and Employment, Order Books and Perspectives in the German Shipbuilding Industry

and Employment, Order Books and Perspectives in the German Shipbuilding Industry Results of the Work Council Poll in September 2002

IAW Arbeitspapier X 2002 3 Abstract In 2002 the employment situation at most German shipyards is good, the main reason for this being the completion of the relatively high order volume from the years 2000 and 2001. But new orders in 2002 are well below the levels of 2001 it could even be described as a collapse. This is a reflection not only of the recessionary nature of the total world economy, but also of the slow economic upswing in Germany and the uncertainty arising from the current Middle East situation. This could have a negative impact on employment at German shipyards even in the immediate future. 1. The low price level of new vessels resulting from the aggressive capacity expansion and pricing policy of the Korean yards remains a central problem. The Federal Government s shipbuilding aid package which comes into effect in October 2002 will be a major step in combating this competitive imbalance, as will a possible legal action by the EU Commission against South Korean dumping practices at the World Trade Organisation. 2. For east German yards, strict capacity limitations have become an increasingly serious obstacle to global competitiveness. 3. Based partly on the concrete plans for the ESDP = European Security and Defence Policy, the German yards have been coordinating their naval shipbuilding activities more efficiently.

IAW Arbeitspapier X 2002 5 Contents Abstract 3 1 Employment, Order Books, Perspectives Results of Survey carried out in Works Councils in September 2002 7 2 Results in Detail 7 Slight increase in Employment but with risks 7 3 Global and Political Factors 8 3.1 World Shipbuilding Markets 8 3.2 German government aid for shipbuilding within the framework of the EU policy on South Korea 9 Special developments at specific yards in 2001/2002 9 4 Orders for German yards September 2001 August 2002 11 Slight drop in 2002 in the number of hours worked 12 4.1 Future Employment Prospects 12 4.2 Capacity Utilisation in German Shipbuilding 13 4.3 Overtime 14 5 Naval Shipbuilding 14 5.1 European Naval Shipbuilding 14 5.2 Cooperation in German Naval Shipbuilding 15 6 Rescue and Company Restructuring Plans 16 Two thirds of shipbuilding jobs destroyed in the last twelve years 16 7 Employment Market and Shipyards 17 8 Shipbuilding s Image 18 9 Main problems as seen by the Works Councils 18 10 Political Demands of the Works Councils 19 Appendix 20 References 24

IAW Arbeitspapier X 2002 7 1 Employment, Order Books, Perspectives Results of Survey carried out in Works Councils in September 2002 For the eleventh time IG Metall Küste (German Metalworkers union Coastal Region) and the Bremen University (Institute Labour and Economy) have carried out a survey on the employment situation and prospects in the German shipbuilding sector. Thirty-eight works councils/ yards took part, representing a total of 21,796 employees (as of 01 September 2002) or roughly 96% of the total German shipbuilding workforce. Not all questions were answered by all works councils/yards, as is noted accordingly. 2 Results in Detail Slight increase in Employment but with risks Compared to 2001, the employment situation in 2002 has seen an initial slight improvement. As in the previous year, there was again an increase in the number of jobs (+ 675) as opposed to the considerably lower works council predictions for 2001/ 2002 (+ 27). This development, however, is subject to several limiting factors. 813 jobs are in acute danger due to insolvency procedures with highly uncertain outcomes. It is still unclear to what extent the much lower than average number of new orders will affect employment in the next year. In addition, increases in the number of jobs were recorded almost exclusively in the yards in the western part of Germany. Twelve yards reported considerable increases in employment, with 780 new jobs in total. In the other 15 yards (29 responded on this question) there were no new jobs. In view of these risks and trends, we can come to the general conclusion that the employment situation in the German yards is currently stable but subject to substantial risks in the near future.

