Termination of Seafarers’ Employment: Procedures, Rights, and Warnings

1. General Principles

Termination of a seafarer’s employment is strictly governed by:

• Maritime Labour Convention (MLC 2006) — Regulation 2.1 Seafarers’ Employment Agreements and Regulation 2.5 Repatriation;

• ILO Convention No.180 (on hours of work, wages, and manning of ships);

• and the relevant Collective Bargaining Agreements (CBAs) approved by maritime unions such as the ITF, AMOSUP, and others.

Any termination must be in written form, with a clear reason, effective date, and full settlement of all due payments and repatriation rights.

2. Legal Grounds for Termination

A Seafarer’s Employment Agreement may be terminated in the following cases:

1. Completion of Contract — after the vessel’s voyage or crew change.

2. By the Employer, when:

   • the vessel is laid up or sold;

   • the seafarer commits misconduct or neglects duties;

   • the seafarer is found medically unfit for duty.

3. By the Seafarer, when:

   • there are medical or urgent family reasons (documented);

   • the shipowner breaches contractual terms (non-payment, poor food, unsafe conditions).

4. By Mutual Consent, signed and dated by both parties.

5. Due to Force Majeure, such as shipwreck, war, arrest, or natural disaster.

3. Notice Periods and Documentation

According to ITF Standard CBA (2024):

• Seafarers must be notified at least 7 days before contract expiry if the vessel remains in service.

• In case of termination initiated by the company — a 14-day written notice or equivalent payment in lieu must be provided.

• Disciplinary termination requires a formal investigation, with the seafarer given an opportunity to explain in writing.

4. Disciplinary Actions and Written Warnings

Under most CBAs and internal company policies, disciplinary measures follow a progressive warning system:

1. First Written Warning
   Issued and recorded in the Official Log Book, signed by both the master and the seafarer.
   It serves as notice for a first offence — e.g., lateness for watch, failure to follow orders, or minor misconduct.

2. Final Written Warning
   Issued upon a repeated violation during the same contract period.
   After the second warning, the employer has the right to terminate the contract and disembark the seafarer at the next convenient port, provided that a written report and disciplinary record are submitted to the manning agency and, where applicable, the ITF representative.

In all cases, the seafarer must be allowed to submit a written explanation, and a copy of each warning is attached to the personal file.
This two-step warning procedure ensures fairness and protects both parties under MLC and ITF standards.

5. Repatriation and Related Expenses

According to MLC Regulation 2.5, the shipowner must:

• provide free repatriation to the country of residence or place of recruitment;

• cover all travel, meals, and accommodation costs until arrival home;

• pay all wages, leave pay, and contractual entitlements up to the termination date.

If termination occurs at the seafarer’s own request without valid reason, the cost of repatriation may be deducted from the final settlement — as stated in most CBAs.

6. Final Payments and Entitlements

Upon termination, the shipowner must ensure:

• Salary up to the date of discharge;

• Leave Pay — compensation for unused annual leave;

• Repatriation Allowance, where applicable;

• Severance Pay — typically 1–1.5 basic monthly wages under ITF/IBF standards.

All payments must be confirmed by signatures of both parties on the Final Settlement Sheet or Payroll Record.

7. Termination for Misconduct

In cases of serious misconduct — such as intoxication, theft, violence, or refusal to obey lawful commands — the contract may be terminated immediately.
However, the master or company must:

• prepare a formal report and record the incident in the Official Log Book;

• notify the union or ITF inspector;

• ensure the seafarer’s safe repatriation at the next port;

• pay all earned wages up to the day of dismissal.

Immediate termination without documentation or explanation is considered a breach of MLC standards.

8. The Role of Unions and the ITF

Maritime unions and the International Transport Workers’ Federation (ITF) monitor the legality of dismissals and ensure compliance with CBAs.
In disputed cases:

• The seafarer has the right of appeal through an ITF representative.

• The company must provide copies of all disciplinary documents and evidence.

• The ITF may temporarily suspend crew changes or manning until the case is resolved.

Under Guideline B5.1.5 of MLC, each company must maintain a formal grievance procedure accessible to all crew members.

9. Modern Trends

From 2023 to 2025, early terminations have become more frequent due to:

• fleet reductions and operational digitalization;

• smaller manning levels through vessel automation;

• heightened security risks and restrictions in high-risk areas.

Modern CBAs now include:

• electronic termination notices,

• digital repatriation documents,

• and SEA e-record payment verification, ensuring transparency and traceability.

Conclusion

Termination of employment at sea is a legally regulated process that must respect international labour standards and human rights.
Adherence to MLC 2006, ILO, and CBA provisions ensures that every seafarer receives fair treatment, full payment, and safe return home.

⚖️ Core Principle: No seafarer shall be dismissed without due cause, proper documentation, and the opportunity for written warnings —
two formal warnings must precede disembarkation, except in cases of gross misconduct.