The Flag State: "Flag of Convenience" or "Flag of Responsibility"?

By: Herodotos Iakovou | SHIPPING & IMMIGRATION CONSULTANT @ A. Karitzis & Associates LLC
What is the Flag of a Vessel and What is Meant by the Term "Flag of Convenience"?
Simply put, the flag indicates the vessel's "nationality" and establishes its identity in international trade. Nevertheless, the term has a deeper and more important role in the general operation of the vessel. The flag country indicates the national sovereignty and legal jurisdiction under which the vessel operates. However, many countries operate as "Flags of Convenience," offering more relaxed practices to shipowners. These include ease of registration within the respective registry, typically characterized by a quick and straightforward registration process, low or often zero taxation, and reduced operating costs, which frequently encompass lower crew wages due to the absence of strict compliance with national labor laws.
Examples of Countries Acting as Flags of Convenience
Countries such as Panama, Liberia, the Marshall Islands, the Bahamas, and Malta are known for providing services as flags of convenience. These countries offer a friendly legislative and tax environment for shipowners from around the world.
What About Seafarers' Physical and Mental Health?
The strict adherence to the provisions of the Maritime Labor Convention (MLC), with the Flag State required to ensure compliance with the Code's requirements, is considered a significant advancement. However, insufficient action has been taken regarding the mental health of personnel. The necessity for more initiatives on this issue became apparent during the recent lockdowns due to the pandemic and the war in Ukraine.
The mental health of seafarers is a multi-dimensional issue of vital importance, as seafarers face challenges due to the nature of their work. Life at sea can significantly impact their mental well-being due to:
Isolation and Loneliness: Seafarers spend long periods away from their families and social environments, leading to loneliness and emotional isolation.
Stress and Work Pressure: The high responsibilities they bear, especially in dangerous or demanding situations, can increase stress levels. Strict deadlines and regulatory compliance intensify physical and mental strain.
Uncertainty and Unpredictable Conditions: Seafarers often face unpredictable weather conditions, technical problems on ships, or even threats from piracy, creating insecurity.
Limited Space and Routine: Restricted access to personal space and repetitive activities can lead to fatigue and a sense of confinement.
Sleep Disturbances: Shift work can disrupt the natural sleep cycle, leading to chronic fatigue or other mental difficulties.
Consequences When Mental Health is Compromised
Possible consequences, unfortunately accompanied by real-life examples, include depression, anxiety, post-traumatic stress disorder, substance or alcohol abuse, and an increased risk of suicidal thoughts or even suicide.
How Could the "Flag of Convenience" Also Act as a "Flag of Responsibility"?
Promoting the mental well-being of seafarers is the responsibility of both shipping companies/shipowners and international organizations, such as the International Maritime Organization (IMO). However, the intervention of each Flag State on this matter—having national sovereignty and legal jurisdiction over the ship—is also significant. It is crucial to take immediate actions to create a more supportive and sustainable working environment at sea.
Proposed Measures with the Contribution of the Flag State
Enhancing Internet Communication: The Flag should create systematic means of communication with families via the Internet or satellite communications to reduce loneliness and isolation. While many shipping companies offer free or subsidized Internet access, it is not always guaranteed, and policies may vary depending on the company and the type of ship. In some cases, access is limited to professional use, restricting personal activities.
Training and Awareness: Providing educational seminars to help seafarers recognize signs of mental disorders, such as anxiety or depression, and teaching them coping strategies. Each Flag State should set as a minimum requirement the certification of crew training and awareness to ensure that all crew members are informed and trained regarding mental health, allowing them to offer support to their colleagues.
Access to Professional Help: The Flag should provide a helpline or telemedicine for mental support and advice from mental health professionals. Support lines for emergency situations should be easily accessible for immediate handling of mental health crises.
Despite the necessity of Flags of Convenience for financial, commercial, and trade reasons, they must also function as Flags of Responsibility regarding the physical and mental health of personnel. We must not forget the obvious: "a ship cannot operate without its crew members." The contribution of every entity involved in ensuring the health, safety, and well-being of seafarers is vital for commercial shipping.