H... DALSH SHIPPING FEDERATION Limited

10. APR. 1772

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APMEXURE B

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Shipping Federation House

146-150 Minories London EC3N IND

Circular 39/72

Telephone 01-481 8131

Telex 884992

4th April, 1972.

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To: All Owners,

Dear Sirs,

I.T.F. RESOLUTION ON THE EMPLOYMENT OF CREWS OF CONVENIENCE.

The I.T. F. Fair Practices Committee in January, 1972, adopted a Resolution, a copy of which is attached at Appendix 'A',

As the exact implications of this Resolution were not apparent in the text itself, a mooting was held botween representa- tives of the International Shipping Federation, including representatives of the B.S.F., and representatives of the Inter- national Transport Workers' Federation.

From these discussions it emerged that members of the B.S.F, in general will not normally bo affected by the I.T.F. Resolution. It does not apply to vessels sailing with crews serving under National Maritime Board conditions. Nor is it intended to apply to British vessels which employ non-European crews, in accordanco with the N.M.B. Agreement on this subject.

However, the I. T. F. regard any vossel which is rogistered in a country other than that in which the boneficial ownor resides as being a flag of convenienco vessel. There aro ships entered in the British Shipping Federation which are thought

a numbor of to fall within that category. Those vessels could be affected if the I.T.7. considered the terms and conditions of service of the seafarers employed were bolow the standard described in thèir Resolution,

British owners chartering flag of convenience vessels might also find that they were similarly affected.

The I.S.F, has asked the I.T.F. to reconsider the provision, in the I.T.F. definition of a "flag of convenience" vessel, dealing with ownership. It has urged that as regards both principle and practicability the definition should turn rather on whether or not the managers are resident in the country whose flag the ship flies.

More detailed information is available on request to this

office.

Enclosuro,

Yours faithfully,

J. LUSTED,

Manager [International).

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