Monthly news and views on shipping, offshore and transport recruitment - commercial, technical, legal and insurance

Distributed free to over 10,000 maritime professionals worldwide

IN THIS ISSUE

Welcome
The law commission insurance law review
LNG salaries
Seafarer round-up
A load of old cobblers
Dry cargo survey
Face to face
Free internet hotspot for seafarers - is this a first?
Earn £400

WELCOME

"SHIPPING? What's that all about then?"

How often have you been on the receiving end of a comment like that? If, like us, you've lost count, you no doubt recognize, with frustration, the invisibility of our great industry. Like any minority (although we are a significant one) we huddle together in ghettos - Piraeus, Nor-Shipping, London, Posidonia - and the rest of society only ever sees us, when, like a mugger from the 'hood, we commit some crime, leaving oil-spattered victims in our wake.

But, no more. Instead, like a phoenix from the ashes, shipping is emerging from the bad news shadows. Our former Chairman Michael Grey, a shining beacon who has sailed through many a five year special survey unscathed, has found a way to put a positive spin on the latest shipping casualty. So much so in fact that we hear he is now been pursued by Britain's political leaders as they seek new purveyors of spin for the next UK General Election.

In an article in the Spring 2007 edition of 'Seafarer' magazine* Michael looked down upon the MSC Napoli from a variety of perspectives: "But there was one very positive aspect to this regrettable shipwreck, in that on the front pages of our newspapers and in the TV news bulletins, people who never think for a second about how their goods are actually carried around were given a salutary reminder of why we all need ships. People who, every day, take shipping completely for granted, were provided with an insight into the watery world of present-day maritime trade. "Here, spread out for the TV cameras on the South Devon beach, was a cornucopia of goods that were being transported by this big ship from North Europe down to South Africa, but had seen their voyage rudely interrupted."

How true this is. During our routine shipping training at Spinnaker when a recruiter joins us from outside the industry we immerse them in sea water until they come up talking sea-speak. We have recently welcomed on board Nicola Wood, who has a civil engineering recruitment background, and Talia St.Clayre, who has joined us from the world of finance recruitment. And the MSC Napoli has proved a useful addition to our training talks. They've seen it, they know what was on board (even if the shiny new motorbikes and personal possessions have been driven away by modern-day Devon beachcombers, otherwise known as thieves).

We teach them though, that shipping is not all about casualties; none of them can ever remember the name of another. And we always enjoy the gasps and looks of surprise when we tell them a few facts about shipping. For example:

" It costs half a cent per litre, of the purchase price, to transport crude oil from the Middle East to the US
" It costs ten dollars to ship a TV set from Asia to Europe
" Ships can cost as much as two hundred million dollars
" A football pitch is 100m long, the Eiffel Tower is 318m tall, the Swiss Re Gherkin is 180m tall, the world's largest ship the Jahre Viking is 451m long
" A ULCC carries enough oil to heat a city for a year and the largest bulk carriers carry enough to feed half a million people for a year
" A cargo vessel carrying over 8000 tonnes emits 15g CO2 per tonne kilometer compared to a 747's 540g

It's not a bad industry. It can even be quite interesting. And there's a great company that gets excited about recruiting for it. Give us a call on +44 (0)1702 480142 or visit our website www.shippingjobs.com.

*SEAFARER is the magazine of the Marine Society & Sea Cadets. Support the £2.5m MSSC New Training Ship Appeal. The third London Maritime Charity Ball has selected the appeal as its charity this year. The ball is being held on HQS Wellington on Friday July 6th by the Honourable Company of Master Mariners in conjunction with a variety of other organizations. For a booking form contact assclerk@hcmm.org.uk. To make a donation to the appeal call MSSC on +44 (0)20 7654 700 and ask for the fundraising department. www.ms-sc.org

THE LAW COMMISSION INSURANCE LAW REVIEW

Some very important proposed reforms to insurance law are on the table and the London Shipping Law Centre needs your valuable contribution! The Law Commission Insurance Law Review takes place on Tuesday 17th April 2007, 5.30 for 6.00pm. Venue: Ince & Co., International House, 1 St Katherine's Way, London, E1

Issues to be discussed include:
* The effect of misrepresentation and non-disclosure: Should there be no automatic right to avoid for negligent misrepresentation/non-disclosure? And, no right to avoid for innocent misrepresentation?
* The effect of breach of warranty: Including the implied warranties under MIA 1906 ss 36-41. Should there be no right to avoid for breach of a warranty that was not material or where the loss was not causally connected to the breach? Whether any change is needed to MIA 1906 ss 42-46, which operate in much the same way as warranties.
* Freedom of contract

Co-Chairmen: Peter Rogan and Professor John Lowry

Panellists:
Professor Hugh Beale - The Law Commission
Alan Weir - Ince & Co.
Peter MacDonald-Eggers - 7 King's Bench Walk

To book this or any other LSLC events go to http://www.london-shipping-law.com/bookingform.asp.

