Type
Offshoring/Delocalisation
Country
Norway
Region
Norge; Agder og Rogaland; Rogaland
Location of affected unit(s)
Stavanger
Sector
Transportation / Storage
Land, Water And Air Transportation
Water Transport
50 - Water transport
New offshoring locations
Not Available

100 jobs
Number of planned job losses
Job loss
Announcement Date
5 March 2009
Employment effect (start)
9 March 2009
Foreseen end date
1 May 2009

Description

TEEKAY Shipping Norway has decided to flag out five of its nine Norwegian-registered shuttle tankers and replace around 100 Norwegian seafarers with Phillipinos. According to the company, the decision is motivated by a desire to cut costs as the Norwegian register restricts operators to using Scandinavian crew.

The company originally informed the unions 10th of February 2009 that it planned to flag out all ships which would result in 200 job losses. Both the seafarers' union and the officers' union reacted strongly and threatened with blockades of the ships. The unions also feared that a succesful flag out could be followed by other companies, not only in shuttle tankers but in other parts of offshore services as well. The Norwegian Confederation of Trade Unions has also reacted strongly, saying that the plans are unacceptable social dumping. The unions called upon support from the Government, which quickly decided to introduce new regulations requiring Norwegian work permits on ships operating within Norwegian territories.

The leader of the seafarers' union in Teekay has said to Stavanger Aftenblad on 6th of March that he is happy that fewer ships will be flagged out, but that the union will continue to fight to reverse the flagging. One measure the unions now discuss, is to demand a general application of their wage agreement on all ships operating in Norwegian territories (which is possible according to Norwegian law to hinder social dumping).

The company wrote in a letter to the employees that it will offer all workers affected severance packages that "exceed requirements". In addition it will provide job placement assistance.


Sources

  • 13 February 2009: Stavanger Aftenblad (www.aftenbladet.no)
  • 11 February 2009: Stavanger Aftenblad (www.aftenbladet.no)
  • 18 February 2009: Fiskaren
  • 13 February 2009: Fri fagbevegelse

Citation

Eurofound (2009), Teekay Shipping Norway, Offshoring/Delocalisation in Norway, factsheet number 68437, European Restructuring Monitor. Dublin, https://restructuringeventsprod.azurewebsites.net/restructuring-events/detail/68437.