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Looking After Shipping Companies and Seafarers

SMOU launches a new scheme that helps defray accommodation costs for shipping companies and seafaring officers.
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By Fawwaz Baktee 16 Dec 2016
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As the shipping industry is currently facing a cyclical downturn, the Singapore Maritime Officers’ Union (SMOU) has stepped forward to lend a helping hand to Singapore shipping companies that have a Collective Agreement (CA) with the union.

The help comes in the form of 6,000 subsidised hotel rooms at Seacare Hotel for the next two years to help shipping companies lessen their financial load. 

Called the Seafarers’ Accommodation Scheme (SAS), the $300,000 scheme will allow shipping companies to provide quality lodging at subsidised rates for their officers, who are required to present vouchers provided by SMOU to claim these subsidies at the hotel. 

Quality, Affordable, Accessible

The SAS was announced by NTUC Secretary-General (SG) Chan Chun Sing at SMOU’s 65th Anniversary Gala Dinner on 25 November 2016.

Speaking to some 1,400 guests at the dinner, SG Chan said: “Today I’m happy that SMOU is initiating the SAS. It’s a pilot scheme to help our seafarers to have quality, affordable, and accessible accommodation in Singapore. It’s a scheme that draws on the funds and savings of SMOU over all these years to give back to our seafarers to take care of them when times are tough. Our seafarers are at the core of what we do and it is only right we care for them.”

Currently, shipping companies are required to pay for their seafaring officers’ lodging when they are required to sign off a ship or for training in Singapore.

Financial Relief

According to SMOU, the SAS will ensure that shipping companies get a form of financial relief and that the welfare of seafaring officers are not compromised.

Speaking in the capacity of the general secretary of SMOU, NTUC President Mary Liew said: “The current shipping industry is facing some headwinds and is going through a cyclical downturn. Therefore it is important that our union continues to rally around and proactively come up with creative and yet practical ways to help the shipping companies overcome this tough period.”

Shipping companies such as Tai Chong Cheang Steamship Pte Ltd called the SAS an initiative that ensures “a win-win situation for both the shipping company and seafarers.”

The company’s director, Captain William Tan, said: “This subsidy comes as a welcome move amidst the shipping situation now, and it will assure our officers of reasonable accommodation option after they sign off in Singapore.”

Besides the SAS, SMOU announced earlier this year a $1.5 million contribution to shipping companies who have a CA with the union for them to continue their shipboard welfare and training for seafaring officers.

Today, Singapore is home to more than 5,000 maritime establishments that employ over 170,000 people. The maritime industry contributes 7 per cent to Singapore’s Gross Domestic Product. 

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