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Articles·Captain Yevgenii·31 March 2026·3 min read

Red flags in maritime employment contracts: protect yourself

In my 20 years at sea, I have reviewed hundreds of employment contracts — my own and those of colleagues who asked for advice. The maritime industry has improved significantly, but problematic contracts still exist. Here is how to spot them before you sign.

Why contract review matters

Your employment contract is the only legally binding document that defines your working conditions, pay, and rights. Verbal promises are worthless. Whatever is not in the contract does not exist. Period.

Take the contract home. Read every line. If anything is unclear, ask for clarification in writing. Any reputable company will give you time to review the contract. If they pressure you to sign immediately — that itself is a red flag.

The major red flags

1. Vague overtime terms

What to watch for: "Overtime as per company policy" or "overtime included in salary" without specifying the rate and conditions.

Why it matters: Overtime can be 30-40% of your total earnings. Without clear terms, the company can change the policy at any time.

What you want: Specific overtime rate (e.g., $X per hour), clear definition of what constitutes overtime, and how it is recorded and approved.

2. Excessive contract length

What to watch for: Contracts longer than 9 months for standard positions.

Why it matters: MLC 2006 sets the maximum continuous service period at 11 months. Some companies push close to this limit. Longer contracts mean longer away from home and can affect your mental health and family relationships.

What is normal: 4-6 months for tankers and container ships. 6-9 months is common for bulk carriers. Anything above 9 months should be questioned.

3. Hidden deductions

What to watch for: Deductions for "training fees," "administrative costs," "uniform," "documentation processing," or other charges that were not discussed during hiring.

Why it matters: Under MLC, the cost of recruitment and placement should NOT be borne by the seafarer (with very limited exceptions). If an agency or company is deducting fees from your salary, they may be violating international law.

What you want: A clear, itemized list of ALL deductions in the contract. If it is not listed — it should not be deducted.

4. No repatriation clause

What to watch for: Missing or vague repatriation terms.

Why it matters: Under MLC 2006, you have an absolute right to repatriation at the company's expense at the end of your contract. This is not negotiable — it is international law.

What you want: Clear statement that the company bears all repatriation costs, including flights, transit accommodation, and meals.

5. Punitive early termination penalties

What to watch for: Clauses requiring you to pay back training costs, placement fees, or "damages" if you leave before the contract ends.

Why it matters: While some early termination clauses are standard, they should not be punitive. A clause requiring you to repay $5,000+ for early termination is designed to trap you, not to cover actual costs.

6. Governing law and dispute resolution

What to watch for: Contract governed by the law of a country with weak labor protections, or dispute resolution requiring you to travel to a distant jurisdiction.

Why it matters: If a dispute arises, you need to be able to actually access the legal system. A contract governed by the law of a flag-of-convenience country may offer you less protection.

Before you sign

  1. Read every page, including the fine print
  2. Ask questions about anything unclear — in writing
  3. Get a signed copy for yourself
  4. Check the company's reputation on CrewRate and other platforms
  5. Talk to seafarers who have worked for the company
  6. If in doubt, consult your union or a maritime lawyer

Your signature is your commitment. Make sure you know exactly what you are committing to.

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