Workplace laws and the maritime industry

Learn about the workplace laws that apply to ships and fixed platforms in the maritime industry. 

Australia’s workplace laws: Fair Work Act

Most employees and employers working in Australia are covered by the Fair Work Act.

The Fair Work Act sets out rights and obligations for employees and employers. These include the National Employment Standards, which provide minimum employment entitlements that have to be provided to all employees, such as:

  • maximum weekly hours
  • paid and unpaid leave
  • notice of termination.

This page explains when a ship or a fixed platform is covered by the Fair Work Act. It also covers other sources of employee entitlements and employer obligations that may apply, including the Seagoing Industry Award.

Ships and fixed platforms the Fair Work Act applies to

The Fair Work Act applies to ships and fixed platforms in several situations, depending on whether the ship or fixed platform is operating in the:

  • Australian territorial sea
  • Australian exclusive economic zone, or
  • waters above the continental shelf.

This page refers to the last two areas as ‘other Australian waters’ to distinguish them from the ‘Australian territorial sea’.

This page contains information about:

Ships engaged in international trading

The Fair Work Act doesn’t apply to ships that are registered on the Australian International Shipping Register when the ship is engaged in international trading.

Ships and fixed platforms in the Australian territorial sea

The Fair Work Act applies to:

  • any fixed platform in the Australian territorial sea, or
  • a ship while it is operating in the Australian territorial sea.

An exception to this is for foreign-flagged ships (other than some licensed ships or a majority Australian-crewed ship) to the extent that the application of the Fair Work Act would be inconsistent with a right of innocent passage or transit passage through the Australian territorial sea.

Ships and fixed platforms in other Australian waters

The Fair Work Act also applies to fixed platforms and certain kinds of ships while they are operating in other Australian waters. These ships are:

  • an Australian ship (that is, a ship that has Australian nationality under section 29 of the Shipping Registration Act 1981)
  • a ship that both:
    • supplies, services or operates in connection with a fixed platform in other Australian waters
    • operates to and from an Australian port
  • a ship that is operated or chartered by an Australian employer (including as the employer of a majority Australian-crewed ship) and uses Australia as a base
  • other ships that are licensed to engage in coastal trading in some circumstances (including ships registered under the law of a country other than Australia, referred to on this page as ‘foreign-flagged ships’) (see below).

Other ships licensed to engage in coastal trading

Coastal trading involves the movement of passengers or cargo between Australian ports for commercial purposes.

The Fair Work Act applies to ships engaged in coastal trading (including foreign-flagged ships) in the Australian territorial sea and other Australian waters if they’re:

  • a general licensed ship
  • an emergency licensed ship
  • a temporary licensed ship.

Important: About our information

The Department of Infrastructure, Transport, Regional Development, Communications, Sport and the Arts (DITRDCSA) is responsible for granting licences that allow ships to engage in coastal trading under the Coastal Trading (Revitalising Australian Shipping) Act 2012 (the Coastal Trading Act).

The Coastal Trading Act contains definitions of the terms ‘temporary licence’, ‘coastal trading’ and ‘voyage’. The Fair Work Regulations adopts those definitions and includes a definition of ‘temporary licensed ship’ for the purposes of the Fair Work Act’s application to employees working on temporary licensed ships engaged in coastal trading.

The information on this page outlines how we (the Fair Work Ombudsman) assess whether the Fair Work Act applies to employees on temporary licensed ships engaged in coastal trading. The information is based on the provisions of the Fair Work Act and Fair Work Regulations, including the definition of ‘temporary licensed ship’, which requires counting the number of voyages that a ship has started within a specific period for the purposes of calculating wages and entitlements.

In administering the Coastal Trading Act, DITRDCSA takes different considerations into account when counting the number of voyages that a ship is authorised to make for the purpose of granting temporary licences under the Coastal Trading Act to allow ships to engage in coastal trading. DITRDCSA’s approach doesn’t apply to the Fair Work Act and determining employee entitlements.

We can provide advice about the application of the Fair Work Act, pay and conditions, and workplace rights and obligations.

For information about applying for temporary licences under the Coastal Trading Act and the regulation of those licences, go to DITRDCSA – Coastal trading.

Temporary licensed ships

A ship engaged in coastal trading (including a foreign-flagged ship) is a temporary licensed ship if it:

  • is used to undertake a voyage authorised by a temporary licence, and
  • has started at least 2 other voyages authorised by a temporary licence in the 12 months before starting this voyage.

