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P&O Ferries is temporarily standing down 1,100 staff members in response to the coronavirus pandemic.
The operator announced its decision yesterday and said it would be suspending its passenger services between Dover and Calais and focusing all its efforts on bringing in freight to the UK.
Chief executive Janette Bell said due to the pandemic, P&O Ferries was having to respond with new measures to keep the business operational and to keep freight moving.
She said: "With respect to the UK, we bring in about 15% of all the goods the country currently urgently needs. The biggest part of which is food, including fresh fruit and vegetables from southern Europe and North Africa, as well as vital medicines and medical equipment.
"P&O Ferries is also handling important, but hazardous goods, such as detergents and cleaning products.
"Ordinarily, for P&O Ferries to provide the service required for the transport of freight, there needs to be a mix of passengers and cargo on the ships. However, due to the outbreak of Covid-19, there are now very few passengers travelling and we cannot sustain these normal operations.
"Consequently, P&O Ferries will be suspending its passenger business and we will be focusing all of our efforts on maintaining the flow of freight to Britain.
"This means that 1,100 of our hard-working and dedicated staff in the passenger services part of our business will be furloughed onto the government’s pay scheme. Without being able to make this decision, we would not be able to continue any of our operations.
"We will be doing all that we can over the next weeks and months to support all of our staff – furloughed and still working – through these difficult times.”
For those employees affected in the UK, the government scheme will cover 80% of their salary and the company will cover the rest up to their basic salary.
The news comes as the GMB Union called on the government to support ferry workers.
It warned ferry companies may go bust if the government fails to step in and provide much-needed support for the industry.
"They must be allowed to get on with the job of getting goods to the right place at the right time, instead of having to worry if they will be able to pay their staff’s wages..."
Frank Macklin, GMB regional organiser, said: "Whilst the government continues to promise lots of popular and morale-boosting schemes for employers, employees and the self-employed, it has become very apparent access to these schemes and promises is neither easy nor the quick fix that this government are announcing to great fanfare.
"GMB is calling on the government to step up and match its words with meaningful action that will help companies such as P&O to protect their staff.
"They must be allowed to get on with the job of getting goods to the right place at the right time, instead of having to worry if they will be able to pay their staff’s wages or be in a position to carry on trading."
