Our people are at the core of CNCo’s business operations. We are committed to providing a continuous learning environment where employees are empowered to reach their highest potential. We value our multinational workforce and actively promote an inclusive and diverse workplace with a strong focus on safety excellence.
As at the end of 2018, the CNCo group employed 2,665 people in various locations around the world. Our employees come from 48 countries.
1,038 of our employees were shore-based, while the remaining 1,627 (739 Officers and 888 crew members) were seafarers. Our seagoing team continued to grow in line with the increase of the size of our fleet. Our shore-based employee numbers increased by 4% in 2018 as we continued to grow our global operations and established new office in American Samoa.
Our business strategy continues to focus on growing our global operations with a major acquisition of trump service in early 2019. CNCo’s expansive geographical footprint covers offices across Australia, Canada, China, Fiji, Hong Kong, India, Indonesia, Japan, New Zealand, Papua New Guinea (PNG), Samoa and American Samoa, New Caledonia, Taiwan, Singapore, United Kingdom (UK) and United States (USA) with more locations to be added in 2019.
The geographical breakdown of our office employees by key* (*over 5% of total global employee count) locations:
Singapore (Head Office) – 31.5%, PNG – 17.6%, Australia – 12.4%, and New Zealand – 12.2%, Fiji – 8.7%, China – 7.0% with the remaining 10.2% based in American Samoa, Canada, Hong Kong, India, Indonesia, Japan, New Caledonia, Samoa, Taiwan, UK and USA.
Our seagoing employees come from 31 countries, an increase from 30 in 2017. Our shore-based employees come from 34 countries around the world.
96% of our shore-based workforce were employed on a permanent basis. The number of employees who were temporary (contractors) is very low (4%) and most of them are skilled professionals working as consultants on a contract basis to assist with specific projects such as the implementation of new IT systems. 98% were employed full time. The breakdown by employment level, type, age group and gender is presented below.
Some seagoing employees, particularly all our Filipino seafarers, are employed, as required by the Philippine law and managed by the Philippine Oversea Employment Agency (POEA) on a contract by contract basis. We do not classify these as “contractors” as all Overseas Filipinos Workers, be they seamen, doctors, nurses, etc. are employed on this basis.
94% of our office workforce were classified as “local”, similar to prior year figures. We define “local” as those who are a national or permanent resident of the country of employment. 4% were classified as “expatriates” with the remaining 2% are employed on contract basis.
Around 42% of this expatriate employee percentage are parent company managers who have a centrally-planned rotation through internal postings within the wider Swire group. The rest are employed as industry experts and have long-term careers with the Company worldwide.
Globally, all our contracts comply with relevant local employment laws. We continue to provide benefits that are additional to local legislations such as medical insurance for shore-based employees. For all seafarers this include private healthcare, life insurance and paid pension arrangements (or cash in lieu).
CNCo seafarers are covered by a collective bargaining agreement (CBA) or equivalent. All contractual conditions are in accordance with the International Labour Organisation (ILO) Maritime Labour Convention (MLC) 2006.
The number and rates of employee hires and employee turnover can be found here.
Employee turnover remains a valuable indicator of the Company’s sustainability and is an on-going area of focus for the Company. Overall employee retention in 2018 for shore-based employees was 85%, and 92% for seagoing employees (officers and crew). Both shore-based and seagoing employee retention rates remain consistent year-on-year.
We continue to monitor and analyse turnover rates against national average figures and in light of changes within the business and the industry. We conduct exit interviews and seek to rectify any firmly trending reasons for turnover where they are viable and within our control. High turnover percentages in some locations are a function of there being only small number of employees in those offices.