The sacked staff are being urged by union representatives to stay on board vessels at ports including Dover and Hull and pull up gangplanks.
The ferry brand is owned by Dubai’s DP World, which saw profits in the first half of 2021 leap 52% to $475 million, with pre-tax earnings in 2020 reaching $3.3 billion.
However, a spokesperson for P&O Ferries said: “In its current state, P&O Ferries is not a viable business. We have made a £100 milllion loss year on year, which has been covered by our parent DP World. This is not sustainable. Our survival is dependent on making swift and significant changes now. Without these changes there is no future for P&O Ferries.
“These circumstances have resulted in a very difficult but necessary decision, which was only taken after seriously considering all the available options.
“As part of the process we are starting today, we are providing 800 seafarers with immediate severance notices and will be compensating them for this lack of advance notice with enhanced compensation packages.
“In making this tough decision, we are securing the future viability of our business which employs an additional 2,200 people and supports billions in trade in and out of the UK. And we are ensuring that we can continue serving our customers in a way that they have demanded from us for many years.”
Seafarers’ union Nautilus International said the sackings had been carried out with “no consultation and no notice” by P&O.
General secretary Mark Dickinson criticised DP World: “It is nothing short of scandalous given that this company received millions of pounds of British taxpayers’ money during the pandemic,” he said.
Transport secretary Grant Shapps tweeted: "I am very concerned about the news from P&O Ferries this morning and we will be speaking to the company today to understand the impact on workers and passengers."
Clive Wratten, Business Travel Association chief executive, added: “We are deeply disturbed about the news of mass firing at P&O ferries. This disregard for important roles in the travel sector will have a devastating impact on business travel at a crucial time for recovery.
"Our thoughts are with P&O employees during this uncertain time. The BTA will work with all relevant bodies to support impacted employees in the coming weeks.”
