The survey of 2,672 seafarers by The Institute for Human Rights and Business (IHRB) and TURTLE was jointly published on World Maritime Day in a report entitled ‘Seafarers and Illegal Recruitment Fees: 2024’.
The research showed that 31% of seafarers had been asked to pay a recruitment fee to secure work on a merchant vessel.
Isabelle Rickmers, the CEO and founder of TURTLE said: “The fact that one in three seafarers are affected, regardless of rank and nationality, is deeply concerning. We simply can no longer ignore this when we aim to move towards clean supply chains.”
Of those asked to pay 26% refused, while the majority, 74%, paid a fee that ranged from less than $99 to more than $10,000.
Of those that paid a fee 35% paid less than $500, while the largest portion 47% was in the $500 – $5,000 range. Some 6% paid over $5,000 – $10,000, and 2% over $10,000.
The problem is particularly acute in India which accounted for 39% of those paying over $1,000. The report quoted an Indian seafarer as saying, “It is almost impossible for cadets to enter this industry without paying this huge amount in the name of a service charge in India.”
Francesca Fairbairn, who leads IHRB’s work on shipping and commodities, said: “Recruitment fees are an injustice that no worker should face, least of all seafarers who keep goods moving around the world, often in challenging conditions. And yet, our research shows these illegal fees are endemic in shipping – and not only endemic but often exorbitant. What’s more, the financial stress they endure can lead to unsafe working conditions on board ships. Seafarers deserve better.”
The illegal fees also push seafarers into debt and the survey found those who have reported paying fees, 29% have accumulated up to $500 of debt to date, 41% between $500 and $5,000, and 15% over $5,000 worth of debt.
“The worse part is I went to borrow all this money,” said an engine cadet from Ghana.
The stress of being in debt impacts mental health of more than quarter of those asked. Of those 43% said it affected their mental health in terms of financial stress, 20% depression, and 18% anxiety and stress.
“As a seafarer we already have lots of difficulties in our life. We have difficulties completing our cadetship and clearing the mate exams with the salary we get as a cadet. The financial difficulties and the burden to take care of our loved ones makes it emotionally more difficult than any other,” said a deck cadet from India.
The charging of recruitment fees is illegal under the Maritime Labour Convention (MLC) yet 74% who were asked to pay a fee did so in part due to a lack of awareness. The shipping companies themselves are also not aware that recruiters are charging fees.
“Part of the problem is lack of awareness among shipping companies and cargo owners that workers pay such fees – they must ensure seafarers aboard vessels they are associated with are not victims of illegal recruitment fees,” said Fairburn.
The report called for effective mechanisms to penalise offending agencies and to provide remedies for seafarers who have paid illegal recruitment fees, including possibly, reimbursement by employers of fees already paid. Seafarers also needed to know where to report such illegal practices.
Credit: Seatrade Maritime