Tab.1: Employment Trend 2001/2002 Employees Trend 2001 2002 Absolute in % All yards 21.121 21.796 675 3,1 % Yards in East Germany 4.947 4.951 4 0,08 % Yards in West Germany 16.174 16.845 671 4,0 % In spite of 100% capacity utilisation in the last year, the East German yards were still unable to expand their workforces, with an increase of only 4 jobs or 0.08% being reported compared to autumn 2001. The negative effects of unchanged capacity limitations have become evident. In the west, on the other hand, 671 more workers are in employment than in the previous year (+4%). 3 Global and Political Factors 3.1 World Shipbuilding Markets The world shipbuilding market is currently in recession. The events of September 11 2001, together with negative global economic data, have led to a decline in demand. In June 2002, there was a 23.7% decrease worldwide in orders for new vessels as compared to the same month of the previous year (ISL 2002a, 54). This applied especially to oil tankers, container ships and cruise vessels. Since Korea and the EU have a particularly strong position in these sectors, their share of the total market dropped (EU 2002, 3). This is compounded by the fact that prices in shipbuilding worldwide have remained low. The drastic collapse in prices following the Asian crisis of 1997/98 may have been compensated for partly by a boom in orders in 2000, but this trend was reversed in 2001. Average prices for all types of new vessels in June 2002 were about 8% lower than one year earlier (Clarkson 2002, 8). A consideration of the last fifteen years shows that the price level in 2001 was only about 20% higher than in 1987, which means, for example, that prices did not even keep pace with inflation (EU 2002, 13). The reasons for this are the recessionary global shipbuilding market and the aggressive capacity expansion and pricing policies of the Korean yards.

IAW Arbeitspapier X 2002 9 3.2 German government aid for shipbuilding within the framework of the EU policy on South Korea On June 06 2002 a compromise was reached in the EU Council of Ministers for Industry in Luxemburg between the Commission and the majority of EU states on an effective strategy to deal with the Korean problem. This compromise covers two main points: 1. In the event of the failure of renewed talks between the European Commission and the South Korean government on the abolition of price dumping, legal action will be taken at the WTO, at the latest by October 01 2002. 2. In the event of further infringements, individual EU member states are entitled to grant aid of up to 6% on container ships, product and chemical tankers as well as gas tankers in the period from October 2002 to March 2004. On June 26 2002 the German federal government approved grants amounting to 24 million for shipbuilding aid. By releasing these funds, which are to be co-financed according to the normally practised shipbuilding aid model in a one third/two thirds ratio (i.e. 48 million) by the five coastal federal states (Lower Saxony, Bremen, Hamburg, Schleswig-Holstein, and Mecklenburg- Vorpommern) the federal government hopes to support orders amounting to a total of 1.2 billion, which would be about 40% of the annual German shipbuilding volume. It remains to be seen, however, if these aids will be sufficient in view of the current 20 % increase in price dumping by the Koreans. Special developments at specific yards in 2001/2002 Capacity restrictions at East German yards: In the 1990s the yards in Mecklenburg- Vorpommern received a large amount of state investment aid to enable the creation of modern, competitive and productive shipbuilding businesses. To make up for this, the EU imposed an annual capacity limitation of 327,000 cgt (compensated gross tonnage) until the end of 2005. Originally intended to balance out the disadvantages for other EU competitors resulting from state support of the modernised East German yards, this restriction has now become a serious obstacle to competitiveness. For example, some orders cannot be fulfilled and have to be transferred to other locations. These capacity restrictions have also led to the danger of part-time work or even redundancies. Importance of suppliers: about 70% of the total value of modern shipbuilding is accounted for by the supply industry. With a workforce in Germany of about 70,000, it is approximately three times as big as the shipbuilding industry itself. It is, of course, concentrated in the north German coastal states, but also includes 44% in Bavaria, Baden-Württemberg and North Rhine Westphalia. Mainly medium-sized, these enterprises depend for two-thirds of their business on export. And about half of this goes to Japan, Korea and in the meantime also

