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FranceLatest NewsMinimum wageGlobal HRRedundancy

New French law sets £9.96 minimum wage for ferry operators

by Adam McCulloch 20 Mar 2024
by Adam McCulloch 20 Mar 2024 Photgraph: Grzegorz Wasowicz / Shutterstock
Photgraph: Grzegorz Wasowicz / Shutterstock

Cross-English Channel ferry operators will have to pay their workers a minimum wage of at least £9.96 an hour under a new law being introduced by the French government.

Until now, operators such as P&O have used legal loopholes in the maritime sector to pay workers on foreign-registered ships less than the minimum wage. Newspaper reports this week indicate that wage slips show this can be as little as £4.75 an hour.

Yesterday (19 March), however, French maritime minister Herve Berville signed a decree enacting the “Against Social-Dumping On The English Channel” (Proposition de loi visant à lutter contre le dumping social sur le transmanche) law. The term “social dumping” refers to the practice of replacing existing staff with overseas workers for worse pay and conditions.

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He told ITV News: “We were really shocked by what happened in March 2022. We couldn’t accept that a company can sack 800 seafarers like this. So we needed to do something.

“Not only react, but to show that politics, show that government has to act to protect citizens and seafarers.”

The UK government has been strongly criticised by unions for doing “nothing” about P&O Ferries’ treatment of workers, despite its stern words after 800 workers were sacked and replaced by international agency workers on much reduced wages in March 2022.

In June, however, the UK government’s main response to the sackings will come into force: the UK’s Seafarers’ Wages Act. This seeks to ensure ferry workers are paid the UK minimum wage in UK waters regardless of the flag the ship sails under.

But fears persist among unions that the new law will not be properly enforced, because the onus will be on ports themselves to request a declaration of wages paid by each ship and impose surcharges or prevent harbour access where pay falls short.

Ports in the UK are run by a variety of companies and authorities: DP World, the owner of P&O Ferries, runs Southampton and London Gateway, for example, whereas Portsmouth City Council runs that city’s port and Dover has its own harbour board with members appointed by the Department of Transport.

French ports, meanwhile, are broadly state-owned; they will also be expected to bar vessels and enact fines under the country’s new law.

The surcharge imposed by ports should not be less expensive to pay than to pay seafarers a fair wage, the UK act stipulates.

The UK act does not specifically address shift length and rest periods. These are covered by the 2023 Seafarers’ Charter, the provision of which are voluntary, and criticised by unions for being too weak.

The new French law will, however, also tackle the length of shifts some P&O Ferries workers are having to work, with crews working seven days a week for up to 17 weeks at a time without a break.

Berville described these shifts as “dangerous” and “not moral”.

It’s a national embarrassment that the French government is acting to close legal pay and hours loopholes exploited by P&O Ferries while the UK government still dithers” – Paul Nowak, TUC

The new law sets a maximum of 14 consecutive days on shift for crews working on ships which dock at French ports.

“Can you imagine working for two months without a single day of rest?” Berville said. “How can you, after two months, be in full command of what you’re doing?”

He said the law would apply to all operators serving cross-Channel routes, such as Dover to Calais and Poole to Cherbourg, adding that the highest minimum wage would apply.

Three months to comply

The new law was passed unanimously by the Assemblée Nationale and it gives ferry operators three months to comply. If they don’t, they will face sanctions.

Persistent breaches will result in a fine for the ferry company of up to €7,500 (£6,382) for each crew member involved, and a fine and a possible prison sentence of up to six months for executives.

P&O Ferries and Irish Ferries, another operator that pays less than the national minimum wages of the UK and France, are yet to fully respond to the new French law. Brittany Ferries, however, welcomed the legislation when first introduced in the French legislature in 2023.

“Lawmakers have taken a stand on both sides of the Channel to prevent the proliferation of the low-wage model on ferry routes and Brittany Ferries stands shoulder-to-shoulder with them,” said Christophe Mathieu CEO Brittany Ferries, at the time.

Union reaction

TUC general secretary Paul Nowak said the French government had led the way on the issue, leaving the UK in its wake:

“It’s a national embarrassment that the French government is acting to close legal pay and hours loopholes exploited by P&O Ferries while the UK government still dithers.

“Two years ago, when P&O Ferries unlawfully sacked 800 seafarers without notice or consultation, Conservative ministers said they would change the law to make sure this is never allowed to happen again.

“But the feeble reforms ministers have brought in so far won’t stop another P&O Ferries-type scandal.

“We need a new deal for workers – like Labour is proposing – to make our labour laws fit for the 21st century and give all workers the protection they need.”

Mick Lynch, RMT general secretary said the French taken the lead in dealing with what was primarily a problem for the UK: “The French government is ahead of their UK counterparts in making this change to minimum wage entitlement for seafarers, although operators like P&O and Irish Ferries are being given three months to comply.”

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He said the UK government was still consulting over the secondary regulations in the Seafarers Wages Act “which are excessively complicated” and which were likely to be subject to legal challenge from operators. “Once again, seafarers are caught between aggressive employers and Conservative politicians who want to get away with doing the bare minimum for workers.”

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Adam McCulloch

Adam McCulloch first worked for Personnel Today magazine in the early 1990s as a sub editor. He rejoined Personnel Today as a writer in 2017, covering all aspects of HR but with a special interest in diversity, social mobility and industrial relations. He has ventured beyond the HR realm to work as a freelance writer and production editor in sectors including travel (The Guardian), aviation (Flight International), agriculture (Farmers' Weekly), music (Jazzwise), theatre (The Stage) and social work (Community Care). He is also the author of KentWalksNearLondon. Adam first became interested in industrial relations after witnessing an exchange between Arthur Scargill and National Coal Board chairman Ian McGregor in 1984, while working as a temp in facilities at the NCB, carrying extra chairs into a conference room!

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