08 February 2008

Maersk Line replaces Danish crew as cost-cutting measure

Danish chief stewards and ratings are to pay for bad times in Maersk Line, the company has announced. Two hundred of those serving on its Danish-flagged vessels are to be dismissed and replaced with other nationalities on reduced wages.

The cost cutting move follows losses at Maersk Line.

Henrik Sloth, Vice President of A P Moller-Maersk told Danish news agency Ritzau that, “The dismissals are a result of the internationalisation of seafarers seen over a number of years and also of the fact that international crews have proved their abilities and competencies, which means that they can offer an alternative to Danish ship’s cooks and ratings. We currently have to employ seafarers who are competitive”.

He added: “Our results show that we need to make major changes with regard to the operation of our vessels and the cost of flying the Danish flag.”

The move has angered Danish trade union 3F.

“It’s appalling that the seafarers are paying the price for the crisis in the shipping line. The laws around The Danish International Ship register (DIS) make it possible to pass on the bill and replace Danish seafarers with Filippinos,” its Transport Secretary, Henrik Berlau, said.

Quoted in the 3F news bulletin Berlau stated that DIS allows Maersk to pay foreign seafarers lower wages than their Danish collegues on Danish vessels without being accountable to Danish collective agreements. Seafarers now find themselves in a bigger crisis than Maersk Line, he stated, suggesting that the bill be paid by the shareholders instead.