China. But Korean suppliers are also making inroads into these markets by franchise arrangements with top-of-the-range European suppliers. However cooperation between yards and suppliers is greatly in need of improvement, which means that the competitiveness of German yards is limited. Thyssen Nordseewerke shipyard in Emden and the Lürssen yard in Lemwerder are currently developing, with the help of a federal grant, software that will help to make relations between yards and suppliers more transparent. Wyser-Pratte is suing Babcock executives und TUI: Guy Wyser-Pratte, a US major shareholder, has filed a 15 million suit with a New York court in the wake of insolvency proceedings at the HDW parent company, Babcock-Borsig AG, Oberhausen. One of the bones of contention is the controversial sale of HDW to the financing company OEP-One Equity Partner (which in turn is financed by the Bank One Corporation in Chicago). The suit has been filed among others against the former Babcock CEO Klaus Lederer, the supervisory board chairman Friedel Neuber, the TUI concern (formerly Pruessag) and OEP as new owner of HDW. Following further accusations by Wyser-Pratt and the German Shareholders Association, the Düsseldorf Public Prosecutor is investigating charges of embezzlement and fraudulent bankruptcy against Lederer. The kern of the matter is the claim that Lederer deliberately provoked the Babcock insolvency by selling the HDW majority share. Lederer resigned as Babcock CEO after the transaction and is now in charge of HDW. Another aspect of these developments is the fear that this move was in fact a covert takeover by the US armaments conglomerate General Dynamics. For both the OEP parent company, Bank One Corporation, and General Dynamics are in the hands of the Chicago family Crown. Industrial Cooperation strengthens the yards: In July of this year a consortium of STN Atlas Eletronik, EADS as well as the Lürssen and Abeking & Rasmussen yards secured a major development contract worth 34.9 million for a sophisticated minesweeping system. Cooperation at east German yards: The Aker MTW location Wismar and the Kvaerner location Warnemünde are planning on future cooperation which could go as far as a merger as one shipbuilding company. Problems at the SSW yard in Bremerhaven: The SSW yard in Bremerhaven, which survived from the Vulkan concern, is in a precarious situation in spite of the completion of two highly modern ferries, a major contract for five container vessels, a subcontract with the Meyer yard in Papenburg (sections of a new ferry for Brittany Ferries) and, for P & O Stena, the planned conversion into passenger ferries of two freight ferries built at SSW some ten years ago. The present situation is reportedly due to miss-calculated orders, management errors and the drop in prices on the world shipbuilding market.

IAW Arbeitspapier X 2002 11 As a first step, Bremerhaven s Lloyd yard has taken over the management at SSW with a view to developing a feasible concept for a united Bremerhaven solution to be approved of by the banks. Meanwhile this shipyard is insolvent. Flender yard in Lübeck und Schlömer yard in Leer insolvent: The Flender yard in Lübeck with a current workforce of 799 is at present in the middle of insolvency procedures. A rescue attempt may be launched in October of this year. The Schlömer yard in Leer with a payroll of 14 at present will probably close its gates for good in November. 4 Orders for German yards September 2001 August 2002 After an extremely good year in 2000 with many high priority orders, the situation in 2001 was much quieter. A further drop since autumn 2001 can only be described as a drastic collapse. The events of September 11 have led this year to a paralysis in the market for cruise vessels also worldwide although prospects for 2003 in this sector seem considerably better. The market for container vessels is still suffering from ever-increasing over-capacities. Tab. 2: Orders for German Yards [September 2001 August 2002] Container Vessels Number Yard Commissioned by tdw TEU 2 Kvaerner Warnow Werft MPC Hamburg-Süd 33.800 2.542 2 Sietas Heinrich/Holwerda 8.950 820 2 Sietas P. Döhle, Hamburg 8.950 820 Passenger Ships, Yachts, Ferries, Ro-Ro-Freighters Number Yard Commissioned by Type of Vessel 2 Flensburger Schiffbau DFDS Tor Line Ro-Ro-Frachter 1 Meyer, Papenburg Brittany Ferries Cruise Ferry 1 Blohm + Voss 145m-Yacht 1 Cassens Deutscher Eigner Cruise Ship 2 Lürssen Up to 120m-Yachts 1 Peters AG 60m-Yacht 1 Abeking & Rasmussen 45m-Yacht

Others Number Yard Commissioned by Type of Vessel 2 Volkswerft Stralsund Maersk Supply Services AH/Supply vessels 1 Kröger, Rendsburg Mecklenburg-Vorpomm. Research vessel 94m 1 Fassmer BSH, Hamburg Research vessel 43m 1 Fassmer Bundesamt für Landw. Fishery protection 1 SET Tangermünde Hadag, Hamburg Harbour ferry 1 SSB Oortkaten Hadag, Hamburg Harbour ferry Source: ISL Newbuilding Contracts, August 2002 (ISL 2002b) To summarise: in the period from September 2001 August 2002 German yards only managed to secure new orders for two medium-sized container vessels, four feeders, one ferry, two RoRo-freighters, and a few yachts and smaller vessels. The high employment level until then was only a result of the completion of orders from previous years. Slight drop in 2002 in the number of hours worked According to current planning for 2002 the number of production hours will be 21,096,895 as opposed to 22,667,748 in 2001 (a drop of 1,570,853 hours or 6.9 %). The ratio of hours spent on new vessels versus repair and other contracts has also seen a slight shift towards repairs, so that the new orders from the years 2000 and 2001 will soon be completed. In this way the cushion of better years will soon be used up, unless a substantial number of new orders are secured soon possibly with the help of government aid or a boost in the (world) economy. 4.1 Future Employment Prospects The approaching difficult period has also been considered by the works councils, who expect a total of 216 redundancies in the next twelve months (not including the Flender and Schlömer shipyards). Alarming is the fact that in Mecklenburg-Vorpommern, where there is already an extremely low level of employment, a further loss of 150 jobs (about 3%) is foreseen.

