Yesterday was the "Day of the Seafarer," which is sponsored by the International Maritime Organization ("IMO") on June 25th every year. It was interesting to watch the cruise industry’s trade organization, the Cruise Line International Association ("CLIA"), promote the day on it’s social media pages like Twitter and Facebook.
Crew members on cruise ships find themselves in a precarious position in 2016. Cruise lines overwork and underpay crew members from countries like the Philippines, India and Indonesia with impunity. Cruise lines like Royal Caribbean and Carnival pay no U.S. taxes by incorporating themselves in foreign countries like Liberia and Panama and registering their ships in third world countries like the Bahamas (the New York Times just published Tax Dodging on the High Seas). Although cruise ships are collecting record billion-dollar profits each year, they provide no job security, no meaningful union representation, or basic benefits like retirement programs of any significance. Moreover, cruise lines have taken an adversarial attitude against their ship employees where they have systematically stripped crew members of the legal rights historically reserved for seamen.
Here are at least seven ways that cruise lines are abusing crew members today:
Cruise Lines Unreasonably Overwork Crew Members – Cabin attendants, galley employees and waiters and other crew members work a minimum of ten to twelve hours a day, sometimes far more, seven days a week, for eight to ten months a year. They have no time off. It’s all legal because cruise lines don’t have to comply with U.S. labor laws due to their foreign incorporation and flags of convenience. Cruise lines are supposed to have been obligated to work their crew members a maximum number of hours with mandatory rest periods pursuant to MLC2006. But many companies flaunt the maritime labor code. Crew members are still often prohibited from logging in to work when they appear on duty to prepare their work stations or attend meetings. Department heads and supervisors often force crew members to sign out of the Kronos time system and keep working "off the clock." Compliance with the strict USPH standards leads to the managers overworking the crew. I chronicled the abuse aboard the Oceania Riviera earlier this year where crew members were forced to work 18 to 20 hours a day.
The excessive manual labor is hazardous to the crew members physical and mental health. "Cumulative trauma disorder" is a term I learned while representing crew members working for Royal Caribbean. Sometimes the pressure causes crew members to snap, as this recent altercation between a cook and a chef demonstrates, and it may be one reason perhaps why there are so many suicides at sea.
Univision Noticias and the Columbia Journalism School just published an exhaustive research project and multi-media presentation "Vacation in No Man’s Sea" with a section on the abuse of cruise ship employees – Sweatshop On The High Seas (by Damia S. Bonmati).
Cruise Lines Under-Pay Crew Members: Crew members working these insane hours are often paid exclusively by passenger tips. It’s quite a scam where the non-tax paying cruise line require their tax-paying U.S. guests to pay the cabin attendants and waiters for the long hours they work. Cruise lines are all increasing their automatic gratuities with the implication that the extra nickel-and-dimming is for the crew members. But the reality is that the cruise lines are either diverting the tips to pay the non-tip-earning employees’ salaries or they just steal the money outright. Meanwhile, many passengers refuse to pay the auto-gratuities and then refuse to pay any tips to the crew.
Cruise Lines Prohibit Crew Members from Organizing or Protesting – A number of readers suggest that crew members should organize and protest their mistreatment. But the last time that crew members protested low wages, Carnival fired all of the waiters on one of its cruise ships and black-balled the crew members from the cruise industry.
Cruise Lines Fire Crew Members at Will – Crew members know that if they complain about the working hours, or the pay, or the stolen tips, they will find themselves on a one-way flight back to Mumbai. Cruise lines, notwithstanding the language in the employment contracts about the right to appeal, etc., can terminate the employment of a crew member for any reason, good reason, bad reason or no reason. Cruise lines often terminate the jobs of crew members who complain of work-related injuries and can do so with little legal recourse. We receive literally dozens of emails a month from crew members back in India or in east Europe who have completed their medical treatment and are at MMI ready to return to work and have waited for months without word from the hiring partner trying to get back to work. They are being played by the cruise lines and are waiting in vain.
Cruise Lines Provide Few If Any Benefits to Crew Members – A couple of years ago, Carnival terminated the retirement program for Filipino crew members, some of who had worked over a decade for the company. Royal Caribbean still has a nominal retirement benefit, around $5,000 if a crew member works for 10 years. If Royal Caribbean follows the Carnival model, it won’t be around when RCCL crew members retire in the next few years.
Cruise Lines Force Crew Member to "Arbitrate" Their Disputes – Following NCL’s decision to send the cases of Filipino families of crew members killed in the boiler explosion on the SS Norway in 2002 to Manila for arbitration under the POEA, all U.S. based cruise lines (except Disney Cruises) inserted mandatory arbitration clauses in crew member employment contracts. By doing so, cruise lines stripped the rights of seafarers to file suit in the United States before a judge and jury. Cruise lines also inserted foreign law from countries like Panama, or Bermuda or the Bahamas into employment agreements which have few laws protecting seafarers.
Cruise Line are Working to Strip Crew Member from the Protection of All U.S Law which Protect Seafarers at Sea – Lobbyists for CLIA have convinced certain lawmakers to insert anti-crew member legislation as add-ons to bills before Congress designed to strip the protections of seafarers from U.S. laws such as the Jones Act, which has provided the right of seafarers to sue maritime employers who act negligently, in U.S. courts. This has been the centerpiece of crew member maritime law for 96 years. CLIA has been at the forefront of these efforts. It panders to the sentiment of some US. lawmakers that U.S. courts should be be closed to "foreign" seamen notwithstanding the fact that the cruise industry is essentially comprised of nothing but foreign corporations (except NCL America), based here in Miami, which benefit from their free use of over 25 federal agencies like the Coast Guard, Customs and Border Protection, USPH, and the CDC not to mention the tremendous protection of the cruise lines’ vast revenues by loopholes in our U.S. tax code.
Many cruise fans selfishly feel that paying a fair wage to crew members will result in higher fares to them. Their arguments that crew members "make more than at home" or "they can quit if they don’t like it," seem like flippant "let them eat cake" afterthoughts. Meanwhile fat-cat executives like NCL’S Frank Del Rio make obscene salaries and perks (CEO Del Rio alone raked in almost $32,000,000 last year).
Don’t let CLIA’s recent hollow praise to seafarers fool you. This is a cruise industry which is busy screwing crew members at every turn – at sea, in the courtroom, and in Congress.