LNG SALARIES

Seafarer salaries in the tanker market and particularly the LNG market have been the cause of much discussion over the past couple of years. They appear to have reached levels that are attractive even to US seafarers! Will this lead to a new paradox, a reversal of the decline in western seafarer numbers? Who knows? Salary trends need a long enough life to filter out to potential cadets. Certainly shore-side shipping salary news has in recent years caught the attention of a wider audience beyond the usual cohort of shipping graduates, as shipbroking and chartering (sorry it's "freight trading" nowadays isn't it…?) salaries have begun to rival those in wider financial industries.

Of course, it's not just salaries which promote local recruitment. "Positive protectionism" is another way. On March 23rd the US Maritime Administrator approved a deepwater port license in Massachusetts Bay for Neptune LNG (a subsidiary of SUEZ Energy North America). The license includes provisions for the training and employment of US officers and crews aboard SUEZ LNG tanker fleets. According to the US authorities, "Such agreements represent sound public policy and create vital opportunities for U.S. mariners in the LNG industry. The Maritime Administration will work to establish similar commitments with other deepwater port license applicants for planned projects throughout the United States." At present, there are six deepwater port LNG applications pending.

One man's meat is another's poison and in this vein international shipowners have warned the US against taking protectionist measures to force the use of US-flagged and crewed ships in US LNG trades. The International Chamber of Shipping and the International Shipping Federation warn that this could lead to retaliation by other countries. They argue that due to SOLAS, MARPOL, STCW and ISPS compliance there is nothing to suggest that non-US flag carriers are any less safe that US flag ships.

We'd be very interested to hear of your experiences, rumours and gossip surrounding LNG salaries and shortages both at sea and ashore. What have you heard? What do you think is happening or going to happen out there? Send us an email to ebranson@shippingjobs.com.

SEAFARER ROUND-UP

A number of interesting articles in the March edition of The Telegraph (now the Nautilus Telegraph and not NUMAST Telegraph for those of you not paying attention). Here's a quick summary:

The UK has issued 14,600 certificates of equivalent competency in the last five years to enable foreign officers to serve on UK flagged ships. 4144 of these were issued last year alone, a 17% rise on the previous year. Brian Orrell of Nautilus: "The system is presently producing a pool of cheap labour for the UK fleet that is undermining the efforts to rebuild British maritime recruitment and training."

EU Transport Commissioner Joe Borg has hinted that seafarers could gain the benefit of social and employment legislation equivalent to shore staff. He said there is a need to reassess whether seafarer exemptions from such directives as those dealing with collective redundancies or the transfer of undertakings are still justified. "A maritime career has too often been associated with discomfort, hardship and danger. In today's society, where more and more importance is attached to leisure, security and convenience, such prospects are hardly enticing and to improve the image of the sector, we therefore clearly need to address these concerns."

With EU backing the Netherlands has tabled a proposal to enable port authorities to request crew visa information before a ship is cleared for arrival. This implies visas could be required for simple shore leave (as will be the case in Australia from 1st July). This amendment to the IMO Convention on Facilitation of International Maritime Traffic conflicts with the principles of the new Maritime Labour Convention.

Cut-price seafarers sources are dying out we are told in one article referring to an interview with V.People's David Greenhalgh. Another article goes on to say that seafarers from low-cost countries look set to take an increasing share of the international maritime labour market. US figures show that Asian countries supplied 60% of seafarers visiting their ports in 2004, Eastern European nations 22%, China 9% and India 8%. The proportion of western Euopean masters has dropped from 37% in 2000 to 23% in 2004. The data shows more developing nation junior officers rising up the ranks.
92% of newly qualified UK officers were offered immediate employment according to a joint Nautilus / Chamber of Shipping study last year but 40% of companies still do not train officers.

A LOAD OF OLD COBBLERS

No sooner do we write a good news story about shipping then the UK's Guardian newspaper goes and writes a load of old cobblers on the subject of shipping and CO2 emissions.

"Carbon dioxide emissions from shipping are double those of aviation and increasing at an alarming rate which will have a serious impact on global warming." Interesting and, even if true, it didn't seem to us a bad statistic given that shipping carries 90% of world trade!

The shipping industry has responded robustly but none better than Lloyd's List's Neville Smith in a feature article for BIMCO news. A few of the best bits below. Visit www.bimco.dk for the full article.

It was an extraordinary moment. I flicked through the page of the respected, albeit left-leaning UK daily newspaper paper to read that "CO2 output from shipping [is] twice as much as airlines". Leaving aside the illiteracy of a paper famously lampooned for its laxity, it was still a stunning piece of misinformation.

There was even a picture of a ship (complete with smoky funnel) in case readers didn't know how their flat screen TV had got from Shenzen to Sheffield, but there was more. "Maritime emissions not covered by Kyoto accord" ran the sub-heading. True, but hardly news. "Studies suggest 75% rise in 15 years as trade grows" it continued. Ah, studies - the journalist's friend - those useful statistics commissioned, collated and presented with a summary and conclusion in mind, so they don't have to tax themselves by reading the whole thing.

