The Insolvency Service is launching criminal and civil investigations into the circumstances surrounding the redundancies at P&O Ferries. 
(see P&O Ferries’ chief told to resign in last week’s BTN.)

The letter, seen here, to Kwasi Kwarteng, Business Secretary by Dean Beale, Inspector General and Chief Executive, The Insolvency Service, clearly states that action is being taken.

“I can confirm that the insolvency service has initiated both formal and criminal investigations into the circumstances surrounding the recent redundancies made by P&O Ferries.

It comes after P&O’s Chief Executive, Peter Hebblethwaite, told Transport Secretary Grant Shapps there would be no U-turn on the firm’s decision, after Shapps told the company to reinstate the sacked workers.

Shapps has also asked the Insolvency Service to consider disqualifying P&O’s boss from acting as a company director.

The announcement by the Transport Secretary was made last week as part of new plans related to pay for the ferry industry. It followed P&O’s decision to sack 786 employees without notice and replace with them with agency workers.

At the time Shapps said the new package of measures would encourage P&O Ferries to “fundamentally rethink” its decision.

He also urged ports to block ferries from docking if they refused to pay their crew the UK minimum wage.

However, unions have expressed disappointment that the plans do not go far enough for workers who have already lost their jobs, the BBC reported.

P&O Ferries claimed on 1 April that all but one of the sacked employees had taken steps to accept the redundancy offer made by the company, the BBC added.

www.poferries.com

www.gov.uk/government/organisations/insolvency-service