OWNERS OF VIETNAMESE-FLAGGED SHIPS MUST PAY THE COSTS OF REPATRIATION OF SEAFARERS
On April 28, 2017, the Ministry of Finance issued the Circular No. 38/2017/TT-BTC guiding the payment of costs of repatriation of seafarers.
In particular, the costs to be borne by the ship-owner for repatriation include: the cost of passage to the repatriation destination as specified in the contract; the cost of accommodation and food from the moment the seafarer leaves the ship until he reaches the repatriation destination. The payment of accommodation and food cost shall be made according to actual invoices provided that the sum shall not exceed the levels prescribed in Decision No. 43/2012/QD-TTg dated October 12, 2012; the pay and travel allowance from the moment the seafarer leaves the ship until he reaches the repatriation destination. The above pay and travel allowance shall be paid under provisions in the signed contract; the cost of transportation of up to 30 kg of the seafarer’s personal luggage to the repatriation destination; the cost of medical treatment when necessary until the seafarer is medically fit to travel to the repatriation destination.
For financial security to assure payment of repatriation cost to seafarers, ship-owners are required to obtain the bank
guarantee for the payment of repatriation cost to seafarers. In case a ship-owner is financially incapable or is unable to make full payment of the cost of repatriation to seafarers, the credit institution or the branch of foreign bank that gives guarantee to the ship-owner shall make payment of the cost of repatriation to seafarers. In such case, the ship-owner is considered as debtor and assumes responsibility to pay debt to such credit institution or the branch of foreign bank under regulations of the law on bank guarantee.
If a ship-owner fails to make arrangements for and pay the cost of repatriation of seafarers, the ship-owner may request competent authorities of Vietnam in the host country to arrange for repatriation of seafarers. In case where the time limit for repatriation specified in the employment contract is over but the ship-owner fails to make arrangements for or to meet the cost of repatriation of seafarers, seafarers concerned may request competent authorities of Vietnam in the host country to arrange for and pay costs of repatriation of seafarers.
This Circular takes effect on July 01, 2017.
