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29th March 2022

Legislative Plans by UK Government Against P&O Could Impact Irish Ferries

UK transport secretary proposes new law to ensure minimum wage for ferry crews. The cheaper labour model operated by Irish Ferries has allowed it to gain a competitive advantage over P&O on the English Channel (Dover-Calais) route. AFLOAT adds above is the Irish operator's Isle of Innisfree entering Dover where berthed P&O's Pride of Canterbury, noting a twin also in port, Pride of Kent according to Sky News today, has become the second ferry to be detained by the MCA following failures after an inspection was held.

Plans by the British Government to prevent ferry companies operating out of UK ports paying below the country’s minimum wage could have implications for Irish Ferries, which is owned by listed company Irish Continental Group.

According to the The Irish Times, UK transport secretary Grant Shapps said on Monday he was giving the boss of P&O Ferries “one final opportunity” to re-employ sacked staff on their previous salaries.

In a letter to the ferry company’s chief executive Peter Hebblethwaite, Mr Shapps called on the operator to offer all 800 crew their jobs back and pledged to bring a “comprehensive package of measures to parliament to ensure that seafarers are protected against these type of actions”.

Last week Mr Shapps promised to stop a race to the bottom on declining rates of pay on UK ferry routes, naming Irish Ferries as another operator that “already went down this route”.

He said that he wanted to protect other operators such as Stena and DFDS which were not using “this cheap-labour, below-the-minimum-wage model”

UK legislative changes, as promised by Mr Shapps, could force low-cost ferry operators such as Irish Ferries to increase their wages if they are going to continue using UK ports.

The British transport secretary is expected to outline his plans to change the law on Wednesday or Thursday. Irish Ferries had no comment to make on the potential impact of the proposals.

In 2005, Irish Ferries replaced 543 crew members with eastern European workers paying them less than half the Irish minimum wage in a move that sparked a battle with the unions.

More here on this ongoing ferry sector story.

Published in Irish Ferries

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About the Loughs Agency

The Loughs Agency is a governmental body established under the 1998 Agreement between the Government of the United Kingdom of Great Britain and Northern Ireland and the Government of Ireland. The Agency's goal is to provide sustainable social, economic, and environmental benefits by effectively conserving, managing, promoting, and developing the fisheries and marine resources of the Foyle and Carlingford areas.

The Agency's governing legislation confers several specific functions, including the promotion of development of Lough Foyle and Carlingford Lough for commercial and recreational purposes in respect of marine, fishery, and aquaculture matters. Moreover, the Agency is responsible for managing, conserving, protecting, improving, and developing the inland fisheries of the Foyle and Carlingford areas. Additionally, the Agency has the task of developing and licensing aquaculture, as well as the development of marine tourism.

The Loughs Agency reports to the North South Ministerial Council and its government Sponsor Departments, the Department of Agriculture, Environment and Rural Affairs (DAERA) in Northern Ireland, and the Department of the Environment, Climate, and Communications (DECC) in Ireland. The Departments fund the Agency on an equal basis.

The Loughs Agency's focus on sustainable development is expected to have a positive impact on the economy, environment, and local communities in the Foyle and Carlingford areas. The Agency's efforts to conserve and enhance the region's marine resources, including fisheries and aquaculture, are expected to benefit local communities, promote tourism, and contribute to economic growth.

In conclusion, the Loughs Agency plays a vital role in promoting the sustainable social, economic, and environmental development of the Foyle and Carlingford areas. Its work on marine conservation and development is crucial in ensuring the long-term viability of the region's natural resources and in promoting sustainable economic growth.