Seafarers’ Wages Bill [HL]

Overview of the Bill

1 The Seafarers’ Wages Bill’s focus is on improving remuneration for seafarers with close ties to the UK and is part of the Secretary of State for Transport’s nine-point plan, 1 announced on Wednesday 30 March 2022.

2 The purpose of the Bill is to grant protection to seafarers working on ships that regularly (at least once every 72 hours) use UK ports by ensuring that they are paid at least an equivalent rate to the UK National Minimum Wage (NMWe) while in UK waters, irrespective of the nationality of the seafarer or flag of the vessel. The term "NMWe" is used throughout this document reflecting the fact that the Bill makes no changes to National Minimum Wage legislation. In practice, the Government’s intention is that NMWe will enable seafarers within scope to be accorded the same minimum pay for core hours worked whilst in UK waters as those working on domestic services that already qualify for NMW, i.e. currently £9.50 per hour for those 23 years old and over. The Government considers the creation of such a condition upon port access to be the most effective mechanism to ensure application to ships and therefore seafarers calling frequently at UK ports, while observing international obligations.

3 To enable this, the Bill:

● empowers harbour authorities and the Secretary of State (including through the Maritime and Coastguard Agency (MCA)) to make payment of an equivalent rate to the National Minimum Wage a condition of access to UK ports;

● explicitly empowers harbour authorities to levy surcharges and suspend access to ports in order to incentivise compliance; and

● empowers the Secretary of State to make directions in respect of these provisions.