…The International Chamber of Shipping pointed out that IATA's own data confirms aviation is responsible for 13% of all CO2 transport-related emissions; road transport 75% and the remaining 12% made up of shipping, inland waterways and rail. The UK Greenhouse Gas inventory shows that CO2 emissions from international shipping fell by 11% between 1990 and 2004 and while those from aircraft rose 109% in the same period. More figures, more honed statistics but a retort to be sure. So letters were written but did the newspaper retract? Did they publish a balancing article? Did they attend the industry-sponsored roundtable on ship emissions a week later? What do you think?

…A week or so prior to the story being published, an e-mail landed in the Lloyd's List office suggesting that shipping should get ready for a PR battle with the airlines since the latter were beefing up their lobbying on CO2 emissions and climate change, not wishing to have their business model destroyed by our new-found love of the environment. Curious but not particularly interested, we put it on the spike. Now it seemed prescient, so a call was made to its author who confirmed he had "done some work" with the journalist concerned and come up with the story. Presumably having tracked down BP's environment director, the writer got a quote and a bit of background and a few calls to a few soft sources later, the job was done.

I subsequently met a different PR who suggested that input had been made to the article on the basis that "we wanted a front page story". Thank God that didn't happen because the first PR - the one who sent the e-mail - turned out be pushing, yes, you've guessed it: a system for CO2 abatement. Game, set and match to the PR industry. More might subsequently have been done to demonstrate that PR does on occasion operate in a moral vacuum for commercial purposes, but it is the shipping industry itself which once again is the big loser.

…This week I'll be attending the Green Ship conference in Antwerp where I fully expect to hear debate (not to mention breast-beating) and technological innovation (not to mention real progress) in "greening" shipping. This is something the industry knows it has to do and it is acting on it - for commercial and moral reasons - and it will have targets in future. So why does the resolutely ignorant mainstream media set the agenda? Why is shipping so bad at communicating the debate inside the industry and the new realities that will result?

The ignorance displayed by the daily newspaper - from the writer through a complete checking process which failed to notice that it was publishing complete cobblers - boggles the mind. In the meantime, the shipping industry wrings its hands, furrows its brows and complains of being misunderstood. You'd better believe it. As a member of the industry, albeit a surrogate one, I've never felt so misunderstood in my life.

Go Neville!

DRY CARGO SURVEY

Last month on shippingjobs.com we ran a Spinnaker mini salary survey to help us to provide consistent and up to date salary information in the fast moving dry cargo operations area. It makes interesting reading so rather than relying on our dubious analysis why not take a look yourself!

Go to http://www.questionpro.com/akira/ShowResults?id=646983&mode=data.

FACE TO FACE

Networking and client referrals are leaving conventional lead generation techniques such as cold calling and exhibition attendance in the past, according to sales professionals surveyed by sales and marketing recruiter Tanner Menzies.

It found that 54% of people think that word of mouth and being able to put a face to a name are the most powerful tools when it comes to high end sales.

In contrast, exhibition attendance (3%) was deemed to be the least successful means to establishing robust leads, followed by cold calling (19%).

Tanner Menzies' operations director, Alistair Cleland, says: "Individuals working in the sales profession have been shaking off clichés surrounding out-dated, hard-sell tactics for the past decade and the survey results reconfirm not only a shifting attitude but also a clear cut success rate in a target driven industry."

While cold calling and marketing (22%) continue to generate leads in some market sectors, Cleland believes clever sales professionals will place even greater importance on networking across the coming 12 month period.

FREE INTERNET HOTSPOT FOR SEAFARERS - IS THIS A FIRST?

Is this a first? If so, hopefully it's the first of many. The Mussafah Offshore Supply Base (MOSB) in Abu Dhabi is launching an internet hotspot during the second quarter of this year for all mariners visiting the base. The Base is run by ESNAAD, a subsidiary of the Abu Dhabi National Oil Company (ADNOC). Fittingly, for an offshore support base, the word esnaad means support in Arabic. ESNAAD runs its own fleet, port services, property management and oilfield services businesses at the Base, which is 40kms by road from the city centre of Abu Dhabi.

Internet coverage for seafarers will extend to all 14 berths within the facility and will allow mariners to maintain contact with their families and offices for free.

If you know of any other similar facilities or other innovative seafarer welfare services, do let us know.

EARN £400

Below is a list of vacancies currently available. However, if you are not interested or not suitable for any of these positions but you know someone who might be interested, you can EARN YOURSELF A £400 referral fee by passing details of the vacancy onto them.

You simply need to go to http://www.shippingjobs.com/jobseekers/referral_scheme.asp and complete our simple form giving us details of the person you have referred the job to. Subject to the terms of the scheme, if that person gets the job, you get £400. Simple.

(Please note that those marked with an 'AD' reference are advertised directly by the client and are therefore not eligible for the scheme.)