SOUTH KOREA Trends and Developments Contributed by: Choon Won Lee and Dahee Kim, Jipyong LLC
Korean shipping industry – and potentially the global maritime sector – awaits guidance on the permissible scope of collaborative practices in a highly regulated and essential sector. First Collective Agreement for Korean Seafarers Background and key provisions In August 2024, the Federation of Korean Sea - farers’ Unions (FKSU) and the Korea Shipown - ers’ Association signed the first-ever collective agreement for Korean seafarers, marking a his - toric milestone in the maritime labour sector. The deal aims to significantly enhance working conditions for seafarers by addressing several long-standing issues. Key provisions include: • Expansion of paid vacation days: Seafarers will receive additional paid leave, acknowl - edging the need for extended rest periods after long voyages. This includes compensa - tion for utilised and unused vacation days, ensuring no economic loss for unclaimed leave. • Gradual extension of retirement age: The retirement age will be raised in phases to address workforce shortages and align with increasing life expectancies. This change reflects global trends of retaining experienced workers longer in industries facing skilled labour shortages. • Improved compensation for occupational diseases and survivors: Enhanced benefits will be provided for seafarers suffering from work-related illnesses or injuries. Additionally, survivors of deceased seafarers will receive improved financial support, including newly introduced special condolence payments for bereaved families. • Mental health and welfare initiatives: While not explicitly detailed, the agreement emphasises the importance of holistic welfare, including
mental health support, recognising the unique challenges of seafaring life, such as isolation and fatigue. Historical context For decades, maritime labour in Korea – and globally – has been characterised by arduous conditions, extended working hours and signifi - cant periods of separation from family. These factors, combined with the hazardous nature of seafaring, have contributed to declining interest in maritime careers among younger generations. This collective agreement represents a signifi - cant shift, demonstrating the maritime industry’s commitment to improving job satisfaction, work- life balance and long-term career sustainability. Global context and alignment with international trends The Korean agreement aligns closely with inter - national efforts to enhance seafarers’ rights, as championed by organisations such as the Inter - national Transport Workers’ Federation (ITF) and the International Labour Organization. Key global frameworks influencing this agreement include: • The Maritime Labour Convention, 2006 (MLC 2006): Often described as the “seafarers’ bill of rights”, this Convention establishes seafar - ers’ minimum working and living standards. The Korean agreement goes beyond MLC 2006 requirements by introducing unique benefits such as special condolence pay - ments and compensating unused vacation days. • ITF advocacy: The ITF has consistently cam - paigned for stronger protections for seafarers, particularly concerning mental health, fatigue management and fair compensation. As one of the world’s largest shipbuilding and ship - ping nations, Korea’s leadership in maritime
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