IAW Arbeitspapier X 2002 13 Tab. 3: Employment Prospects 2002/2003 Employees Trend 2002 2003 Absolute In % All Yards 21.796 21.580-216 -1,0 East Germany 4.951 4.801-150 -3,0 West Germany 16.845 16.779-66 -0,4 Universität Bremen, IAW- IG Metall Küste 2002 4.2 Capacity Utilisation in German Shipbuilding After an increase in 2001 (98,4 %), capacity utilisation this year has dropped to 92,0 %. 17 of a total of 30 yards who responded to this question report full capacity utilisation, including all the yards in Mecklenburg-Vorpommern. Among the yards that did not respond are also those, which are in the middle of insolvency procedures. Part-time work has played a relatively minor role so far this year. Only four yards had agreed on part-time work, and even here only in specific departments. Forecasts for the coming year (2003) only see an utilisation of 78.5%, and for 2004 as little as 60%, albeit based on today s order books and knowledge.

Tab. 4: Capacity Utilisation in the Current and Following Year Current Year Following Year 1995 1996 1998 2000 2001 2002 1996 1997 2000 2001 2002 2003 All Yards 95,3 92,0 98,6 96,6 98,4 92,0 81,9 84,6 74,3 76,8 77,6 78,5 East Germany 94,2 94,2 98,8 96,3 100 100 81,7 94,0 66,3 92,8 82,5 79,0 West Germany 95,6 91,4 98,6 97,1 98,9 90,2 82,0 82,0 77,4 73,7 75,8 78,4 Universität Bremen, IAW - IG Metall Küste 2002 4.3 Overtime In the 25 yards, which supplied data on overtime, 1.43 million hours of supplementary work was done in 2001. This averages at 88 hours overtime per employee at the respective yards. Based on an annual workload of 1,480 hours, this overtime volume corresponds roughly to 965 potential new jobs (5.8% of the workforce in the 25 yards). 22 of the yards also provided figures for the year 2000. In that year, the total was higher than 2001 at 1.46 million hours in only 22 yards the year 2000 was also the peak of the boom in new orders. The number of employees was also lower at 20,668 as compared to 21,121 in 2001. This means that overtime was partly replaced by new jobs, thus fulfilling to a certain extent the demands of the union IG Metall. On the whole, the amount of overtime worked is much lower than in the mid-nineties. Six years ago a shipyard worker worked on average 103 hours overtime as opposed to 88 in 2001. A lot of the overtime hours are not remunerated in cash, but by extra holidays. This is also a clear reflection of IG Metall s and the works councils policy of securing employment by redistributing labour. The last few years have seen an increase in the number of works agreements, which provide for compensation for overtime by extra free time (work accounts). In times of an improved economy, this has proved especially effective in securing jobs. 5 Naval Shipbuilding 5.1 European Naval Shipbuilding About two dozen European yards are active in naval shipbuilding (IG Metall 2001, 65 ff.). The capacity utilisation at the leading European naval yards at the beginning of the new century is much better than in the nineties. New national purchasing programmes as well as increased demand from overseas means that some naval yards are fully booked for several

