Q5 (20 Marks) International Conventions 🔥 Repeated 3x in exams
SSEP • Written Exam

(a) According to Article 2 of the Maritime Labour Convention (MLC) 2006, what are the essential elements that must be included in a Seafarers' Employment Agreement (SEA)? How does the SEA ensure the protection of seafarers' rights? (10)

(b) Explain how CBAs are used to negotiate and establish the terms and conditions of employment for seafarers under the MLC 2006. How do CBAs contribute to ensuring fair wages, working conditions, and dispute resolution for seafarers? (10)

Appeared In: Jul 2026Jun 2025Aug 2024

Verified Model Answer (Text Solution)

Structured for DG Shipping MEO Class II examination scoring criteria.

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Part (a)

Essential elements of a Seafarers' Employment Agreement (SEA) under Article 2 of the MLC 2006, and how it protects seafarers' rights.

The MLC 2006 (Regulation 2.1, the "SEA" standard) requires that every seafarer be covered by a written SEA signed by both the seafarer and the shipowner (or the shipowner's representative), together with a copy of any applicable collective bargaining agreement (CBA). The essential elements that must be included are:

  • The seafarer's full name, date of birth or age and place of birth.
  • The shipowner's name and address.
  • The place and date of signing of the agreement.
  • The capacity/rank in which the seafarer is employed.
  • The amount of wages or the formula used to calculate them, and the agreed currency.
  • The amount of paid annual leave or the formula for calculation.
  • Any terms for repatriation.
  • The reference to any applicable CBA.
  • Health and social security protection benefits to be provided by the shipowner, as defined in national law or CBA.
  • The entitlement to repatriation, the amount of paid annual leave, notice period for termination, and any permitted grounds for termination.
  • The seafarer's rights in case of illness, injury, or death during employment (medical care, compensation).
  • The minimum hours of work/rest periods and the manner of computing working time.
  • Details of the life insurance/compensation cover.

The SEA must be signed by the seafarer and shipowner; a copy must be available to the seafarer and to the ship, and (on request) to a seafarer's representative. The SEAs and CBAs are carried on board.

How it protects seafarers' rights: The agreement sets out a clear, enforceable contract that establishes wages, leave, working hours, welfare, medical care, repatriation and termination rights, so a seafarer cannot be exploited by vague oral arrangements. It lets the flag State, port State and the seafarer verify conditions, provides the basis for enforcement and dispute resolution, ensures payment of wages and repatriation are contractual obligations of the shipowner, and (with the DMLC) demonstrates compliance during inspections. It effectively prevents unfair termination and provides a document by which complaints can be pursued.

Part (b)

CBAs and MLC 2006: how they establish terms and conditions, and their contribution to fair wages, working conditions and dispute resolution.

Collective bargaining agreements (CBAs) are agreements negotiated between the shipowner (or employer's association) and a trade union/workers' organisation representing the seafarers. Under the MLC, the shipowner may conclude a CBA with one or more seafarers' organisations representing the seafarers concerned and the standard collective agreement can set wages and working conditions, provided that the CBA covers and implements the minimum standards of the MLC. A CBA often supplements or is referenced in the SEA, setting out wages, overtime, leave, manning, accommodation, food, welfare and safety conditions in line with (but not below) the Convention's requirements.

How CBAs contribute:

  • Fair wages: CBAs fix wage scales, overtime rates, allowances and leave pay through negotiation, which establishes a transparent, enforceable rate of pay, helping to ensure that seafarers are paid at least the agreed amounts and promptly.
  • Working conditions: CBAs set rest hours, rotation patterns, leave periods, manning and welfare arrangements, ensuring decent standards and providing consistency across ships of a company.
  • Dispute resolution: CBAs include grievance and disciplinary procedures, and provide for resolution of disputes through the union and/or arbitration; they also establish channels for the seafarer's representatives to be heard. Where a CBA covers a matter, the shipowner's compliance with it is auditable under the MLC.
  • Contribution to the MLC system: because the MLC expressly recognises CBAs as a legitimate way of implementing parts of the Convention (subject to no less favourable treatment), they allow flexibility in implementation while ensuring all seafarers receive at least the Convention minimum, and they can be used as evidence of compliance in flag and port State inspections and in the DMLC.
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