Nearly one in three seafarers have been asked to pay illegal recruitment fees to secure work aboard merchant ships, according to new research published as the industry launches a major initiative to stamp out the practice. The findings, released on the Day of the Seafarer, have prompted the creation of an online toolkit designed to help shipping companies identify and eliminate recruitment fee risks across their crewing supply chains.
Research Findings
Research by the Institute for Human Rights and Business (IHRB) and maritime consultancy TURTLE found that 31% of seafarers surveyed had been asked to pay for a job, despite such fees being prohibited under the Maritime Labour Convention. Almost half of those charged recruitment fees paid between $500 and $5,000, while some reported paying more than $10,000. Nearly three-quarters of those asked to pay ultimately did so, often because they were unaware the practice was illegal.
"You cannot solve a talent shortage with an industry that charges people to enter it," said Isabelle Rickmers, CEO and founder of TURTLE. "Illegal recruitment fees do more than break the law, they poison the very entry point our industry most needs to protect."
Recruitment fees frequently appear in disguised forms, including inflated training charges, medical processing fees, document costs or advance payments linked to securing employment. The financial burden can leave seafarers trapped in debt and increase the risk of exploitation, according to Francesca Fairbairn, who leads IHRB's work on shipping.
Industry Response
The new online toolkit provides shipping companies with a five-stage framework to identify, monitor and reduce recruitment fee risks, moving from basic compliance measures through to active oversight of recruitment practices. The initiative has secured backing from more than 30 organisations, including CMA CGM, NYK Shipmanagement, Odfjell, Wilhelmsen Ship Management, IMC Ship Management, Gard, Anglo American and Louis Dreyfus Company, alongside unions and welfare organisations.
| Statistic | Value |
|---|---|
| Seafarers asked to pay illegal fees | 31% |
| Common fee range | $500 – $5,000 |
| Fees exceeding $10,000 | Reported by some |
| Seafarers who paid when asked | ~75% |
Fairbairn stated: "No worker should face the scourge of recruitment fees. Our research shows these illegal fees are endemic in shipping, putting a heavy burden on the seafarers who transport our goods."
Implications for Ship Operators and Crew Managers
For freight forwarders, logistics managers, and ocean carriers, the prevalence of illegal recruitment fees represents a compliance risk and a threat to labor stability. Seafarers who incur debt may be more vulnerable to exploitation, potentially affecting crew retention and operational reliability. The new toolkit offers a structured approach to auditing crewing agencies and contracts, helping companies avoid legal penalties and reputational damage. Operators should review their recruitment supply chains for disguised fees and ensure that all manning partners adhere to the Maritime Labour Convention.
Watch List
- Adoption rate of the online toolkit among major shipping companies
- Potential regulatory scrutiny or enforcement actions by flag states and port states
- Further research on the impact of fees on seafarer welfare and retention
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