Feature: The great EU Filipino crew conundrum

Thursday, 15 May 2014 | 00:00

So just to clarify: The Philippines has failed an audit of its maritime training by inspectors from a European Union safety agency but its seafarers are OK to carry on working on EU-flag ships. The Asian country may, however, fail another audit and then Filipino seafarers may not be o.k. Perhaps this is the right way to put it: The Philippines is in a perpetual state of being audited and no-one will ever know for sure whether Filipino seafarers are EU-approved.
The news last month that the EU, after months of indecision and speculation, had decided that, while a report by the European Maritime Safety Agency (EMSA) had made it clear the Asian country did not meet the required standards, The Philippines would not be derecognised, was greeted with a mixture of relief, confusion and, in some quarters, a total lack of surprise.
The relief was felt most strongly in Manila where the government and manning agencies had, despite public expressions of confidence, been fearing the worst. Confusion was bound to have been caused among the former and employers of Filipino seafarers, as the EU avoided saying it would not derecognise The Philippines.
For some, however, the news was not news. These sceptics had long ago taken the view that the EU would not and could not take such a drastic step, given the importance of Filipino seafarers not just to EU-flag, but world, shipping. Their remittances – around USD 5 billion a year – are also important to the Asian country.
One recent estimate by the European Shipowners Association put the number of Filipino Masters and officers on EU-flag ships at 15,000. This dependence on The Philippines for a large proportion of the industry’s seagoing manpower may have given rise to the belief it was “too big to fail” but, according to one industry association, “all stakeholders” had stated this was not the case.
The EU decision has been welcomed by some as “providing the balance between an outright ban and a clean bill of health”. Others might see it as a messy compromise.
In the meantime, with inspectors peering over its shoulder, The Philippines will be working hard to sort things out, with “technical assistance” from EU member states in the form of either money or specialists in training and administration. This is already happening through either individual countries or companies but perhaps now the amount of money spent on training seafarers by the EU (and Norway) will reach the level seen by some as necessary.
The EU decision did not, of course, take place in isolation. The European bloc is in talks with The Philippines government on strengthening economic ties. Fewer restrictions on EU imports from the Asian country might see the latter smoothing the way for foreign direct investment, moves that could lead to a free trade association. It was, perhaps, coincidence too that at about the same time the EU also lifted a ban on Filipino airline, Cebu Pacific, from flying in its skies (a similar ban on Philippines Airline was lifted a year ago).
The EU, however, is also keen to help another Asian labour-supply country along the path to liberal, capitalist democracy. Sanctions against Myanmar (Burma to some) have been lifted, trade between the two is expanding fast and last month talks were held on promoting bilateral investment.
Last year, in a sign of growing interest in employing Burmese seafarers, a shipmanagement company with existing offices in Singapore and Manila, opened a crewing office in Yangon, the Burmese capital. Employers casting around for new or alternative crewing sources might want to check whether a country is EU-approved.
The EU maintains a list of recognised “third countries”, with the most recent in January this year including not only still-recognised The Philippines and all the other major labour-suppliers but also Myanmar/Burma. Georgia, newly restored after being de-recognised in 2010, is also on the list.
With the EU requiring The Philippines to provide by the end of July evidence of how it has rectified the identified deficiencies and a further EMSA inspection scheduled for October, the threat of derecognition remains. The question remains how serious the threat is. “Failure to resolve any remaining issue may result in the loss of EU recognition,” the EU said. “May”, not “will”.
A likely outcome of the continuing EU indecision is that ship owners with Filipino officers will, to remove uncertainty, move their ships out of EU flags, although they still then face the risk that if their ships trade in waters and call at EU ports they may face restrictions and even detentions.
If a ship is flagged outside the EU, employers can check either individual flags’ lists or the so-called White List maintained by the International Maritime Organization (IMO) but it would be wise to make sure whichever list is used it is up-to-date. To keep White List status countries like The Philippines have to be audited to ensure compliance with the latest version of the Standards of Training, Certification and Watchkeeping (STCW).
Maybe in 20 years’ time someone will ask: “Did the EU ever get round to banning Filipino seafarers?” And the answer will come: “No, but everyone got tired of waiting, so switched to China, Burma and Vietnam.” (This, of course, assumes that in 20 years’ time ships will still require to be crewed.)
But before then in January 2017, which might seem a long way away but will be here before most people know it, all seafarers will have to be qualified and certified under the STCW 2010 amendments. These are also known as the “Manila Amendments” – a phrase which in time may come to acquire a whole new meaning. Source: BIMCO