IAW Arbeitspapier X 2002 15 years. This effect has been enhanced by the ESDP - European Security and Defence Policy, which will also have a considerable impact on naval shipbuilding. Since August 2002, however, the financing of this project has become uncertain as some countries (Germany and Austria in particular) are redirecting some of the planned military expenditure to the alleviation of flood damage. We also have to assume that against the background of the expected long-term demand, there are also overcapacities in European naval shipbuilding. The ten largest shipyards in Europe (DCN, Fincantieri, Izar, HDW/Kockums, TKW, BAe Systems et al.) together account for about 75% of military shipbuilding in Western Europe. An estimated thirty-five to forty thousand jobs are linked either directly or indirectly to military commissions. And so, European naval shipbuilding volume amounts to about 70% of US naval construction. However relations between the two are not only competitive but also cooperative as demonstrated by the sale of the HDW naval shipbuilding yard in Kiel to the American Investor, One Equity Partners (OEP) in 2002. The most notable aspect of naval shipbuilding in Germany as opposed to other countries of the EU is the integration civilian and military production within the yards concerned, which in many respects can lead to synergetic effects. Of the 38 yards in Germany, 10 are also involved in military construction. For these yards, the proportion of military production is of prime importance for sustained capacity utilisation, employment and profitability. A total of about 5,000 shipyard workers or a quarter of the complete workforce are involved in the construction or repair of navy vessels. 5.2 Cooperation in German Naval Shipbuilding At the beginning of this year the three major naval shipbuilders in Germany, HDW in Kiel, Blohm und Voss in Hamburg and the Thyssen Nordsee-Werke in Emden agreed on a cooperation in naval shipbuilding. But the contracts do not come into effect until ThyssenKrupp (the owner of Blohm und Voss and the Nordsee-Werke) gains a shareholding in HDW. The new owner One Equity Partner from America has offered ThyssenKrupp and Ferrostaal a 15 per cent stake each. In this connection, it remains to be seen what role merchant shipping will play at HDW in future.

6 Rescue and Company Restructuring Plans The 1990s saw the creation of rescue companies in many shipyards, for example in east Germany, in the companies of the former Vulkan concern, at HDW in Kiel and in 2000 also at the Peterswerft and Husumer Werft. This tool has well served its purpose in the shipbuilding crisis and made a valuable contribution to the avoidance of redundancies and unemployment. In many instances, a survival solution would not have been found without them. In other cases, they eased the change to new trades and professions, thus promoting structural change on a larger scale. Negotiations are currently taking place on the establishment of a rescue organisation for the Flender yard in Lübeck. Two thirds of shipbuilding jobs destroyed in the last twelve years The 1990s did not bring the boom to German shipyards as expected by many company planners. For the workers, at least, it went by unnoticed. During a twelve-year period, almost two thirds of all jobs were lost, with a wide gap between the developments in east and West Germany. In autumn 2002, the employment level in Mecklenburg-Vorpommern was about 84% below the level recorded at the time of German reunification. Four out of five shipyard workers lost their jobs. But workforces in the west were also affected, with nearly every second employee (41.2%) being made redundant in the same period. The stabilisation and positive employment development of the last three years could only slightly correct the enduring downward trend, and in view of the current lack of orders, further redundancies seem inevitable. Tab. 5: Employment Trends in the 1990s Employees Trend 1990 2002 Absolute In% All Yards 59.278 21.796-37.482-63,2% East German Yards 30.582 4.951-25.631-83,8% West German Yards 28.696 16.845-11.851-41,3% Universität Bremen, IAW - IG Metall Küste 2002

IAW Arbeitspapier X 2002 17 7 Employment Market and Shipyards Between September 2001 and September 2002 the German yards gave employment to a total of 780 new workers (based on responses from 31 yards). The average fluctuation rate, i.e. the ratio of new employees to the workforce as a whole was 4.1% in the yards concerned. There are considerable differences from yard to yard. In some it is 0% (2 yards), which means that no new jobs were created in the last twelve months. In others it is more than 5% with the top rate being 15%. The need for workers is significantly higher than the figures in the employment trends suggest. Even though there is high unemployment, the yards still find it difficult to fill vacancies and find sufficient numbers of qualified and skilled workers. 12 works councils stated that their organisations had problems filling vacancies. 16 companies had no problems in this respect 1. The lack of sufficiently qualified skilled workers and the reluctance to work in a shipyard has become a serious problem for the German shipbuilding industry. There is a demand for skilled workers with specific qualifications (shipwrights, welders) as well as skilled workers with more general qualifications. But there is also an increasing shortage of professionals. Ship designers and engineers are in urgent demand (c.f. Table 2 in the Appendix). There are many reasons for this and they are to be found in the yards themselves as well as in the employment market as a whole. The assessments and experience of the works councils sends out a clear message. They see considerable problems in the employment market. There are just not enough qualified applicants. Production peaks are also a great problem and the labour offices are simply not able to provide the workers necessary (Table A2 in the Appendix). 1 28 shipyards responded to this question

