Action promised over P&O jobs

Cross-Channel bookings are down

The prime minister has promised to do "anything possible" to find new jobs for more than 600 workers set to be laid off by ferry operator P&O.

Tony Blair was responding to Dover MP Gwyn Prosser who told the Commons the job losses gave him "a sickening feeling of deja vu".

P&O announced on Tuesday plans to cut 525 crew jobs and over 80 dockside positions on its cross-Channel route between Calais and Dover.

The announcement is a further blow to Dover as 300 jobs are already to be axed from Hoverspeed and 200 jobs are to go at Royal Mail.

If the government doesn't subsidise P&O then you will have 600 people on the dole receiving income benefits that the government's got to subsidise anyway Bob Crow, Rail, Maritime and Transport Union

Union and council representatives have said they fear for the economic future of Dover if the job losses go ahead.

P&O said the job cuts formed part of a strategy to take one of its eight ferries on the Calais-Dover route out of service by next year.

It said the move was in response to the tourism industry downturn and growing competition from no-frills airlines.

Mr Prosser described the job losses as "devastating news", speaking at Prime Minister's Question Time on Wednesday.

He asked of Mr Blair: "Does he share my sickening feeling of deja vu?"

Declining demand

The Prime Minister replied: "Obviously I regret very much the redundancies at P&O Ferries which I understand are connected with a decline in demand on the Dover to Calais route.

"I can assure my honourable friend we obviously are in discussion with the company and we will do anything we can through the rapid response service to make sure that anybody who is made redundant is found alternative employment."

Earlier Mr Prosser had told the BBC he thought the scale of the proposed job losses showed P&O had "over-reacted".

Dover's council leader feared jobs would also be lost at the port

He said: "I hope that over the next three months of consultation the trade unions will get to grips with the figures and identify what the real job losses should be."

Bob Crow, general secretary of the Rail, Maritime and Transport Union, said the government should subsidise the company to limit job losses.

Mr Crow said: "There's been the Channel Tunnel Rail Link, when it got into trouble they came up with money and they came up with money for the nuclear industry.

"We think that the shipping industry should be something that we are proud of.

"If the government doesn't subsidise P&O then you will have 600 people on the dole receiving income benefits that the government's got to subsidise anyway.

"I've got to say that Dover will be affected as well, because you will have 600 people with no wage packets any more to buy products in Dover."

Paul Watkins, the leader of Dover District Council said he feared the cuts could lead to hundreds of other job losses in the port and the town's international post office.