International Journal

on Marine Navigation

and Safety of Sea Transportation

Volume 4

Number 3

September 2010

337

1 INTRODUCTION

The development of global economy is closely

linked to the development of maritime transport.

Maritime transport is vitally important for Europe-

an Union (EU) as well because more than 90 percent

of EU foreign trade and 40 percent of trade inside

EU is performed by sea transport (Green Paper,

2006). The development of every business depends

on working professionals available in labor market:

in maritime transport - on seafarers, the number of

marine officers worldwide is not sufficient - 466

thousands (BIMCO, 2005).

Shipping is in the forefront of global employ-

ment, because shipping companies can recruit sea-

farers from “wherever the best value for money is

available”. (Short, 2004) In contrast to ‘national sea-

farers’ dominated in the past the emergence of

‘global seafarers’ could be noticed in seafarers’ la-

bor market recently (Wu & Sampson, 2005).

What is the status of seafarer employed in the

foreign company? He cannot be treated as being on a

business trip; he usually is employed by foreign

company temporarily and comes back to his country

after contract is finished. This status is called eco-

nomical emigration (Ekonominės…,2007). Econom-

ical migration is determined by economical factors:

differences in wage and welfare in country of origin

and foreign country. It is widely recognized that

economical migration with the employment purpose

(not living) is beneficial for the world economy, es-

pecially for the developing countries (World Eco-

nomic…, 2004), because of the reduced unemploy-

ment and demand for social support and increased

cash-flow and experience of returned people in

country of origin. Short-term emigration is less

harmful for the country of origin than long-term.

(Lietuvių emigracija…, 2005), although it has nega-

tive aspects as well: when more people are going

abroad than coming to the country; when invest-

ments to people education are lost; demographic sit-

uation becomes worse, because mostly young people

emigrate; financing of social welfare declines, be-

cause tax payers went abroad, etc. (Lietuvių emi-

gracija…, 2005), families suffer, children experience

psychological, social and educational difficulties

(De Silva, 2003, Лялюгене, Рупшене, 2008;

Malinauskas, 2006; Nosseir, 2003; Quah, 2003).

What are the consequences of seafarers’ econom-

ical emigration? Former researches proved economi-

The Economical Emigration Aspect of East and

Central European Seafarers: Motivation for

Employment in Foreign Fleet

V. Sencila & I. Bartuseviciene

Lithuanian Maritime Academy, Klaipeda, Lithuania

L. Rupsiene

Klaipeda University, Klaipeda, Lithuania

G. Kalvaitiene

Vytautas Magnus University, Kaunas, Lithuania

ABSTRACT: East and Central Europe countries practically experience advantages and disadvantages of sea-

farers‘ employment in foreign shipping companies. There is a need to investigate this phenomenon in the as-

pect of economical emigration. Shortage of marine officers worldwide exaggerates the shortage of seafarers in

the mentioned region because of the economical emigration of national seafarers to foreign fleet, which pro-

vides more favorable conditions. These facts encouraged investigating several questions using case study

method in one country (Lithuania), which social-economic conditions are similar to other countries of the re-

gion: What shipping companies (national or foreign) marine officers give priority to be employed to? What is

the motivation of such a decision? What personal characteristics mostly determine this decision? The study

results show very strong seafarers’ attitude towards economical emigration, reveal the reasons of this phe-

nomenon and relations with the personal characteristics of marine officers. Key words: economical emigra-

tion, seafarers, motivation.

338

cal benefit of seafarers’ economical emigration for

country of origin: e.g., Latvian seafarer working if

foreign company gets salary above Latvian average

and in 4-5 years returns his educational investments

(Gulans, 1999); Lithuanian seafarers employed in

the foreign fleet create about 60mil. Euro added val-

ue per year while consuming and investing in Lithu-

ania (Policy Research Corporation, 2004).

Economical emigration of seafarers is beneficial

for the country-recipient; it partly helps to solve the

problem of seafarers’ shortage. There is a shortage

of seafarers worldwide especially in economically

developed countries (BIMCO, 2005); the shortage

will increase in the nearest future because of high

competition in maritime sector – shipping compa-

nies are reducing costs and salaries accordingly

(Yamamoto, 2000; Lopez, 1989), it can be men-

tioned, that seafarers’ salaries for West European

people are already unattractive nowadays (Green

paper, 2006). The number of qualified seafarers and

cadets is reducing, this negatively affects maritime

sector (Brownrigg et al., 2001; Gardner and Pettit,

1996, 1999; Leggate, 2004; Pettit et al., 2004;

Selkou and Roe, 2002).