8 Shipbuilding s Image The shipbuilding image the picture people have of shipbuilding plays an important role in the recruitment of qualified workers. After more than two decades of decline, job prospects are seen in a rather negative light. Unsafe jobs, old equipment and permanent subsidies are the ideas associated with the industry. Today s reality is quite different. New technologies, computer assisted production and networked IT are being used more and more in shipbuilding. Shipping will become increasingly important in the future, highly skilled workers will be needed. For three years the shipyards have been creating new jobs. But of course it is a difficult task to overcome this negative image, especially since the employment achievements of the last three years are now seriously threatened. In the view of the works councils, it is now the job of politicians and companies to take urgent steps to improve the image and position of the marine industries. The media should present shipbuilding less as a crisis-hit industry. Instead they should focus more on the restructuring, modernisation and increased productivity that has been achieved. The future of shipping has to be strengthened. 9 Main problems as seen by the Works Councils Apart from specific internal company problems, the works councils (22 responses) see the major problems as follows: low demand on the world shipbuilding market declining prices on the world shipbuilding market unfair competition through Korean price dumping abolition of the anachronistic capacity restrictions in east Germany which endanger jobs and locations reliable budgeting in the area of military shipbuilding.

IAW Arbeitspapier X 2002 19 10 Political Demands of the Works Councils A lot is expected of the government s Marine Coordinator, whose job it also is to protect and enforce German interests in Brussels. 31 works councils (100% of those who commented on this question) would insist on the continuation of the Marine Coordinator s work after the general election in September. According to 30 works councils (31 responses) the 6 % shipbuilding aid planned by the government in the budget for 2003 should be continued into 2004. In addition, this aid should be available for all types of vessel. All north German federal states should also strive to reach the maximum rate in the federal financing model (1/3 federal responsibility, 2/3 individual state). This, of course, depends on new orders being secured. The federal government is called on to invite tenders on its own commissions at cost-covering price. At present, federal government orders are only cost-covering if done in cooperation with yards and suppliers from cheap-labour countries overseas. All works councils who commented on it are in favour of the possible legal action by the EU Commission at the WTO (at the earliest on 01 October, 2002) against the pricedumping policy of South Korea. A delay of this action would mean a considerably higher risk of lack of orders.

Appendix

IAW Arbeitspapier X 2002 21 Tab. A1: Company Structures in German Shipbuilding Name of Yard Location Employees Concern Babcock/Preussag 1990 1996 1999 2000 2001 2002 1 HDW Kiel Kiel 4.737 3.360 3.244 3.320 3.460 3.432 2 HDW Nobiskrug Rendsburg 400 420 408 397 392 405 Thyssen Werften GmbH 3 Blohm & Voss GmbH Hamburg 4.717 1.875 992 1.017 1.036 1.100 4 Blohm & Voss Repair Gmbh Hamburg 385 394 404 454 5 Thyssen Nordseewerke Emden 2.136 1.691 1.385 1.426 1.458 1.451 Hegemann 6 Hegemann Rolandwerft Berne 180 187 205 198 171 163 7 Hegemann Peene Werft Wolgast 3.700 873 788 735 764 782 Kvaerner 8 Kvaerner-Warnow-Werft Rostock 5.532 1.473 1.372 1.282 1.279 1.233 Aker Gruppe Norwegen 9 Aker MTW Wismar 6.000 2.070 1.405 1.496 1.445 1.431 AP Moeller Dänemark 10 Volkswerft Stralsund Stralsund 7.099 2.161 1.232 1.252 1.289 1.340 Medium-sized independent yards 11 Johs. L. Meyer Papenburg 1.700 1.940 2.104 2.246 2.526 2.600 12 Neptun Werft /NIR Rostock 6.376 1.492 149 143 170 165 13 J.J. Sietas KG( + Norderwerft) Hamburg 1.462 1.393 1.243 1.306 1.201 1.270 14 Flender Werft Lübeck 718 733 800 809 800 799 15 Flensburger Schiffbau Ges. Flensburg 599 607 601 668 669 683 Lürssen Gruppe 16 17 Fr. Lürssen Werft (+ Schweers Bardenfleht) Kröger Werft GmbH & CoKG Bremen/Bremerhaven locations of the former Vulkan concern Bremen 1.100 627 666 645 624 752 Rendsburg 443 264 243 250 271 271 18 Bremer Vulkan Werft Bremen 2.919 1.836 0 0 0 0 19 SSW Fähr-u.Spezialschiffbau GmbH Bremerhaven 2.421 1.710 510 660 683 704

