Global daily news 12.06.2014
***Cargo ship is banned from leaving region amid wages and safety fears
Sailors aboard a cargo ship banned from leaving a Westcountry port for safety breaches are earning as little as 65p per hour, it has been claimed. The 270ft FB Glory, which is Turkish owned and sails under the Panamanian flag, was detained in Plymouth this week after surveyors from the Maritime and Coastguard Agency inspected the vessel and its records.
Two Turkish members of the eight crew - which also includes Syrian and Indian nationals - left the ship at Fowey to return home, complaining that they had not been paid.
Darren Procter, an inspector with the International Transport Workers' Federa-tion, said: "I have been aboard the vessel in Plymouth and the wages accounts, well I've never seen the like in my life.
"One of the able seamen is on a basic salary of $48 (£28.60) a month. If he works 103 hours overtime, a total of 276 hours a month, he gets a bonus from the company which brings it up to $300 (£178.90).
"The wages are below the International Labour Organisation (ILO) standard and no vessel can trade without being ILO compliant.
"The company say they are going to fix that and we are entering into negotiations with them to make sure that it is resolved."
It is the fourth ship to be detained in Devon and Cornwall this year over concerns about poor maintenance and equipment as well as sub standard living conditions for crew. The region's annual average is two.
A spokesman for the Maritime and Coastguard Agency said: "The MCA has issued a detention notice on the cargo ship FB Glory after an inspection at Plymouth.
"The detention, which prevents the ship from sailing, was served for a number of safety management issues. The detention notice will remain in place until the necessary improvements are carried out."
The 1,600-tonne vessel, which was built in 1986, is owned by Voda Shipping based in Istanbul. Its local agents are Fowey-based South Coast UK.
A spokesman for South Coast UK said he was "not at liberty" to discuss crew pay. Asked about the $48 dollar a month basic pay of one sailor, he said: "I don't know where you have got that from."
"It has all been blown out of proportion," he added. "There is no issue with the crew."
The carrier, which is laden with half a million pounds worth of china clay, had been due to sail to Alexandria, in Egypt, have being part laden in Fowey, before it was impounded.
China clay firm Imerys Minerals said it was "aware of the recent incident". A spokesman said: "Imerys is not party to arrangements made by customers with shipping companies, however, where issues occur we always work closely with the Maritime and Coastguard Agency."
The latest incident has fuelled concerns about the pay and living conditions of ships using Westcountry ports. In April, another Panamanianflagged, Turkish-owned vessel, the Munzur, was held by the MCA in Fowey. Conditions aboard the ship were described as being "unfit for a dog".
The order on the Munzur followed the detention of the livestock MV Express 1 in Fowey in February after concerns were raised about the state of the ship.
What should be done to improve conditions on foreign flagged and owned ships? Leave your comment at western morning news.co.uk
'One of the seamen is on a basic salary of $48 a month' Darren Procter


FROM THE PLYMOUTH HERALD (UK):

***Officials shocked by cargo ship crew earnings
ANDY GREENWOOD
384 words
11 June 2014
Plymouth Herald
EVEHER
1; National
7
English
© 2014 Evening Herald
SAILORS onboard a Turkish cargo ship which was seized in Plymouth Sound are earning as little as 65p an hour, according to reports.
The FB Glory was detained off the coast of Plymouth last week after surveyors from the Maritime and Coastguard Agency inspected the vessel and its records. Two Turkish members of the eight-strong crew, which also includes Syrian and Indian nationals, reportedly left the ship at Fowey to return home, complaining that they had not been paid.
Darren Procter, an inspector with the International Transport Workers' Federation, said: "I have been aboard the vessel in Plymouth and the wages accounts, well I've never seen the like in my life.
"One of the able seamen is on a basic salary of $48 (£28.60) a month. If he works 103 hours overtime, a total of 276 hours a month, he gets a bonus from the company which brings it up to $300 (£178.90).
"The wages are below the International Labour Organisation (ILO) standard and no vessel can trade without being ILO compliant.
"The company say they are going to fix that and we are entering into negotiations with them to make sure that it is resolved." A spokesman for the Maritime and Coastguard Agency said: "The MCA has issued a detention notice on the cargo ship FB Glory after an inspection at Plymouth.
"The detention, which prevents the ship from sailing, was served for a number of safety management issues. The detention notice will remain in place until the necessary improvements are carried out."
The 1,600-tonne vessel, which was built in 1986, is owned by Voda Shipping based in Istanbul. Its local agents are Fowey-based South Coast UK. It is currently moored in Plymouth Sound.
The carrier, which is laden with half a million pounds worth of china clay, had been due to sail to Alexandria, in Egypt, having been part laden in Fowey, before it was impounded.
China clay firm Imerys Minerals said it was "aware of the recent incident".
A spokesman for the firm said: "Imerys is not party to arrangements made by customers with shipping companies however where issues occur we always work closely with the Maritime and Coastguard Agency."


