SEA ( Seafarer Employment Agreement )

Content of Seafarer Employment Agreement : ( MGN – 477 )

PART 1 - Provisions to be included in all agreements : 

→ The full name, birth place and date of birth (or age at the time of entering into the agreement) of the seafarer.

→ The name and address of the shipowner.

→ The date and place where the agreement is entered into.

→ The capacity in which the seafarer is to work.

→ If the agreement has been made for a definite period, the termination date.

→ If the agreement has been made for an indefinite period, the period of notice of termination required and the circumstances in which such notice may be given.

→ If the agreement has been made for a particular voyage, the destination port and the period following arrival after which the agreement terminates.

→ The health and social security protection benefits.

→ The maximum period of service on board following which the seafarer is entitled to repatriation (which must not exceed a period of 12 months less the number of days statutory paid leave to which the seafarer is entitled).

→ The seafarer’s entitlement to repatriation (including the mode of transport and destination of repatriation) and the circumstances in which the seafarer is required to meet or reimburse the shipowner for the costs of repatriation.

→ The maximum sum which the shipowner will pay to the seafarer in respect of compensation for any loss of personal property arising from the loss or foundering of the ship.

→ Details of any collective bargaining agreement which is incorporated (in whole or part) into the agreement or is otherwise relevant to it.

A seafarer is entitled to paid annual leave of at least 2.5 days per month of employment, plus an additional 8 days per year (in respect of UK public holidays) or a proportion of those periods in respect of

a period of employment of less than one month or one year. This may be taken in installments but may not be replaced by a payment in lieu, except where the seafarer's employment is terminated.

Arrangements for when leave can be taken are to be agreed between seafarers and the employer.

Where seafarers have regular periods of leave as part of their pattern of work (e.g. one month on, one month off) statutory paid leave may be included within that pattern. This should be made clear in the individual’s Seafarer Employment Agreement (SEA).

PART 2 - Provision to be included where seafarer is an employee :

1. The wages (either the amount or the formula to be used in determining them).

2. The manner in which wages must be paid, including payment dates (the first of which must be no more than one month after the date on which the agreement is entered into, with all subsequent dates being no more than one month apart) and the circumstances (if any) in which wages may or must be paid in a different currency.

3. The hours of work.

4. The paid leave (either the amount or the formula to be used in determining it).

5. Any pension benefits to be provided to the seafarer, including any entitlement to participate in a pension scheme.

6. The grievance and disciplinary procedures.

PART 3 - Provision to be included where seafarer is not an employee :

1. The remuneration (either the amount or the formula to be used in determining it)

2. The manner in which the remuneration must be paid, including payment dates (the first of which must be no more than one month after the date on which the agreement is entered into, with all subsequent dates being no more than one month apart) and the circumstances (if any) in which the remuneration may or must be paid in a different currency.

Provision of such information may be achieved by including a cross reference in the SEA to another document such as a collective bargaining agreement, provided a copy of such document is kept on board the ship and is available for inspection by seafarers or Flag State or Port State inspectors.

Each SEA must therefore include a statement signed by the shipowner or their representative and the seafarer confirming that the seafarer

a. has been given the opportunity to review and seek advice on their SEA;

b. has received an explanation of their rights and responsibilities under the agreement before signing it, and

c. that they have entered into the agreement freely.

Minimum Notice Period :

The minimum period of notice to be given by the parties to terminate the seafarer’s employment under an SEA is primarily a matter for agreement between the parties concerned but

a. must be stated in the SEA;

b. must be the same for each party; and

c. must not be less than seven days.

It is recognized that in some circumstances, seven days may be too long a period of notice.

The MLC Minimum Requirements Regulations therefore provide for a shorter period of notice without penalty in the case of a request for termination on “compassionate grounds” (A possible example of “compassionate grounds” might be where, during the course of a voyage it is confirmed that the spouse, partner, child or parent of a seafarer has fallen dangerously ill, been seriously injured or has died), or where the seafarer is dismissed for “gross misconduct” (An example of “gross misconduct” might be a serious breach or ongoing breaches of the Merchant Navy Code of Conduct (if applicable) for which dismissal is the appropriate penalty).

Dealing with seafarer complaints :

The first step in respect of any dispute regarding the application of a Seafarer’s Employment Agreement, or the terms and conditions contained therein, should be the lodging of a complaint on-board the ship for consideration under the on-board complaint procedure.

In the event that the “on-board complaint procedure” fails to resolve a complaint, the seafarer may raise it with an authorized officer in the port where the ship is moored or anchored.

Where the ship is in a port in the UK the complaint should be reported to the nearest MCA Marine Office.

If above steps fail to resolve the complaint or, for any other reason, action in the courts becomes necessary, it should be noted that whilst UK ships are subject to UK law, powers to determine a matter are not restricted to the UK courts. A seafarer or shipowner may undertake proceedings in a court in another country, although such proceedings should normally take account of relevant UK law.