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CMS Monaco - Crew members, labor law and social

protection: sailing without sinking

By Sophie Marquet & Sophia Bernardi
Monaco attractiveness is no exception when it comes to yachting, as confirmed by the presence of the
finest vessels in the Principality’s ports.

Crews work aboard these yachts and sailing employment relationship may also contain
boats, which moor in Monaco for varying public policy provisions in this area.
lengths of time. The regime applicable to them
will depend on numerous legal and practical Tasks entrusted to crews
factors. Because of the specific nature of the tasks
Despite the existence of a number of entrusted to on-board personnel, and of the
international agreements, which may give workplace concerned, the rules governing their
the impression of a globalized regime, the employment relationship generally differ from
applicable regulations will depend on a number those applicable to non-marine employees.
of factors, including but not restrictively Prolonged mooring in a port, or assignments
the law applicable to the flag, the specific usually carried out ashore, can however have
characteristics of the crew member himself or © CMS Monaco a major influence on the applicable rules and
herself, and the missions entrusted to him or regulations, which become more uncertain.
her. Unfortunately, the legal regime applicable Sophia Bernardi, Senior Associate Here again, it is advisable to anticipate and
to these contractual relationships is sometimes manage the situation to avoid unanticipated
unclear, even though the legal issues involved and a fine. consequences.
are central and decisive. When a yacht is moored in the Principality
A yacht rarely remains moored indefinitely in on a long-term basis, actively employing Setting a course: auditing the existing system
the same port, and crossing territorial waters on-board personnel during the time they are and adapting it to your needs
is much easier than crossing legal boundaries. on board, it is therefore essential to consider Reading the risk map and defining a course
During the mooring period, crew members are whether Monegasque law may apply, and if are essential to avoid pitfalls.
sometimes called upon to carry out missions so, what formalities need to be complied with, It is in the interest of all those involved in the
that are distinct from those carried out while particularly with regard to hiring, taking out yachting industry to determine - on a case-by-
sailing. work-related accident insurance, or minimum case basis - the minimum legal requirements
As the law is a discipline which, in this field, is social protection. that may apply to them, whatever the flag of the
probably not yet developing at cruising speed, vessel. These may include, but are not limited to,
this should lead those involved in yachting to Determining who is responsible for crew pre-employment formalities, working hours, rest
adopt the utmost caution in the management members periods, work on Sundays and public holidays,
of on-board personnel, all the more so as this Once the applicable law(s) have been identified, overtime pay, social protection, compensation
type of staff may be particularly exposed to the question arises as to who should be in the event of work-related accidents, etc.
the risk of work-related accidents. identified as the employer.
CMS Monaco offers you an overview of the Indeed, courts do not solely rely on a purely These minimum precautions will help avoiding
main points to consider, and its minimum formal and merely administrative designation, storm warnings and stay on course in risk
recommendations to avoid a wreck. but are keen to examine and determine who, in management.
reality and in practice, occupies the staff, and
The question of applicable law: a bag of knots gives them instructions and missions.
In most jurisdictions, the law applicable to This means that, even in the presence of an
an employment contract is that of the place officially designated employer, the actual
where the work is usually performed, at least user of the yacht may be considered as the
as far as mandatory public policy provisions employer - or at least co-employer - exposing
are concerned, notwithstanding sometimes the him/her to liabilities of which he/she is not
law designated by the employment contract. necessarily aware, and which it is in his/her
In Monaco in particular, all work must be interest to anticipate and circumscribe.
authorized by the Employment Service, in the In the event of the sale of a yacht, the question
form of a work permit. As this is a provision of what happens to the employment contracts © Depositphotos/ Gudella
of public policy, there can be no derogation of on-board personnel may also arise, as the
from it, and any breach is liable to prosecution law ultimately determined as applicable to the

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