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Maritime Labour Convention (MLC 2006)

Javier Bru

Mar 09, 2016



Presentación Foro Logístico

Diapositiva 1Maritime Labour Convention (MLC 2006)
Shipping has evolved from being an international industry to the first truly global industry.
Before 1920s: National industries in an international market.
After WW II: Mobile mass of production, open registries and market liberalization.
Gradually globalization of technologies, capital and labor.
1970/80s: Shipping, the first truly globalized industry
A Truly Global Industry
Maritime transport is the backbone of international trade and a key engine driving globalization.
Around 80 % of global trade by volume and over 70 % by value is carried by sea
Estimated 104,305 Commercial Ships (Above 100grt) with a total of capacity of 1,534 Million deadweight
42% of the world fleet is register on Panama, Liberia & Marshall Islands
The average age per vessel is 21.9 years and per DWT 11.5 years
Approximately 1.4 million seafarers daily serve on a worldwide fleet (Approx. 635,000 officers and 752,000 ratings )
No/low tax business environment.
Facilitating the development of a globalized industry
Open Registries
May be evaded.
Global standards necessary to avoid a ‘race to the bottom’
Globalized industry requires global regulations.
A Globalized Industry of Inadequacies
Ship Owners
297 ships attacked in 2012 by Pirates and 585 seafarers remain hostage onboard vessels
The rate of suicide for international seafarers is triple that of shore workers, and they are 26 times more likely to be killed at work.
Market Reality 2012 & 2013
The world seaborne trade grew Approx. by 3.5% in 2012.
Tonnage of the world fleet have grown 37% in the last 4 years (Almost 10 per cent in 2012), as shipowners took delivery of vessels that had been ordered before the economic crisis began.
Supply outstripped demand, the freight rates fell to unprofitable levels for most shipping companies.
“Built in Spain, owned by a Norwegian, managed from Greece, chartered by the French, flying a Liberian flag, carrying an American cargo, crewed with officers from India and mixed ratings from Thailand, Indonesia and the Philippines.
But who takes the blame?”
Between 2001 and 2010, 136 ships and 1,612 seafarers were abandoned. In 2009 alone, at the height of the global economic downturn, a total of 57 vessels were abandoned affecting 647 seafarers.
Crew abandoned and without pay for months were common.
Rust Buckets & Phantom Ships!
A Truly International Industry
- To establish fair competition among shipwoners.
- To establish member flag State, Port State and Labor Supply Countries' responsibilities and obligations:
a.) Labor Conditions.
c.) Social matters on it’s ships.
”No more favorable treatment” provision: to help ensure a level-playing field ( in the context of PSC measures)
August 2013!
and workers.
League of Nations (Former UN).
- First specialized agency of the UN in 1946.
International Labor Organization (ILO)
Objectives of the ILO:
- Develop International Labor Standards.
a.) Freedom of association.
b.) Right to Organize.
e.) Equality of opportunity and treatment.
- Promote development of employer and worker organizations.
- Training and advisory services.
International Labor Organization (ILO)
to compliance and
New Convention:
a.) provides accelerated and less costly amendment procedures for Code updates.
b.) Level the playing field for the shipowners.
c.) Simplified Inspection and certification system.
d.) System to resolve complaints.
e.) Management based approach.
The 37 maritime labour Conventions that are now consolidated (revised) by the MLC, 2006 will be gradually phased out as States that are now party to these Conventions ratify the new Convention.
The substance of most*, of the existing 70 maritime labour instruments (Conventions and related recommendations) adopted by the ILO since 1920 have been updated and are now included - “consolidated” - in the new Convention.
(* The ILO Conventions on seafarers’ identity documents (Nos.108, 185), and on seafarers pensions (No.71) and one already shelved Convention (No.15) are not included in the new Convention.)
A Consolidated Convention
Structure of MLC 2006
Titles (5) – General Principles
Part A: Mandatory Standards
Part B: Non-mandatory Guidelines
Applies to ALL SEAFARERS – seafarer categories are determined by competent authority with consultation with shipowners and seafarers organizations
Applies to ALL SHIPS OF ANY TONNAGE in international voyages ordinarily engaged in commercial activities, unless expressly provided otherwise.
Convention does not apply:
a.) Ships engaged in fishing or similar pursuits.
b.) Ships navigating exclusively in inland waters or waters within, or closely adjacent to.
c.) Ships navigating exclusively in sheltered waters or areas where port regulations apply.
d.) Ships of traditional build such as dhows or junks.
e.) Warships of Naval Auxiliaries
Articles of the MLC 2006
Each Title comprises a number of Regulations, Standards and Guidelines relating to various topics
- Title 1 – Minimum Requirements for
Seafarers to work on a Ship.
- Title 2 – Conditions of Employment.
- Title 3 – Accommodation, Recreational
Facilities, Food and Catering.
Welfare, and Social Security Protection.
- Title 5 – Compliance and Enforcement.
Structure of MLC 2006
Example of vertical integration (extracts)
Title 1. Minimum requirements for seafarers to work on a ship
Regulation 1.2 – Medical certificate
Purpose: To ensure that all seafarers are medically fit to perform their duties at sea