FROM AMERICAN SHIPPER:

***Drewry: Shortage of ship officers will grow
Chris Dupin
374 words
11 June 2014
American Shipper
AMSHIP
English
Copyright 2014. Howard Publications Inc. All Rights Reserved.
A shortage of officers on ships is forecast to worsen and risks impacting carrier profitability, according to Drewry’s recently published Manning 2014 [http://www.drewry.co.uk/publications/view_publication.php?id=416] annual report.
"Owners and managers need seafarers, and they want experience, expertise and quality. However, they do not have the resources to fund substantial rises in remuneration. In recent years, owners and managers have been heavily cost-focused, as weak freight-rate earnings have yielded poor returns. Manning has become the natural target for cost cutting," said London-based Drewry.
Drewry estimates the current officer supply to be 610,000, representing a shortfall of 19,000 personnel. This shortfall is forecast to rise to 21,700 by 2018 given that there will be a requirement for an additional 38,500 officers by this time.
“While ratings (crew) remuneration packages tend to follow International Transport Workers Federation (ITF) standard terms, officer earnings are more market driven,” explained Drewry’s managing director, Nigel Gardiner. “Manning costs look set to come under renewed upward pressure, putting a further squeeze on profitability unless owners are able to push freight rates higher.”
Drewry said there is less supply pressure with members of the crews that are not officers.
"This will have a moderating influence on wage negotiations currently underway between the ITF and International Bargaining Forum, which represents employers. The other factor in owners’ favor is that most seafarers are paid in U.S. dollars. When converted to domestic currency, seafarer earnings tend to compare well with other occupations," it explained.
“But the shortage of officers remains, especially among senior engineering ranks and for specialist ships such as LNG carriers,” warned Gardiner. “There is also a general drift towards shorter working tours and increased benefits which is putting further pressure on supply.”
The International Bargaining Forum is the mechanism by which a group called the International Maritime Employer's Council [http://www.imec.org.uk/] negotiates on behalf of its members with seafarer unions. The IMEC represents 180 shipping companies that operate 9,70 vessels and employ 210,000 seafarers.
Last week, the ITF announced that seafarers working on ships owned by members of the IBF Joint Negotiating Group will receive a 6.5-percent pay increase over the next three years. [http://www.itfglobal.org/news-online/index.cfm/newsdetail/10529]




FROM THE TRANSPORT WORKER MAGAZINE (RMTU):


***Like birds, we fly best with two wings




FROM THE MARITIME EXECUTIVE:


***Looming Seafarer Shortage Will Challenge Carrier Profitability
By MarEx
The current shortage of officer corps seafarers is forecast to worsen and risks impacting carrier profitability, according to Drewry’s recently published Manning 2014 Annual Report.

Owners and managers need seafarers – and they want experience, expertise and quality. However, they do not have the resources to fund substantial rises in remuneration. In recent years owners and managers have been heavily cost focused as weak freight rate earnings have yielded poor returns. Manning has become the natural target for cost cutting, being the single largest element in ship operating costs, with officer recruitment being directed towards the lowest cost source.

Drewry estimates the current officer supply to be 610,000, representing a shortfall of 19,000 personnel. This shortfall is forecast to rise to 21,700 by 2018 given that there will be a requirement for an additional 38,500 officers by this time.

“While ratings (crew) remuneration packages tend to follow International Transport Workers Federation (ITF) standard terms, officer earnings are more market driven,” explained Drewry’s managing director Nigel Gardiner. “Manning costs look set to come under renewed upward pressure, putting a further squeeze on profitability unless owners are able to push freight rates higher.”

However, there is less supply pressure with ratings and this will have a moderating influence on wage negotiations currently underway between the ITF and International Bargaining Forum, which represents employers. The other factor in owners’ favor is that most seafarers are paid in US dollars. When converted to domestic currency, seafarer earnings tend to compare well with other occupations.

“But the shortage of officers remains, especially among senior engineering ranks and for specialist ships such as LNG carriers,” warned Gardiner. “There is also a general drift towards shorter working tours and increased benefits which is putting further pressure on supply.”