Flags of Convenience (FOC)
Today, it is very common for the owner of a ship to register the vessel in a different country. For example, a Danish shipowner may register their vessel in Panama.
Often ships are registered in countries that have very low or no tax costs. This can give benefits to the shipowner, such as less taxes, lower crewing costs and less regulatory control.
When a ship uses a flag like this it is called a flag of convenience (FOC, for short).Two common flags of convenience you might recognise are Bahamas and Panama.
ITF Flag of Convenience campaign
The ITF believes there should be a genuine link between the real owner of a vessel and the flag the vessel flies, in accordance with the United Nations Convention on the Law of the Sea (UNCLOS). FOCs make it more difficult for unions, industry stakeholders and the public to hold ship owners to account. The ITF has been campaigning against the FOC system for many years.
By campaigning against FOCs, the ITF aims to...
- Protect the conditions of seafarers
- Attack sub-standard shipping, irrespective of flag
- Recognise international minimum standards
- Strengthen ITF affiliated unions
The key aim of the campaign is to get rid of the FOC system completely.
ITF Inspectors
At the frontline of the FOC campaign are the ITF Inspectors. These are experienced, qualified trade unionists who visit ships around the worlde. There are 128 ITF Inspectors in 57 countries.
ITF Inspectors visit ships and check that seafarers are being paid properly, that they have adequate food and living conditions and that safety and other requirements meet international standards. ITF Inspectors have the right to inspect a ship, look at records and even arrest a ship if they feel that it is necessary to safeguard seafarers.
In 2016, ITF Inspectors carried out 10,267 inspections and collected more than US$40 million in unpaid wages for seafarers.
FOC and the cruise industry
Today, most cruise ships operate under a flag of convenience. However, since most cruise ships are covered by CBAs, conditions are usually much better. Therefore it is union officers and not ITF Inspectors who visit cruise ships. If you are on board a cruise ship and want to know when your next union visit is, please contact us here mail@nsu.org. Please tell us the name of the ship and cruise company.
You can read more about the Flag of Convenience campaign and ITF Inspectors on ITF's web pages. (Opens in a new browser window)
