect via video call, lawyers have predicted

The Dubai-headquartered ferry operator, which sacked the workers last week without consultation, is hiring agency workers to replace the staff on lower wages. It said the action was necessary because it made losses of £100m last year. 

The RMT and Nautilus unions are considering what legal action to take. Trade union law firm Thompsons described the sackings as ‘a shocking disregard of the most basic employment law.

‘The law states that if you’re dismissing more than 20 employees, you must consult with them. The larger the number of employees being dismissed, the longer the consultation should be―up to 45 days.’

Alex Mellis, of No5 Barristers’ Chambers, said: ‘In the short term, we may well see the trade unions seek an injunction in the High Court, although we would expect to see it imminently if it were to happen at all and it is likely to enter a relatively untested area of law.

‘This would essentially force P&O to carry out the consultation with workers that should have happened.’

He said the unions could also bring a complaint to the employment tribunal for failure to provide consultation, and the tribunal could order a protective award ‘in the form of a week’s pay for a period of 90 days, dependent on the severity and egregiousness of the breach by the employer, so we could see P&O needing to pay out up to 90 days’ additional pay for all 800 employees.’

Mellis said: ‘There are also grounds for these workers to individually claim for unfair dismissal...the pay-out will be capped at a year’s salary for every employee who takes this step, which may well be a similar amount to the recently announced “enhanced” redundancy packages that have been discussed.’

Issue: 7972 / Categories: Legal News , Employment
printer mail-details

MOVERS & SHAKERS

Laytons ETL—Maximilian Kraitt

Laytons ETL—Maximilian Kraitt

Commercial firm strengthens real estate disputes team with associate hire

Switalskis—three appointments

Switalskis—three appointments

Firm appoints three directors to board

Browne Jacobson—seven promotions

Browne Jacobson—seven promotions

Six promoted to partner and one to legal director across UK and Ireland offices

NEWS

From blockbuster judgments to procedural shake-ups, the courts are busy reshaping litigation practice. Writing in NLJ this week, Professor Dominic Regan of City Law School hails the Court of Appeal's 'exquisite judgment’ in Mazur restoring the role of supervised non-qualified staff, and highlights a ‘mammoth’ damages ruling likened to War and Peace, alongside guidance on medical reporting fees, where a pragmatic 25% uplift was imposed

Momentum is building behind proposals to restrict children’s access to social media—but the legal and practical challenges are formidable. In NLJ this week, Nick Smallwood of Mills & Reeve examines global moves, including Australia’s under-16 ban and the UK's consultation
Reforms designed to rebalance landlord-tenant relations may instead penalise leaseholders themselves. In this week's NLJ, Mike Somekh of The Freehold Collective warns that the Leasehold and Freehold Reform Act 2024 risks creating an ‘underclass’ of resident-controlled freehold companies
Timing is everything—and the Court of Appeal has delivered clarity on when proceedings are ‘brought’. In his latest 'Civil way' column for NLJ, Stephen Gold explains that a claim is issued for limitation purposes when the claim form is delivered to the court, even if fees are underpaid
The traditional ‘single, intensive day’ of financial dispute resolution (FDR) may be due for a rethink. Writing in NLJ this week, Rachel Frost-Smith and Lauren Guiler of Birketts propose a ‘split FDR’ model, separating judicial evaluation from negotiation
back-to-top-scroll