This article states the reason why there is so much shortage of jobs in shipping sector. Let’s have a look at these factors that are contributing towards the unemployment in the shipping industry.
Before the year 2008, everything was very normal and every cadet was getting job so as to fulfill his or her dream of becoming a sailor. And then world was struck by the recession and all things changed. But this was not the only reason why unemployment started in the shipping sector. To know more about this, let’s read this interesting article.
Why There Is Unemployment In The Shipping Industry
All the details or factors are given here on the world scale and Indian Shipping industry scale also and reader’s discretion is advised.
To many merchant navy colleges worldwide
Well I stated the root reason for all the anomalies that cadets are facing worldwide. Now market is flooded with too many Merchant navy academies
and there has increased several folds as compared to the previous times. Every year colleges are churning out so many cadets, but few vacancies to accommodate all of these.
Shipping Companies Opening Their Own Academies
Yes this is true and it has created a deep impact on the market. Now shipping companies rather depending the on other merchant academies have opened their own colleges and recruiting only those cadets who are studying in their colleges. In middle of this cadets passing through these institutes who are not having any shipping company as their god father are finding difficult to place their cadets
Lack Of Knowledge And Skill
Yes there are many cadets in the market, but quality stuff is less. Merchant navy
is no more the place where people were scarce. Now everybody
wants to join merchant navy and this resulted in the decline of quality of cadets passing through the various colleges. Companies are only hiring those cadets having good grades in their academics carrier. And as we know Darwin’s law- Only those will survive who are fit.
Increased Number Of Vessels As Compared To Trade
Similar to merchant navy colleges, the number of shipping companies has emerged in large numbers. So, now in the market number of vessels are more and trade is less. Due to this there is a cut throat competition for market share and everybody wants to cut as much as cost they can.
Recession Covering Worldwide
Most of the developed and developing countries are still not emerged from the recession. The western markets are playing very defensive and this has caused reduce in the imports and exports. On other hand European Union is facing serious economic crisis and this resulted in less trade to these countries too. In order to keep their companies running, shipping companies are also cutting jobs. This in turn increasing nature of market to hire less people.
Wide Gap Between Skilled Man Power And Non Skilled
Today in present market, the number of officers and engineer who are experienced are very less. But at the bottom of pyramids people like cadets are in large numbers. So obviously when there are so many people, only few will get the chance of boarding a ship.
Why Merchant Navy Jobs Are Less Everywhere?
All the above points are valid for every country too. But there is one other factor that is making worse condition here. Since market is shifting towards the other counterparts, Indian, Chinese and Philippines work force is lagging behind in the race. They are willing to work at very less price. The only thing that is keeping them little behind from us is the language problem. We are usually good in their English language.