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NO TO SOCIAL
DUMPING
Channel 4’s ‘Undercover Boss’ on August
6 showed Stena Line CEO Gunnar
Blomdahl, disguised as Norwegian hotel
worker ‘Per Hansen’ on board ‘Stena
Mersey’ from Birkenhead to Belfast,
‘Stena Britanica’ from Harwich to Hook of
Holland and ‘Stena Nordica’ on the
Holyhead-Dun Laoghaire crossing.
To make sure viewers ‘got the point’ of
this TV ritual humiliation show (where
bosses gain workers’ confidence by
‘going undercover’ pretending to be a
fellow wage slave to spy on their
workforce), Per/Gunnar wore a Ken Dodd
wig. ‘You look homeless’, trilled his
daughter as he modelled his ‘working
class look’ in her swanky London flat.
The programme showed Philippino
cleaners working for Stena 11 hours a
day, seven days a week, six months on,
two months off for three to four dollars -
approximately £2.56/hour.
In 2010 unions exposed Stena profiting
from extreme pay discrimination.
Historically, the UK’s 1968 Race Relations
Act excluded seafarers. It was entirely
legal for shipping companies operating in
UK waters, from UK ports to discriminate
on grounds of national origin when it
came to pay.
This deliberate practice of differential pay
based on nationality, although clearly
discriminatory, was even retained for UK
ships when the Race Relations Act was
amended in 1976. Whilst separate
sleeping, eating or sanitary
accommodation on grounds of race for
passengers and crew was finally banned,
pay discrimination continued to be lawful.
The result, a vicious downward spiral of
pay apartheid, illegal in any other
occupation, that acts as an incentive to
shipowners to export seafarers’ jobs to
the lowest-wage economies in the world
and which should cause revulsion in any
society based on equality, dignity and
human rights.
Stena’s response? This is ‘normal
practice’ in international waters where the
British minimum wage does not apply.
Did Gunnar feel Stena treats Philippino
crew equally? He told Channel 4: “We
use Philippino crew to stay competitive
because our competitors are working the
same way.
“They don’t earn as much as others, but
back in the Philippines they have much,
much lower costs,” he said.
Even the public relations propaganda of
‘Undercover Boss’ can’t disguise the
fundamental injustice and damage to our
jobs caused by pay apartheid. The effect
of workers doing the same job alongside
each other for different rates of pay drags
down wages remorselessly and is known
as social dumping.
Social dumping in the maritime sector
has been aided and abetted by EU
liberalisation of ferry services since 2004.
Irish Ferries quickly replaced 543 Irish
seafarers with predominantly eastern
European agency crew and reflagged its
vessels to Cyprus cutting wages by half.
In December 2007 the European Court
ruled the Finnish Seafarers’ Union and the
International Transport Workers’
Federation acted unlawfully to prevent
Finnish ferry company, Viking Line
employing Estonian crew on lower wages.
In 2010, German-owned shipping
company ‘Merizon’ using Estonian-
flagged vessels, started a low-wage ferry
operation between Liverpool and Douglas,
Isle of Man, only halted by RMT’s
campaigning action.
The Daily Mirror has now revealed that
cross-channel ferry operator Condor
Ferries was paying Ukrainian crew less
than £30 for a 12-hour day - that's
£2.35/hour "including overtime". Condor
vessels are flagged in the Bahamas, thus
avoiding the 2010 Equality Act - which
now bans different pay rates for different
nationalities on UK-registered ships.
According to one estimate the combined
potential wage savings of UK shipowners
is around £260 million.
Yet RMT’s sister union the Maritime Union
of Australia has recently won an
agreement with statutory force that
requires all ships using Australian ports to
pay union-negotiated rates of pay to all
workers regardless of nationality. The
MUA also campaigns to ensure that
employers and contractors employ
Australians (especially Indigenous
Australians) and provide much-needed
training to young people.
RMT’’ Docks and Shipping Biennial
General Meeting this year called on our
union to fight the race to the bottom
spreading from deep-sea and cruise
sectors to ferries.
So in August I joined activists, officers
and executive members from RMT
shipping branches outside Southampton
Dock gates where P&O ‘Carnival Cruises’
pay Indian waiters on board its luxury
liners £0.70 per hour (plus tips) and if
they protest they are ‘not required back’.
Trades Councils, the National Shop
Stewards’ Network and even
Southampton mayor Derek Burke and
councillors joined us to give a clear
message: “No to Social Dumping”. RMT
is working with all unions nationally and
internationally to stamp out the scourge
of social dumping.
Alex Gordon
RMT helpline 0800 376 3706 :: september 2012 :: RMTnews
23
PROTEST: Southampton mayor
Derek Burke and councillors
joined the RMT demonstration to
say “No to Social Dumping”
President’s column