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INSIGHTS

Drivers: Job Stability, Employer Brand the same story in this respect, so employers in turn need to dem-

So, what does all this mean for maritime employment? The onstrate that they mean it. Room for growth can be a big pull, simple answer is that there is no simple answer. In general, but only when tangibly described, rather than dangled as a vague job stability and employer brand are the key market issues. A carrot. The more open employers are about succession planning good analogy can be made of the freight market in terms of and timing, business plans, ? nances and remuneration levels, the ‘counter-party reputation.’ Candidates are being much more more successful they seem to be at recruiting. The same metric diligent in their assessment of the quality of a prospective em- applies for decisive recruitment processes – a ? rm, speedy pro- ployer when moving from a secure job. Despite that, when cess makes candidates feel wanted and impresses them. negotiating offers, senior candidates in particular generally Just as some companies seem to be seeing 2016 as another won’t buy the argument that they should see a prospective year to invest in cheap tonnage while awaiting an upturn, the employer and the opportunities they offer as an investment better positioned companies are able to invest in succession in their future. They know how volatile the market is. They and workforce planning. Spinnaker Global, for example, fo- assume that the ‘last-in, ? rst-out’ policy is valid and they are cuses not necessarily on speci? c sectors, but instead on spe- negotiating packages ? rmly and staying put if not convinced. ci? c clients.

We have had quite a number of offers turned down in recent months. It’s a catch-22; employers are trying to control costs Salaries: Everyone’s Bottom Line and candidates are saying “if you want me, make it worth my In 2016, shipping employers will try to keep a lid on costs while” and they are also conscious that bonuses aren’t what – and that means salaries, as well. Shipping pay reviews in they were, pushing for good basics at the same time. 2016 will again be low compared to other industries. Pay in-

There is obviously a distinction between active candidates crease will be lower than in 2015 with Switzerland predict- and those who are more passive / dipping their toes in the ing the highest at 3.38% in real terms considering in? ation. water and those who are being headhunted. By de? nition, the Most countries seem to look to decrease their pay increases latter are usually people with good reputations in secure roles with only India, Indonesia, Norway and Switzerland hav- and they need a well-prepared and polished sales pitch. ing increased them for 2016, even if only by a very small

Employer reputation (and perceptions of ? nancial strength) is amount. Singapore predictions remain low again - just under so important. Work-life balance is important but everyone pitches 3.5%, compared with the 6-7% the market had become used to. UAE HR departments look to be anticipating restraint for 2016 with a big drop in their pay increases from 2015 – down from 5.42% last year to a predicted 3.9% in 2016.

In the UK, Spinnaker is predicting the largest drop in pay in- creases – by 2.08% in real terms (from 3.08% to just 1% above in? ation, largely the result of very low in? ation in 2015). This is closely followed by the US with a 1.83% decrease (from 2.88% to 1.04% above in? ation).

At Spinnaker a promising start to 2016 means that the ? rm is taking on fresh vacancies daily, and comparing with the past four or ? ve years, a healthy pipeline of interesting projects and individual open jobs on our books. We are noticing a large upswing in European jobs, with technical vacancies leading the way, but whether that will continue remains to be seen.

We’ve also experienced a signi? cant climb in sales and mar- keting roles within shipping. Despite the fearful words we see in the press, people are still hiring. Long may that continue.

The Author ki1997dikld Phil Parry co-founded Spinnaker in 1997 and is acknowledged as an expert in maritime HR and benchmarking issues and was the founder of The Maritime HR Forum, which is the global shipping industry’s major source of compensation and bene? ts data. He is a maritime lawyer and practised law with maritime law ? rm Ince & Co where he specialized in shipping and insurance law. He was awarded an

Honorary Doctorate in Business by Plymouth University in 2012.

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