If the dispute was before an English Employment Tribunal (which it seems it wasn't) then in only the most exceptional circumstances e.g. vexatious litigant would the loser have to pay the winner's costs. The normal position is each party bears its own costs in (English) Employment Tribunals.
Employment Tribunals have different rules on costs awards as compared to the Courts where costs are entirely at the Court's discretion (although in the Court's, it is common for the winner to have his costs paid by the loser).
Most likely the Captain's employment contract was subject to Irish law - a whole different set of rules apply (and I am not familiar with them so I will say no more and defer to someone who is better acquianted).
I think the moral of the story is ask your lawyer up front for a worst case scenario and be ready to deal with that eventuality.