Seafarers’ Wages Bill [HL]

Lord Woodley Excerpts

Wednesday 26th October 2022 Lords Chamber

[Baroness Scott of Needham Market (LD)]

My Lords, I added my name to this amendment because the concerns that we have raised in this House have been quite wide ranging, from the principles of the Bill and its compliance with international law to details of its implementation. We are all agreed that we need to do something about the pitifully low wages being paid to seafarers. I think we were all probably quite shocked to hear from the noble Lords, Lord Hendy and Lord Berkeley, just how low they are. But wages are by no means the only problem; rosters and pensions and so on are equally problematic. So we commend the Government for giving this some thought, particularly in the nine-point plan; the difficulty is that if the Bill does not work as intended, nobody is a winner.

We know that the International Chamber of Shipping is very concerned about compliance with international conventions, and we have heard from both the RMT union and the port authorities that they just do not see how the Bill is going to work in practice. We know that the Government do not accept those concerns. That is fine. But it is slightly troubling to me anyway that the key stakeholder groups have not really been listened to.

Rather than re-table amendments on all those issues, I think we have settled on this amendment being the best way forward because it provides an opportunity to review how the Bill is operating in practice and, crucially, how it is fitting with the nine-point plan and with the progress we are making on international wage corridors and so on. We can see how the international shipping community is responding and where the port authorities have found ways of delivering what the Government ask. Crucially, we might be able to work out whether this legislation is resulting in a better deal for seafarers.

[Lord Woodley (Lab)]

My Lords, this amendment is needed to put the seafarers’ charter in the Bill. There is no doubt about that. Voluntary agreements do not work with employers such as P&O which have shown complete and utter contempt for the law and have avoided working with trade unions fighting to preserve local jobs that really keep the economy going. As a good example, the agency crew on P&O ferries are denied the basic ILO right to organise.

We have mentioned often in this debate the Dover-Calais route, and that must be an absolute priority for imposing conditions that P&O and Irish Ferries have to abide by, stopping them exploiting foreign seafarers on poverty pay for long and exhausting roster patterns. We need more ratings to be trained, but it is disappointing to see that only 60 new ratings have been trained since 2020. It is scandalous at a time when demand for ratings is increasing. The number of UK ratings employed in the industry has plummeted, with almost all the jobs operating in and out of UK ports now held by foreign workers.

Will the Government act now to protect our depleted and declining maritime workforce or are they prepared to see UK seafarers suffer and struggle for survival at the hands of law-breaking profiteers such as P&O? I urge everybody to support this important amendment.

[Lord Hendy (Lab)]

My Lords, I have added my name to this amendment, which goes some way to implementing one of the Government’s nine points in response to P&O Ferries’ shameful conduct. That point was the creation of minimum wage corridors and

“asking unions and operators to agree a common level of seafarer protection”

on ferry routes.

In the Minister’s recent letter to us of 21 October, she said that the Government were

“committed to a voluntary Seafarers’ Charter because it avoids confusion, complexity and over-regulation of an industry. It is right to keep this as a voluntary agreement initially, while we monitor the impacts of the Charter. However, we are keeping the need for a legislative basis under review.”

It appears, disappointingly, that discussions have stalled; the last version of the charter has not been circulated since early August, and the forum of employers and trade unions overseeing it appears to have been unilaterally scrapped by the department. The crucial area of roster patterns, which had been agreed by unions and operators —two weeks on and two weeks off—has now stalled, because the Government have proposed that further research is needed. That may be delay the publication of the seafarers’ charter. Is the Minister in a position today to give us a timeline for completion of that vital work?

Still, the principle of collective bargaining lies behind point nine, and also underlies the amendment proposed by my noble friend Lord Tunnicliffe. Given the precedent established by P&O Ferries in abrogating without notice collective agreements with unions that had been updated and developed over 100 years, it is essential for the Government to act to restore protection for seafarers by way of upholding collective bargaining, as intimated in the Minister’s letter.

It may be relevant for your Lordships to note that the EU, which of course covers the countries to and from which most of the routes that we are considering go, has adopted a social pillar, which in principle encourages the social partners

“to negotiate and conclude collective agreements”.

Partly in consequence of that, the European Council and Parliament have recently approved a draft directive on minimum wages. Seafarers are excluded on the basis that ship owners and seafarers’ unions will collectively bargain their own procedures to determine minimum wages. The UK should encourage such sectoral collective bargaining. That would be consistent with our obligations under the trade and co-operation agreement.

A return to encouragement of the social partners in the shipping industry to negotiate a comprehensive seafarers’ charter, impact assessed and monitored in accordance with my noble friend Lord Tunnicliffe’s amendment, is important. I invite the Government to adopt his amendment.