Ministers should trigger immediate "criminal action" against P&O Ferries after the company sacked 800 staff without warning or consultation, Labour has said.
Shadow transport secretary Louise Haigh told the Commons the government can act straightaway and bring legal action under the Trade Union Act against the Dubai-based firm.
The Government has given the company a deadline of 5pm on Tuesday to explain its shocking decision last Thursday to fire all 800 British workers by video message and without consulting unions.
Shortly after the sackings, footage emerged of workers being marched off ships by balaclava-clad security staff in what the RMT union described as "one of the most vicious examples of despotic employer behaviour and one of the most shameful episodes in its recent industrial history".
Transport Secretary Grant Shapps told MPs he was notified of the company's plan to at 8pm the day before, but companies ordinarily have a duty to inform the government of mass redundancies.
Ms Haigh has called on the government to do more to punish the company's behaviour, adding ministers so far have written a "strongly worded letter".
She said P&O staff "spoke movingly about how P&O felt like a family", adding. "The reward for that loyalty? A summary dismissal via a pre-recorded video. Years of dedication ended with them being marched off the ships they lived and worked on by private security guards.
"They have a four year old child that they no longer know how they will feed and clothe. They told me, with tears in their eyes, that they felt they’d been treated like criminals.
"This was not a grim Dickensian depiction - belonging to another era. This was the United Kingdom, in the twenty-first century.
"And It is nothing short of a scandal that this Dubai-owned company – which received millions in taxpayers money during the pandemic – can tear up the rights of British workers. All while their profits soared by 52% last year. This cannot, it must not stand. We cannot allow British workers, and this country, to be taken for a ride."
She added: “The Government must start by immediately commencing criminal action against P&O Ferries for their flagrant breach of employment law. It should mean unlimited fines not only for the company but for directors and managers or any of those who are complicit.
“It is in the gift of the Business Secretary under the 1992 Trade Union Act to begin that action and he must do it now. If he won’t he must explain to the public why he will not act to protect British workers.”
The sackings has led to major demonstrations in Dover and elsewhere, with campaigners demanding P&O reinstate workers.
Mr Shapps insisted P&O Ferries could face criminal action and unlimited fines.
The Transport Secretary said it is “not too late” for discussions involving P&O to “salvage the situation”, adding: “We made it absolutely abundantly clear that the reputation of P&O Ferries has been badly hit by this episode, not just within government but more importantly with the public as well, many will believe they’ve seen this company’s true colours.
“It’s been quite clear that it’s been handled by the company absolutely disastrously, which is why we’ve asked the Insolvency Service to look at the notification requirements and consider if further action is appropriate – especially if, as we’re concerned, the relevant notice periods weren’t given, the relative consultation didn’t take place, and I can inform the House that that would be a matter for criminal prosecution and unlimited fines as well."
He later added: “I implore P&O Ferries to reconsider their decision. It’s not too late to acknowledge their mistakes. I hope the reaction to that now infamous video in the House, the media and across the country tells them that this approach is quite simply acceptable.”
It came as reports emerged that P&O had hired agency workers and was paying them as little as £1.80 an hour - well below the UK's minimum wage.
P&O will be asked to rename their ships if they hire non-British staff to replace sacked workers, Mr Shapps said.
The Spirit Of Britain, Pride Of Canterbury and Pride Of Hull are among the names used for the operator’s ferries.
Mr Shapps said seafarers who were fired are being offered redundancy terms “on the condition they sign a non-disclosure agreement” as he criticised the company for trying to “keep employees quiet and trying to pay them off in return”.
But Labour MP Andrew Gwynne, intervening, said: “It seems to me what he’s saying is that it’s absolutely unacceptable, indeed its outrageous, that the Pride Of Britain will be staffed by non-British workforce on the basis that they’ve been sacked in an inappropriate manner.
“But were the Pride Of Britain to be staffed by a non-British workforce and they had been sacked by the appropriate channels, that’d be OK. That’s not taking back control, it’s weak.”
