The unions blasted David Matsuda, above, for a report that 'includes possible cost-cutting suggestions that are completely contrary to the overall best interests of the United States, represents a gigantic failure in Matsuda’s leadership and a missed opportunity on the part of the Maritime Administration.'
The report, a Comparison of U.S. and Foreign-Flag Operating Costs, reaches the conclusion that it costs more to operate ships under the U.S.-flag than under an open-register flag and that the chief reason for this is that U.S. citizen crews are more expensive than third-world crews.
Possibly this is news to the Maritime Administrator, who worked as an attorney with the safety law division of the USDOT’s Federal Railroad Administration before becoming a staffer for Senator Frank Lautenberg. Matsuda has often been criticized in maritime circles for his lack of knowledge and engagement with the maritime industry. One well-known maritime attorney who works for a major flag state went so far as to say that the Administrator was “underwhelming.” Another prominent member of the salvage community said he was going to make it his mission to get rid of Matsuda. One long-time maritime commentator called him “the invisible man.”
What appears to have infuriated union officials is that they were not even consulted regarding the report. The American Maritime Officers, International Organization of Masters, Mates and Pilots, Marine Engineers Beneficial Association and the Seafarers International Union issues a joint statement criticizing the report.