The U.S. Department of Labor projects that employment in water transportation occupations will decline by 2 percent through 2028, but the outlook varies for domestic and deep-water shipping workers. In general water transportation workers will continue to be needed, to ensure there is always a fleet of merchant ships with U.S. flags.
Employment in water transportation occupations depends on the demand for bulk commodities, such as iron, ore, grains, and petroleum products. With high demand comes better employment opportunities for water transportation workers. Cargo rates and wages paid to U.S. merchant mariners are the highest in the world, but this keeps the industry small because shippers can send goods on cheaper foreign vessels. However, new international regulations have raised shipping standards with respect to safety, training, and working conditions, so there is expected to be less competition from foreign vessels that will have to pay higher insurance rates for ships that do not meet the standards.
Another factor affecting employment growth is the increase in use of computerized monitoring systems in navigation, engine control, watchkeeping, ship management, and cargo handling. Ships with more automated equipment can be operated with smaller crews.
Maritime academy graduates who cannot find licensed shipboard jobs in the U.S. merchant marine usually find employment in other related industries. There are opportunities as seamen on U.S.-flagged or foreign-flagged vessels, tugboats, and other watercraft, or they can take civilian jobs with the U.S. Navy or Coast Guard. Some find land-based jobs with shipping companies, marine insurance companies, manufacturers of boilers or related machinery, or other related jobs. All graduates are commissioned as ensigns in the U.S. Naval Reserve or Coast Guard, and many sign up for active duty.
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