20 Lloyd Werft Bremerhaven 1.068 470 485 486 540 530 Small Yards 21 Abeking u. Rasmussen Lemwerder 600 324 336 347 386 402 22 Paul. Lindenau Kiel 248 259 275 272 278 330 23 Husumer Dock u. Reparatur Husum 382 250 247 30 31 30 24 Fassmer Werft Berne 200 191 246 241 279 240 25 Peters Schiffbau AG Wewelsfleth 292 254 240 90 116 112 26 MWB Motoren u. Anlagen Bremerhaven 827 182 239 235 240 198 27 J.G. Hitzler Lauenburg 270 168 162 164 63 65 28 Cassens GmbH Emden 240 154 153 149 151 150 29 Maschinenfabrik Lübeck Lübeck 100 96 51 90 0 30 Elsflether Werft Elsfleth 257 89 76 77 78 82 31 Neue Jade Werft Wilhelmshaven 150 77 76 81 86 100 32 Mützelfeldwerft Cuxhaven 200 96 58 60 63 68 33 BREDO Bremerhaven 0 0 45 45 45 50 34 Rickmers Dock Bremerhaven 43 43 43 45 42 42 35 MAN B+W Hamburg 277 36 Schlömer Werft 14 37 Con-Mar-Ing.technik (MWB) Brake 38 42 45 50 38 Schiffswerft Diedrich Oldersum 80 65 20 19 21 21 39 Elbewerft Boizenburg Boizenburg 1875 306 0 0 0 0 40 Brandwerft GmbH & Co KGi Oldenburg 244 0 0 0 0 Total 59.278 28.250 20.522 20.668 21.121 21.796 Universität Bremen, IAW - IG Metall Küste 2002

IAW Arbeitspapier X 2002 23 Tab. A2: Problems Filling Vacancies Yard (anonymous) Field/Qualification/Professions What were the reasons? 1 2 Manual workers Engineer, Machinist, Shipwright, Foreign Correspondent/Secretary. Not available in the north Temporary employment, Outsourcing (AÜG) 3 Submarine trial crew, marine engineers Specialist qualification 4 Engineers Not enough available 5 Engineers High capacity utilisation in north German yards 6 Shipwrights Lack of skilled workers 7 Designers Qualifications 8 Marine engineers, machine engineers Lack of professional experience 9 Graduate engineers Financial and other reasons 10 Designers 11 Shipwrights, welders Lack of qualified staff/ apprentices 12 Shipwrights, engineers, metal workers None available Universität Bremen, IAW IG Metall Küste 2002

References IG Metall Bezirk Küste, Universität Bremen Institut Arbeit und Wirtschaft 2002: Beschäftigung, Auftragslage, Perspektiven im deutschen Schiffbau; Umfrage, Hamburg/Bremen 2002 Clarkson 2002: World Shipyard Monitor, Volume 9, No. 7, London, July (Clarkson Research Studies) EU 2002: Fünfter Bericht der Kommission an den Rat: Zur Lage des Weltmarktes im Schiffbausektor, 30.04.2002, Brüssel IG Metall 2001: Texte und Materialien zur gewerkschaftlichen und sicherheitspolitischen Diskussion, Frankfurt/M Juli IG Metall-Bezirk Küste; Institut Arbeit und Wirtschaft der Universität Bremen: Jährliche Befragungen deutscher Werften, 1991-2002 ISL 2002a: Shipping Statistics and Market Review (SSMR), No. 6, June 2002, ed. by Institut für Seeverkehrswirtschaft und Logistik, Bremen ISL 2002b: Shipping Statistics and Market Review (SSMR), No. 7/8, July/August 2002, ed. by Institut für Seeverkehrswirtschaft und Logistik, Bremen