Maritime News

Transocean to Reduce Pay to Injured Offshore Workers

Posted on Oct 21, 2010

Transocean Ltd. has announced that it plans to stop paying full salary and benefits to its crew members who were injured in the April 20th Deepwater Horizon explosion in the Gulf of Mexico. On October 15, The company filed a court-proceeding announcing the cut-off date would be December 15, 2010.

As of now, more than 60 lawsuits have been filed against Transocean by offshore workers claiming they were injured as a result of the oil rig explosion. The company has acknowledged injuries to 17 of the 126 crew members who were on the Deepwater Horizon platform at the time.

The pay cut affects those who are less seriously injured. While no details have been provided, the company says that the injured will be paid under the requirements of maritime law and workers' compensation. One lawyer believes the pay will be cut to $25 a day in maintenance and cure. This is not a livable wage for those used to making $10,000-$15,000 a month.

Attorneys fear that the economic hardship caused by these payments will force injured offshore workers to settle their cases for less than they are entitled to in order to avoid economic hardship.

More than 300 law-suits relating to the oil spill have been consolidated in federal court in New Orleans. Many of these lawsuits were filed by people who suffered economic losses because of the oil spill. The trial will not begin until next summer.