Standard A1.2 – Medical certificate

MLC 2006
Title 1. Minimum requirements for seafarers to work on a ship
Regulation 1.1 – Minimum age
Regulation 1.2 – Medical certificate
Titles of MLC 2006
Titles of MLC 2006
Regulation 2.2 - Wages
Regulation 2.4 - Entitlement to leave
Regulation 2.5 - Repatriation
Regulation 2.6 - Seafarers’ compensation for the ship’s loss or foundering
Regulation 2.7 - Manning levels
Regulation 2.8 - Career and skill development and employment opportunities for seafarers
Titles of MLC 2006
Regulation 3.1 - Accommodation and recreational facilities
Regulation 3.2 - Food and Catering
Title 4 Health protection, medical care and social security protection
Regulation 4.1 - Medical care on board ship and ashore
Regulation 4.2 - Shipowners’ liability
Regulation 4.4 - Access to shore-based welfare facilities
Regulation 4.5 - Social security
Titles of MLC 2006
Introductory paragraphs
Regulation 5.3 - Labour-supplying responsibilities
In addition, Title 5, Part A of the Code has three Appendices and Part B has one appendix.
Titles of MLC 2006
MLC inspection
Minimum Age
Medical certification
Qualifications of seafarers
Seafarer employment agreements
Use of any licensed or certified or regulated private recruitment and placement service
Hours of work or rest
Manning levels for the ship
On-board medical care
On-board complaint procedures
Payment of wages
The Panama Situation
MLC 2006 Ratified Jan 29th, 2009
Shipowners under Panama are currently waiting in anxiety for the adaptation of the Law 2 of January 6th, 2009
Three Social Security Branches to be properly defined? Only Medical Care have been stipulated so far.
Limit Compensation for the ship’s loss or foundering?
Limit of Shipowner Liability?
The future of the Current Crew Accommodation Certificate still uncertain
The Panama Situation
Seaman’s Club
MLC 2006 Reg. 4.4
Local Ports (PPC, MIT, i.e) are not allowing access to the port facility to representatives of seafarers’ welfare and labor organizations due alleged security threats (ISPS Code)
ISPS Code A/16.3.15 & B/16.8.14;
Seafarer – Informed of rights and remedies in alleged non-compliance
Shipowner – To develop DMLC Part II and implement requirements on board ships.
Ship – To implement shipowner’s procedures and maintain records.
Flag State – Development of national laws through DMLC Part I specific to the ship. Review of DMLC. Verify compliance and certify ships.
Port State – Inspection and enforcement in cases of non-compliance.
”No more favorable treatment” provision: to help ensure a level-playing field ( in the context of PSC measures)
Innovative Features of the
No More favourable Treatment
Countries Clear Responsibilities
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