Determining whether a ship is a temporary licensed ship

To determine whether a ship is a temporary licensed ship, there needs to be an assessment at the start of each voyage of how many other voyages the ship has started over the past 12 months that were authorised by one or more temporary licences. A ship that is a temporary licensed ship at the start of one voyage may not be considered a temporary licensed ship at the start of the next voyage.

Counting voyages

When counting voyages for the purpose of determining whether a ship is a temporary licensed ship and covered by the Fair Work Act, a voyage must involve both loading and unloading of passengers or cargo.

A ship must first load passengers or cargo at one port in an Australian state or territory.

The ship must then unload:

  • some or all of the passengers or cargo at a port in another Australian state or territory
  • some of the passengers or cargo at a port in the same state or territory, then unload some or all of the passengers or cargo at a port in another Australian state or territory, or
  • some or all of the passengers or cargo in the same state or territory, but only where the Minister has made a declaration about that ship under section 12(2) of the Coastal Trading Act.

Where there is a single point of loading and multiple points of unloading without further loading, there is one voyage starting at the point of loading.

Examples: When a foreign-flagged ship engaged in coastal trading is a ‘temporary licensed ship’

Example: Ship is a temporary licensed ship

A foreign-flagged ship is undertaking a journey authorised by one or more temporary licences granted under the Coastal Trading Act.

The ship loads cargo at the Port of Brisbane on 15 January. At this point in time, the ship hasn’t started any other voyages authorised by a temporary licence in the past 12 months.

The ship carries the cargo to the Port of Melbourne, where some of the cargo is unloaded and additional cargo is loaded on 27 January.

The ship continues directly to Port Augusta, where some further cargo is unloaded and additional cargo is loaded on 3 February.

The ship continues directly to the Port of Fremantle where all remaining cargo is unloaded on 12 February.

In this example, the ship has started 3 voyages, each of which involves loading and unloading of cargo:

  • Voyage A starting at the Port of Brisbane
  • Voyage B starting at the Port of Melbourne
  • Voyage C starting at Port Augusta.

In this example, the ship is a ‘temporary licensed ship’ during Voyage C. This is because it had started at least 2 other voyages authorised by a temporary licence in the 12 months before starting Voyage C.

Example: Ship isn’t a temporary licensed ship

A foreign-flagged ship is undertaking a journey authorised by one or more temporary licences granted under the Coastal Trading Act.

The ship loads cargo at the Port of Brisbane on 16 July. At this point in time, the ship hasn’t started any other voyages authorised by a temporary licence in the past 12 months.

The ship carries the cargo to the Port of Melbourne, where some of the cargo is unloaded on 22 July. It doesn’t load any additional cargo or take any passengers on board.

The ship continues directly to Port Augusta, where it unloads some more of the cargo on 29 July. It doesn’t load any additional cargo or take any passengers on board.

The ship continues directly to the Port of Fremantle, where it unloads all remaining cargo on 5 August. It doesn’t load any additional cargo or take any passengers on board.

In this example, the ship only starts one voyage. This happens at the Port of Brisbane. Additional voyages don’t start at the Port of Melbourne or Port Augusta because the ship doesn’t load any cargo or passengers at those ports.

The ship isn’t a ‘temporary licensed ship’ at any stage in this example. This is because it hadn’t started at least 2 other voyages authorised by a temporary licence in the 12 months before starting the voyage at the Port of Brisbane.

Example: Temporary licensed ship in a 12-month period – leaving and returning to other Australian waters and the Australian territorial sea

A foreign-flagged ship is conducting various journeys authorised by a temporary licence throughout a 12-month period.

The ship loads cargo at the Port of Fremantle on 1 January. At this point in time, the ship hasn’t started any other voyages authorised by a temporary licence in the past 12 months.

The ship carries the cargo to Port Darwin, where it unloads all the cargo on 10 January. It doesn’t load any additional cargo or take any passengers on board. The ship then returns immediately to its country of origin.

The ship returns to Australia and loads cargo at the Port of Brisbane on 20 August. It then carries the cargo to the Port of Devonport, where it unloads all the cargo on 27 August. It doesn’t load any additional cargo or take any passengers on board. The ship then returns immediately to its country of origin.

The ship returns to Australia again and loads cargo at the Port of Townsville on 21 October. It then carries the cargo to the Port of Fremantle, where it unloads all the cargo on 6 November. It doesn’t load any additional cargo or take any passengers on board. The ship then returns immediately to its country of origin.

