H.sie's mod "Realism- and gameplay-related hardcode fixes for SH3.EXE"
takes care of the watchman problem. (One still has to make sure that there is an Officer in the front resting area and preferably someone with the Watchman qualification. Otherwise works like a charm and is a very good mod in other ways too, IMO.
http://www.subsim.com/radioroom/show...74225&page=126
If you only want the watch officer fix, I think H.sie has that too as a standalone mod in his Mediafire pages.