Philippine Shipping Updates – Manning Industry {download}

By:  Ruben Del Rosario, President, Del Rosario Pandiphil Inc.,  September 11, 2008

This issue contains the following:

Arbitrators’ uphold POEA contract provisions; rule appendicitis not work-related; back-pains suffered after repatriation not compensable

Miscellaneous notes
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Arbitrators’ uphold POEA contract provisions; rule appendicitis not work-related; back-pains suffered after repatriation not compensable


Sentiments of vessel interests are accurately reflected in the following citations from the decision of the panel of arbitrators: 

“This panel reiterates the principle that employers are not the insurers of their employee.  Labor laws may show a bias in favour of the working class but it does not follow that employers are always put on the losing end when they have in fact and in truth complied with what is required of them by law and equity.”

“Employees should take into account the principle that they should not kill the hen that lays golden eggs for them.  They derive their means of livelihood from their employers and should only receive what is rightfully due them in exchange for their toil and persistence in performing their assigned tasks.  When there is no longer any basis, the employer should not be made to pay for something is it not liable to.  If we are to help this shipping industry, and eventually the country’s economy, grow and reach full potential, we should always uphold and maintain a symbiotic relationship between the employers and their employees.”

“The terms of the contract are clear and its application to the case at bar simply refutes the sickness benefits being claimed by the complainant by reason of appendicitis.  If we are to decide otherwise, the POEA employment contract will be reduced to a mere scrap of paper with no binding nor obligatory force and the employers transformed into milking cows that are drained of its resources upon every bare allegation of employees that they suffered a disease or sickness by reason of their employment.”



After just thirteen days on board the vessel, seafarer fitter suffered appendicitis and was operated on in Cape Town, South Africa.  He was repatriated and the company doctor found his illness as not work-related.  Fitter however complained of back pains and his own doctor operated on him and gave him a Grade 2 disability grading.  At issue before the panel of voluntary arbitrators is whether seafarer is entitled to disability benefits.

On his appendicitis, the panel ruled that two conditions must be present for the illness to be compensable.  It must be suffered during employment and must be work-related.  While the appendicitis was suffered during employment, it was not work-related.  Appendicitis is not among those enumerated under Section 32-A of the contract. Thus, it is not compensable.

As to his spine surgery, the panel ruled that the fitter’s back pain was not suffered during employment and is not work-related.  During employment, fitter never complained of back pain.  His complaint of back pain was two months after his repatriation and thus was suffered after employment.  Fitter failed to present substantial and concrete evidence that his back pain was work-related. The panel held that when a sickness or disease is suffered after the termination of employment, there is the greater need to substantiate the claim for sickness benefits to prevent unscrupulous employees from claiming sicknesses that are not actually work-related.

The panel noted that the employer shouldered the medical expenses of the appendectomy as well as other medical expenses prior to the certification of the company physician that the illness is not work-related.  The employer did not ask for reimbursement of expenses despite said certification.

In RE: Voluntary Arbitration Between Ace Navigation Co., Inc., Rodolfo Pamintuan-President and/or Vela Int’l Marine Ltd., and Edgardo Alonzo; NCMB-NCR-70-05-11-07; July 8, 2008; Chairman Froilan M. Bacungan, Ponente; Rene Ofreneo and Leonardo A. Saulog, Members.

(Attys. Hansel Tillmann and Charles de la Cruz of Del Rosario & Del Rosario handled for vessel interests.)


Miscellaneous Notes

Atty. Jennifer Jardin  Manalili, a lawyer in the Supreme Court was appointed POEA Administrator.  Former administrator Rosalinda Baldoz was named Undersecretary of Labor.
Professional Regulation Commission (PRC) has a new Chairperson in the name of Retired Court of Appeals Justice Nicolas P. Lapeña, a lawyer and a Certified Public Accountant (CPA) by profession.

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