Meanwhile the salary offered by West European

shipping companies is attractive for seafarers from

less developed countries, such as East and Central

European seafarers. It is predicted that in future the

majority of marine officers worldwide will be em-

ployed from the less developed countries (Glen,

2008).

The East and Central European national shipping

companies will face the dual problem: on one hand

there is a shortage of marine officers overall and on

the over hand some marine officers will be em-

ployed by foreign shipping companies because of

better salaries and welfare. That is a threat for exist-

ence and competitiveness of the maritime industry of

mentioned region.

2 THE RESEARCH PROBLEM

In order to understand better the mentioned problem

and find practical solutions the seafarers’ migration

phenomenon needs thorough investigation. Some

aspect of the problem already have been analyzed in

China: recently the tendency towards employment in

foreign companies in China is growing (Wu, 2004b;

Wu, 2003); one third of Chinese seafarers prefer to

be employed by foreign companies, especially –

Western; 30 percent do not have any preferences, the

attractive salary and welfare onboard the ship are the

most important factors determining selection of the

company (Wu, 2005). The discrimination in salaries

comparing to other nationalities and communication

problems were mentioned as negative factors of

Chinese seafarers’ employment in foreign compa-

nies (Wu, 2005).

Unfortunately, the researches about attitude of

East and Central European seafarers towards em-

ployment in foreign companies were not found. This

fact caused investigating several questions using

case study method in one country (Lithuania) in

2008: What shipping companies (national or for-

eign) marine officers give priority to be employed

to? What are the reasons of such a decision? What

personal characteristics mostly determine this deci-

sion?

3 THE RESEARCH METHODOLOGY

3.1 The sample size

Lithuanian marine officers were under investigation.

The sample selection was based on the notion that

seafarer is a person holding seafarers’ book (Lietu-

vos…, 2006). In the period of 2003-2007 there were

10982 such a persons in Lithuania (2003-2007 me-

tais…, 2008): 7337 of them had Certificate of Com-

petence, and 2927 were marine officers (1552 – nav-

igators, 1375 – engineers). It was decided to make a

random sampling and examine all the marine offic-

ers attending qualification upgrading courses at

LMA (Lithuanian Maritime Academy) and visiting

shipping and crewing companies in Lithuania in

three months period. Finally, the representative (in

view of age and qualifications, with 5 percent bias)

sample consisting of 355 marine officers was formed

(42 percent of them work if Lithuanian companies;

58 – in foreign).

3.2 The research instrument

The research data were collected in written form us-

ing originally designed questionnaire. Two major

components matching the research aims can be dis-

tinguished in the questionnaire structure: in order to

get data related to the first aim of the research, the

close question with dichotomous answers (what

shipping companies (national or foreign) the person

give priority to be employed to?) and open ques-

tions about advantages and disadvantages of em-

ployment in foreign company were presented; in or-

der to get data related to the second aim - several

questions hypothetically treated as personal charac-

teristics and influencing factors of the selection of

the foreign company for employment were presented

(marine officers were asked about their qualification,

age, years at sea, salary’s satisfaction, country of

employment company, management level, about

their opinion on the seafarer’s profession perspec-

tives in Lithuania and worldwide). Using factor

analysis method 47 scales of motives of selection of

seafarer’s profession were grouped as personal char-

339

acteristics influencing selection of the company to

be employed to.

3.3 The data analysis

The obtained research data were analyzed using

qualitative and quantitative methods. Qualitative da-

ta were analyzed using statistical analysis methods

(SPSS for Windows): factor analysis of seafarer’s

profession selection motives; independent variables

discriminant analysis of respondents’ attitude to-

wards preferences in selection of the company; Chi-

square test for evaluating differences among groups;

Pearson’s correlation coefficient for relation’s

strength evaluation, descriptive statistics (frequen-

cies). Qualitative (open questions answers) data

were analyzed using content analysis method.

4 THE RESEARCH RESULTS

4.1 What shipping companies (national or foreign)

marine officers give priority to be employed to?

and why?

Despite the fact that 40 percent of respondents men-

tioned that they never mind in which country’s com-

pany they prefer to work, answers the other question

showed that the majority (68 percent) would choose

the foreign company. Students’ opinion towards em-

ployment in foreign companies is even stronger: ac-

cording to similar research performed in 2008 with

students (who are potential seafarers) 82 percent of

students of marine specialties have stronger will to

be employed in foreign company.

Investigation of the reasons for selecting em-

ployment in foreign or national companies by using

content analysis method allowed revealing four cat-

egories (Fig.1): salary, work and living conditions,

physiological environment and career perspectives.

As it can be seen in figure 1, not only economical

factors determine attractiveness of foreign compa-

nies for seafarers. Working and living conditions

onboard foreign ships are more attractive: newer,

more technically advanced and safer ships; modern

and better ship equipment; shorter time at sea; more

convenient work schedule; better nourishment.

