Two informative slides, compiled by P&O Ferries, reveal the extent of the damage to the company’s business caused by its decision to lay off its crew without notice in March and the disruption that followed.
The slides contain traffic data showing how many cars, caravans, coaches, motorcycles, trucks and walking passengers traveled on the P&O ferries last week.
The figures were released as part of an internal P&O management meeting held at Teams on Monday and later shared with ITV News.
Slides show that during the week ending Sunday, May 22, P&O transported 2,134 touring vehicles between Dover and Calais, traditionally the busiest and most lucrative route of the company, a colossal 92% drop over the same week of 2018.
The number of daily passenger cars traveling on the other P&O routes: Hull to Rotterdam (25%), Liverpool to Dublin (44%) and Larne to Cairnryan (50%) was also significantly below previous levels. to the Covid pandemic.
P&O information slide showing the number of tourists in 2022 compared to 2018
P&O information slide showing the number of tourists in 2022 compared to 2018. Credit: P&O Ferries
“He [Dover-Calais] the numbers are absolutely abysmal, “a P&O manager told me.
“We only had two [out of four] ships operating last week, but still, the port of Dover was busy, but we didn’t, we didn’t even cover the fuel costs on some voyages. Everything is desperate. “
P&O Ferries’ decision to fire 786 of its crew without warning on March 17 was unusually brutal and led to widespread public condemnation.
92%
Falling passenger car between Dover and Calais in the same week in 2022 compared to 2018
The company’s chief executive, Peter Hebblethwaite, admitted that he chose to ignore the legal requirement to consult with unions in advance, but insisted the layoffs were necessary to save the business.
The slides suggest that P & O’s aggressive behavior may also have damaged its business outlook.
P&O freight service across the English Channel has experienced a dramatic drop in trade.
Freight volumes on the busy route between Dover and Calais during the week ending Saturday 21 May increased by 32.3% over the previous week, but from a very low base.
The two P&O ferries carried only 3,022 cargo vehicles, 87.7% less than the company had budgeted.
The company’s freight services across the Irish Sea have been fully operational for several weeks, but traffic on the way from Liverpool to Dublin was 19% below budget last week and traffic between Larne and Cairnryan it was 17% below target.
By contrast, P&O’s Hull to Rotterdam freight service levels have recovered.
P&O information slide showing merchandise numbers in 2022
P&O information slide showing merchandise numbers in 2022. Credit: P&O Ferries
The numbers are staggering, especially as rival companies such as DFDS, Stena and Brittany report in various ways that their ferry business is performing well.
“I would be incredibly surprised if P&O Ferries made money, it’s almost impossible with this level of traffic,” a shipping consultant who works with several of the major operators told me.
“I think the numbers tell you that P&O misjudged the disruption that would be the dismissal of its crew.
“The junior strategist might have told you it wouldn’t work as planned. Thousands of customers have switched to P&O rivals and haven’t returned yet.”
P&O tweet from March 17, 2022 stating that services would be suspended for the “next few days.” Credit: Twitter / POferriesupdate
P&O Ferries suspended its services when it dismissed its crew. The company planned to resume navigation in a few days using cheaper agency crews, but was faced with a number of setbacks and delays.
All eight ships of the company had to pass the safety inspections of the Maritime Agency and the Coast Guard, the regulator, before re-sailing. Three ships failed these inspections, one of them, the Pride of Kent, failed three times. Six of P&O’s ships have returned to service successfully.
Spirit of Britain, the largest ship in P&O’s fleet capable of carrying up to 180 trucks, returned to operation on 26 April. Last week he only carried an average of 27 trucks on the 33 crossings he made between Calais and Dover.
Capacity is part of the P&O problem. The company has been forced to run limited hours across the English Channel while its ships were stranded in the harbor.
YouGov data shows that P&O’s reputation has been severely damaged. Credit: YouGov
But there is also evidence that the company’s reputation has suffered lasting damage. According to YouGov, public opinion on P&O fell after the layoffs and remains “firmly negative.”
P&O’s rival Stena is well-regarded for “impression, value, quality, reputation, satisfaction and [whether to] recommend “.
Some former P&O customers admit that they now avoid using their service.
“I won’t be sailing with P&O unless it’s the only option available,” says Hannah Pierce, whose family runs a 35-truck transportation company.
“We had years of very good service with [P&O] but on the 17th of March they let us fall. It has taken so long to put their ships into service that we have now established relations with DFDS and Irish Ferries. “
“It simply came to our notice then [to their crew] “I am quite old, I have loyalties and I value loyalty. There are reasons for P&O to have hope. The slides suggest that early tourist bookings are recovering slightly.
Earlier this week, P&O revived its agreement to share trips with DFDS across the English Channel and on Wednesday, a seventh ferry, Pride of Canterbury, was authorized to sail again by the regulator.
A spokesman for P&O Ferries said in a statement: “Both the British Spirit and the Pride of Kent have returned to service on the Canal and are carrying passengers normally.
“We are fully booked for the next Pentecost weekend, with booking figures up 20% last week from the previous week.
“The imminent return of Pride of Canterbury will further strengthen our growing momentum and we welcome the steady return of valuable customers as our ships sail again.”
“P&O is certainly in a very difficult position, the big picture is worrying, but it’s too early to judge how things will turn out,” the shipping consultant insists.
“We need to focus on how the company is trading in six weeks. If they are heading into the high summer season and have not yet recovered the business, they are really in trouble.”
The consultant expects P&O to survive. “People can talk about a boycott of P&O anything they want, but in the end, they talk about money,” they told ITV News. “Carriers will change ferry companies for small amounts of money and the passenger market is even more volatile.”
Peter Hebblethwaite is confident that the consultant is right.