On May 18, it was announced by the International Chamber of Shipping (ICS) and International Transport Workers’ Federation (ITF) that after a bipartite round of negotiation, there is a new deal. Maritime transport is the only sector with a formally recognized global minimum wage, which has existed for seafarers since 1958.
The UN International Labor Organization (ILO) once again convened the latest bipartite round of negotiations between shipowners and seafarers’ unions from across the world, coordinated by ICS and ITF, respectively.
The agreement applies universally to the rating grade of Able Seafarer and is widely recognized by the global shipping community as contributing to decent work and employment for seafarers, to support themselves and their families, recognizing that the overall well-being of seafarers is inextricably linked to their economic well-being.
During the previous round of talks, concluded at the UN ILO in September last year, shipowners and seafarers set the minimum wage to US$648 from 1 July 2022.
At the latest round of negotiations, the social partners agreed to structure the new three-year deal through annual increases, up to $673, from 1 January 2023 to 1 January 2025, as follows:
- $658 as of 1 January 2023
- $666 as of 1 January 2024
- $673 as of 1 January 2025
Photo credit: iStock/ Dikuch