Skip to main content

 

 

ICS ANNOUNCES AGREEMENT ON SEAFARERS' MINIMUM WAGE

Wednesday, November 21, 2018 

In Geneva this week, the International Transport Workers Federation (ITF) and the International Chamber of Shipping (ICS), reviewed the minimum wage agreement for seafarers.

The decision, following two days of negotiations, was to update the minimum wage for an able seafarer by US$27 over the next three years. The wages will provide an overall increase of 4.5% on the current rate of US$614, with an increase of US$4 as of 1 July 2019, followed by an increase of US$7 as of 1 January 2020 and a final increase of US$16 as of 1 January 2021.

The meeting had previously been re-scheduled from June 2018 and the social partners, with the support of the ILO Office, were presented with the current consumer prices changes indices and the impact of fluctuation of the USD in the countries agreed to represent the basis for a formula for the calculation of the recommended minimum wage for an AB.

It was noted that during the period taken into account for the calculation that US$614, the current ILO minimum wage rate for an able seafarer, was below the purchasing power stated in the ILO report prepared for consideration at the meeting. The Social partners provided reasoned arguments and economic forecasts to support their respective positions, including the volatility of the shipping industry, and the necessity to recognize the seafarers’ commitment and the need to agree fair and sustainable conditions.

“This was a difficult negotiation with two very different assessments about what the future holds for shipping and seafarers”, admitted Mark Dickinson, the Seafarers’ Group spokesperson. “We started slowly but gained momentum as the parties exchanged opinions and provided arguments to support their positions. There was strong opposition from the shipowners side for a significant increase. However, I am pleased that at the end pragmatism and common sense prevailed and the social partners worked their way forward to recognise the fundamental role seafarers play within the industry. The principles of social dialogue, which is the basis of a more efficient, fair and progressive industry, were once again demonstrated by the unity of the maritime industry in securing an outcome which was acceptable by all parties. It is an example the social partners should be pleased with.”

Max Johns, the Shipowners’ Group spokesperson explained that “Following active discussions on the current difficult challenges facing our industry, and the importance of preserving future employment for seafarers, I am very pleased to advise that we were able to work together to come to an acceptable result for both parties”.

Reader Comments (0)

There are currently no comments on this article. Why not be the first and leave your thoughts below.

Leave Your Comment

Please keep your comment on topic, any inappropriate comments may be removed.

Return to index

Web Analytics