In this example, the ship has started 3 voyages, each of which involves loading and unloading of cargo:

  • Voyage A starting at the Port of Fremantle on 1 January
  • Voyage B starting at the Port of Brisbane on 20 August
  • Voyage C starting at the Port of Townsville on 21 October.

Additional voyages don’t start at the Port of Devonport or the Port of Darwin because the ship doesn’t load any cargo or passengers at those ports. Even if the ship did load cargo or passengers, a voyage wouldn’t start because the ship immediately proceeds to its country of origin.

In this example, the ship is a ‘temporary licensed ship’ during Voyage C. This is because it had started at least 2 other voyages authorised by a temporary licence in the 12 months before starting Voyage C.

Ships beyond the Australian territorial sea and other Australian waters

The Fair Work Act applies to ships operating beyond the Australian territorial sea and other Australian waters if they’re either:

  • an Australian ship, or
  • a ship operated or chartered by an Australian employer who uses Australia as a base.

When to seek other help

Other ships operating beyond the Australian territorial sea and other Australian waters may still be covered by parts of the Fair Work Act in certain circumstances. If you have questions about this, you can seek help from industry bodies, unions and other agencies: see Other workplace relations help or Legal help.

Fair Work Act and other workplace entitlements

An employee gets minimum workplace entitlements and rights from different legal documents, including:

Fair Work Act

The Fair Work Act provides minimum terms and conditions of employment, including but not limited to:

Employers must give a copy of the Fair Work Information Statement to employees covered by the Fair Work Act before, or as soon as possible after, they start employment.

Help in your language

For workplace advice in your language, you can:

  • translate pages by choosing your language from the menu at the top of the page
  • find information and resources in our Language help section
  • call the Translating and Interpreting Service on 131 450 and ask them to call us on 13 13 94.

Other agreements and minimum wage determinations under maritime laws

Under maritime laws, other agreements and minimum wage determinations may also apply to workers on ships, regardless of whether the Fair Work Act applies to them. These may include agreements and determinations under the Navigation Act 2012 and the Shipping Registration Act 1981

The Australian Maritime Safety Authority can provide more information on these requirements. Go to Australian Maritime Safety Authority.

Awards

Awards are legal documents that outline the employment conditions for employees within a particular industry or occupation.

The Seagoing Industry Award is an award that covers many employers and employees in the seagoing industry. The ‘seagoing industry’ means the operation of vessels trading as cargo vessels, passenger vessels or operating as research vessels that go out to sea (on voyages outside the limits of bays, harbours or rivers).

The award sets out minimum conditions of employment in addition to the NES, including:

  • pay and wages
  • hours of work
  • overtime
  • allowances.

Find out more at Seagoing Award.

Some employees in the maritime industry might get their entitlements from another award. If you are unsure which award applies, the Fair Work Ombudsman can help. You can call us on 13 13 94 or search by occupation or industry in our Pay and Conditions Tool.

Workplace terms to know

Below are important workplace terms to know for the maritime industry:

TermDefinition
Australian employer

An employer who:

  • is an Australian trading or financial corporation
  • is the Commonwealth or a Commonwealth authority
  • is a body corporate incorporated in a Territory
  • carries on an activity in Australia or Australian waters and whose central management and control is in Australia, or
  • employs a crew member on a majority Australian-crewed ship.
Australian shipA ship that has Australian nationality under section 29 of the Shipping Registration Act 1981.
emergency licensed shipA ship used to undertake a voyage authorised by an emergency licence granted under the Coastal Trading Act.
fixed platformAn artificial island, installation or structure permanently attached to the seabed for the purpose of exploration for, or exploitation of, resources or for other economic purposes.
general licensed shipA ship that engages in coastal trading under a general licence that is granted and in force under the Coastal Trading Act.
majority Australian-crewed shipA ship (other than an Australian ship or licensed ship) where the majority of the crew are residents of Australia and the operator is a resident of Australia, has its principal place of business in Australia or is incorporated in Australia.
temporary licenceA licence that may be granted to enable ships to engage in coastal trading in Australia for a 12-month period, limited to the voyages authorised under the licence. Temporary licences are granted by the Department of Infrastructure, Transport, Regional Development, Communications, Sport and the Arts.
temporary licensed shipA ship that is used to undertake a voyage authorised by a temporary licence and that started at least 2 other voyages authorised by a temporary licence in the 12 months before starting the voyage.

Tools and resources

Related information