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Written question asked by Karl Turner (Labour) on Wednesday, 15 May 2019, in the House of Commons. It was due for an answer on Monday, 20 May 2019. It was answered by Nusrat Ghani (Conservative) on Wednesday, 22 May 2019 on behalf of the Department for Transport.

Shipping: Conditions of Employment

Question

To ask the Secretary of State for Transport, what assessment he has made of the effect on (a) the public purse of a change in the level of national insurance receipts from seafarers, (b) the level of seafarers' take home pay and (c) seafarers' pensions as a result of P&O’s decision to move six cross-channel ferries from the UK Ship Register to the Cypriot maritime register.

Answer

The decision for P&O to reflag its vessels was a commercial matter as are contracts of employment. However in regard the legislative position;

  • Pension rights remain in place.
  • Subject to EU social security coordinating regulations, usually an employee would pay social security contributions to the country they are working in.
  • Unless the seafarer is in receipt of Seafarer Earning Deductions or for other reasons is not considered a resident of the UK then income tax will also continue to be paid to the UK on earnings from their employment as a seafarer.

Therefore unless there has been a change in the employment contract it is not expected that the take home pay will differ.

Secondary information

Type
Written question
Reference
254802
Session
2017-19
Subjects
Conditions of employment Cyprus National insurance Pay Pensions Registration Shipping P&O Ferries Channel ferries
Contains statistics
Yes
Link
View this Written question on www.parliament.uk