Better psychological environment in foreign

companies is also mentioned by seafarers. It is de-

scribed as more respectful communication with sea-

farers, better discipline and orderliness onboard the

ships, more honest and better interrelationships

among seafarers, better working and living environ-

ment.

The opinion about better career perspectives in

the foreign companies noted as well, such as more

possibilities: to select appropriate shipping company

in the international market; to obtain higher rank

faster; to learn English language; to upgrade qualifi-

cation.

Figure 1. The reasons of prioritizing employment in foreign

companies revealed by content analysis method.

4.2 What personal seafarers’ characteristics mostly

determine the decision to be employed in

foreign company?

Using discriminant analysis of marine officers’ data

the canonic function was developed, this function

describes 100 percent of variable dispersion. Wilks‘

Lambda statistics 0.407 and p=0.000 show that

means of canonic function values in different groups

statistically significantly differ, that indicates possi-

bility for discrimination. Analyzing the coefficients

of canonic function and structural coefficients (table

1) can be noticed that only one variable have the

best discriminant feature and influences magnitude

of canonic function: the marine officer’s employ-

ment company. The strong correlation shows that

majority of seafarers working in Lithuanian fleet

prioritize Lithuanian shipping companies and seafar-

ers working in foreign fleet prioritize foreign ship-

ping companies.

Indication of discriminant power is rather low

(table 1), but conclusions about marine officers tend

to choose foreign companies can be formulated: they

are employed by foreign companies now; they are

marine engineers; they are satisfied by their salaries;

they have chosen seafarer’s profession purposefully.

340

Table 1. The results of discriminant and correlation analysis of

seafarers’ data.

__________________________________________________

Discrimination Wilks' F p r Coefficient Structural

variables Lambda of canonic coefficient

function

__________________________________________________

Personal characteristics (I)

__________________________________________________

Management 1.000 .051 .822 .027 -.105 .014

level

(management/

operational)

Qualification .943 10.062 .002 .210 .388 .204

(navigator/

engineer)

Age .986 2.357 .127 -.184 -.235 -.099

Years at sea .991 1.489 .224 .154 .004 -.078

Present .498 168.638 .000 .688 .991 .833

employment

company

Salary .977 3.998 .047 .145 .040 .128

satisfaction

Opinion .984 2.685 .105 .033 .269 .105

about seafarer‘s

profession

perspectives

in Lithuania

Opinion 1.000 .020 .886 .096 -.109 .009

about seafarer‘s

profession

perspectives

worldwide

___________________________________________________

_________________________________________________

Personal characteristics (II) – motives of choosing profession

__________________________________________________

Emotional .994 .980 .324 -.053 -.090 -.064

attractiveness

Coincidence .974 4.384 .038 -.137 .002 -.134

Economical .996 .692 .407 .086 -.157 .053

benefit

New .983 2.819 .095 .145 .123 .108

opportunities

Prestige .988 2.045 .155 -.176 -.245 -.092

Privileges .999 .101 .751 -.013 -.114 -.020

Influence of .999 .195 .659 -.027 -.252 -.028

intimates

__________________________________________________

5 DISCUSSION AND CONCLUSIONS

The research revealed that the attitude towards em-

ployment in foreign company prevails among ma-

rine officers (68 percent of respondents give priority

to foreign company). This indicator exceeds the

country’s average, as it is pointed in Strategy of reg-

ulation of economical emigration in Lithuania

(Ekonominės…, 2007), the number of Lithuanians

willing to emigrate because of economical reasons

declines: in 2001 there were 63 percent of respond-

ents wanted to emigrate, in 2005 – 16,2 percent. Ad-

ditionally it was discovered that students comparing

to working seafarers have stronger desire to be em-

ployed by foreign company (82 percent). This fact

matches the general Lithuanian situation: younger

people comparing to older ones tend to go abroad for

making money (Ekonominės…, 2007).

The research revealed the reasons of prioritizing

foreign companies. The main reason of being em-

ployed in foreign company likewise in China (Wu,

2005) was mentioned bigger salary. In economically

developed countries seafarer’s profession loses its

attractiveness because of the specific nature of sea-

farer’s work and isolation (Study on the Supply…,

2005). Meanwhile for the people from less economi-

cally developed countries the bigger salary’s issue is

important (Lopez, 1989). That explains the im-

portance of economical factor for Lithuanian seafar-

ers selecting Employment Company.

However rising living standards reduces people’s

will to work in foreign companies – this is illustrated

by China example: it is difficult to hire seafarers in

China’s shore regions, where economical boom can

be noticed (Short, 2004), the number of people will-

ing to study maritime professions is declining be-

cause of rising living standards. This can be illus-

trated also by the Lithuanian example: the country

has been developing rapidly last decade, the number

of students of marine specialties was not big: in

2005 there were only 550 people studying marine

specialties, although Lithuanian MET institutions

(LMA and KUMI) were capable to provide educa-

tion for 1250 students (Senčila & Bartusevičienė,

2005). In addition there is no guarantee that gradu-

ates will go to sea, according to research in 2006 on-

ly 65 percent of students are going to work as sea-

farers, 21- have not decided, 14 – decided no to go

to sea (Senčila et al., 2006a).

Hypothetically can be noticed that economical

development of East and Central Europe will reduce

attractiveness of seafarers’ profession because of

salary and less young people will enter MET institu-

tions. However if the salaries of seafarers of East

and Central Europe and traditional maritime coun-

tries will be similar will the seafarers choose nation-

al shipping companies? If the reason for selection of

foreign company was only economical we could

predict positive answer.

Seafarers’ responses highlight the other ad-

vantages of employment in foreign companies, e.g.

significance of psychological microclimate. Natural-

ly psychological microclimate is important for sea-

farers being physically and psychologically isolated

from the world (Lamvik, 2002). It was mentioned in

the researches that seafarers working in foreign

companies experience psychological difficulties

(Dyer-Smith, 1993); since the crews are becoming

multinational, multicultural and multilingual

(Squire, 2006), the feeling of isolation increases be-

cause of differences in seafarers’ languages, culture,

education (Knudsen, 2008). Probably these psycho-

logical difficulties are lesser comparing to difficul-

ties in national shipping companies, because the re-

spondents mentioned that psychological

microclimate is better in foreign companies.

The importance of working and living conditions

was emphasized by Lithuanian research participants:

341

foreign companies are prioritized because of better

working and living conditions. It can be noted that

generally seafarers’ working and living conditions

have been changed significantly. For example,

Kahveci (2007a) investigations revealed several re-

cent changes in seafarers’ life at sea: difficulties for

seafarers to come ashore (because of ISPS Code im-

plementation); less time spent ashore (because of

less time in ports); diminished usage of the facilities

ashore (libraries, sport halls, excursions, cultural

events), less social contacts with colleagues (smaller

crews). Kahveci (2007b) has analyzed 4000 re-

sponses and determined that 64 percent of respond-

ents during last 8 weeks was not ashore, 32 percent -

were ashore for 2 hours; the majority could reach

only the nearest phone-box. The possibilities of re-

laxation ashore reduced and accordingly the re-

quirements to have alternatives aboard increased. In

order to attract young people and sustain qualified

seafarers at sea, foreign companies are trying to im-

prove working and living conditions on board, they

establish cinemas, sport facilities, saunas, libraries,

etc. on ships (Sampson, 2008).

The employment in foreign companies for Lithu-

anian seafarers is more attractive because of the ca-

reer possibilities. This fact is also proved by Swe-

dish research (Study on the Supply …, 2005):

because of the shortage of marine officers the com-

panies started to hire younger and less experienced

seafarers and help propose career mapping for them.

The research revealed the personal characteristics

of seafarers tend to be employed by foreign compa-

ny: seafarers are already employed by foreign com-

panies; they are marine engineers; they are satisfied

by their salaries; they have chosen seafarer’s profes-

sion purposefully. That means that seafarers will not

change foreign company to Lithuanian one. Howev-

er it was discovered that seafarers working in Lithu-

anian companies prioritize to work in Lithuanian

companies and will not change Lithuanian company

for foreign one. That means that the shortage of ma-

rine officers in Lithuania will not increase because

of crossover of working seafarers from Lithuanian

companies to foreign ones and vise versa.

It can be mention that the number of working ma-

rine officers in Lithuania will be reduced in nearest

future: they are achieving pension age, some of them

are changing work profile. According to Senčila et

al. (2006b) research, only one third of working sea-

farers are younger than 40 years, two thirds are older

and will not go to sea in 10-15 years. So, the number

of working places in Lithuanian fleet is increasing.

That’s why the opinion of potential seafarers (stu-

dents of marine specialties) towards employment in

foreign companies is vitally important, because they

will replace experienced marine officers in near fu-

ture. The similar research with students revealed that

majority of students tends to select foreign compa-

nies for employment; it will negatively affect the

competitiveness of Lithuanian shipping companies

in future.

It is clear that investigations in several East and

Central counties would allow making more reliable

conclusions about marine officers’ attitude towards

economic emigration; however case study analysis

performed in one country (Lithuania), which social-

economic conditions are similar to other countries of

the region, is significant, because it reveals essential

inferences about the important issue for entire re-

gion.

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