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Amendment of POEA Standard Contract

12 July 2000 No.00-007
Standard wording of the employment contract for Filipino Seafarers established by Philippine Overseas Employment Administration (POEA) has been amended on and after 25 June, 2000. Extract of the amendment is as follows. Full text of the wording after amendment shall be prepared and provided to the members as soon as available.

 

1. Inclusion of the terms "Principal", "Work-Related Injury" and "Work-Related Illness" in the definition of terms.
2. Inclusion of additional duty of the owner to provide a seaworthy vessel with safe working conditions for the seafarer and take precautionary measures to avoid accidents, injury and sickness. (Section 1.A.3)

 

3. Inclusion of additional duty of the employer / master to observe the Code of Ethics. (Section 1.A.4)

 

4. Overtime work for officers shall be computed based on the fixed overtime rate. And for ratings overtime work shall be based on guaranteed or open overtime rate, as mutually agreed upon by the contracting parties. Overtime work in excess of 105 hours a month for ratings shall be further compensated on the open overtime rate. (Section 11.B.3/4)

 

5. Settlement of leave pay shall be made within two weeks upon arrival of the seafarer at the point of hire. (Section 12)

 

6. Work connected/related illness, injury or death has been delineated. Payment of death compensation will be made if "work-related" and no longer when death occurs "during the term of the contract". Similarly, payment of injury or illness compensation must be for "work-related injury or illness". (Section 20.A/B)

 

7. If a doctor appointed by the seafarer disagrees with the assessment, a third doctor may be agreed jointly between the Employer and the seafarer. The third doctor's decision shall be final and binding on both parties. (Section 20.B.3)

 

8. A seafarer who knowingly conceals and does not disclose past medical condition, disability and history in the pre-employment medical examination constitutes fraudulent misrepresentation and shall disqualify him from any compensation and benefits. This may also be a valid ground for termination of employment and imposition of the appropriate administrative and legal sanctions. (Section 20.E)

 

9. An acknowledgment by the seafarer or his successor in interest that payment for injury, illness, incapacity, disability or death of the seafarer under this contract shall cover all claims arising from or in relation with or in the course of the seafarer's employment, including but not limited to damages arising from the contract, tort, fault, or negligence under the laws of the Philippines or any other country. (Section 20.G)

 

10. Transfer of seafarer to another vessel in case of vessel sale, lay-up or discontinuance of voyage is allowed but the vessel should belong to the same principal. (Section 23)

 

11. New section on termination due to port state procedure. (Section 25)

 

12. An option is given to the parties to submit their claim or dispute to the jurisdiction of the voluntary arbitrator as the dispute settlement procedures. (Section 29)

 

13. New section on prescriptive period for filing of cases/complaints to be done within a period of three (3) years. (Section 30)

 

14. List of occupational diseases is now contained in the schedule of disability for injuries suffered and diseases or illness contracted. Any sickness resulting to disability or death must be the result of a listed occupational disease. (Section 32-A)

 



Amended Sections

Definition of Terms:

10. Principal - any person, partnership or corporation hiring Filipino seafarers to work onboard ocean-going vessels.
11. Work-Related Injury - injury(ies) resulting in disability or death arising out of and in the course of employment.
12. Work-Related Illness - any sickness resulting to disability or death as a result of an occupational disease listed under Section 32-A of this Contract with the conditions set therein satisfied.


Section 1. Duties
A. Duties of the Employer/Agency/Master:
3. To provide a seaworthy vessel for the seafarer and take all reasonable precautions to prevent accident and injury to the crew including provision of safety equipment, fire prevention, safe and proper navigation of the vessel and such other precautions necessary to avoid accident, injury or sickness to the seafarer.
4. To observe the Code of Ethics for Seafarers and conduct himself in the traditional decorum of a master.

 

B. Duties of the Seafarer:
1. to faithfully comply with and observe the terms and conditions of this contract, violation of which shall be subject to disciplinary action pursuant to Section 33 of this contract;
3. to be obedient to the lawful commands of the Master or any person who shall lawfully succeed him and to comply with company policy including safety policy and procedures and any instructions given in connection therewith.
4. to be diligent in his duties ("and in everything" DELETE ) relating to the vessel, its stores and cargo, whether on board, in boats or ashore; and
7. (DELETE)

 

Section 8. Allotments and Remittances
B. The master / employer / agency ("if requested" DELETE ), may also provide facilities for the seafarer to remit any amount earned in excess of his allotment to his designated allottee in the Philippines through any authorized Philippine bank without any charge to him.

 

Section 11. Overtime & Holidays
B. Overtime work may be compensated at the following rates:
3. Overtime work for officers shall be computed based on the fixed overtime rate.
4. For ratings, overtime work shall be based on guaranteed or open overtime rate, as mutually agreed upon by the contracting parties. Overtime work in excess of 105 hours a month for ratings shall be further compensated on the open overtime rate.

 

Section 12. Leave Pay
The seafarer's leave pay shall be in accordance with the number of days leave per month as agreed upon. Days leave shall not be less than two and a half (2-1/2) days for each month of service and pro-rated. Leave pay shall be settled onboard or settled within two weeks after arrival of the seafarer at the point of hire.

 

Section 13. Shore Leave
The seafarer shall be allowed shore leave when practicable, upon the consent of the master or his deputy, taking into consideration the operations and safety of the vessel.

 

Section 16. Grievance Machinery
C. The foregoing procedure shall be without prejudice to other modes of voluntary settlement of disputes and to the jurisdiction of the Philippine Overseas Employment Administration (POEA) or the National Labor Relations Commission (NLRC) over any unresolved complaints arising out of shipboard employment that shall be brought before it by the seafarer.

Section 17. Disciplinary Procedures
A. The Master shall furnish the seafarer with a written notice containing the following:
1. Grounds for the charges as listed in Section 33 of this Contract or analogous act constituting the same.

 

B. The Master or his authorized representative shall conduct the investigation or hearing, giving the seafarer the opportunity to explain or defend himself against the charges. These procedures must be duly documented and entered into the ship's logbook.

 

D. Dismissal for just cause may be effected by the Master without furnishing the seafarer with a notice of dismissal if there is a clear and existing danger to the safety of the crew or the vessel. ("This information shall be entered in the ship's logbook." DELETE ) The Master shall send a complete report to the manning agency substantiated by witnesses, testimonies and any other documents in support thereof.

 

Section 18. Termination of Employment
B. The employment of the seafarer is also terminated when the seafarer arrives at the point of hire for any of the following reasons:
3. when the seafarer, in writing, voluntarily resigns and signs off prior to expiration of contract pursuant to Section 19 (G) of this Contract.
4. when the seafarer is discharged for just cause as provided for in Section 33 of this Contract.

 

Section 20. Compensation and Benefits
A. Compensation and benefits for death
1. In case of work-related death of the seafarer, during the term of his contract the employer shall pay his beneficiaries the Philippine Currency equivalent to the amount of Fifty Thousand US dollars (US$50,000) and an additional amount of Seven Thousand US dollars (US$7,000) to each child under the age of twenty-one (21) but not exceeding four (4) children, at the exchange rate prevailing during the time of payment.

 

3. It is understood and agreed that the benefits mentioned above shall be separate and distinct from, and will be in addition to whatever benefits which the seafarer is entitled to under Philippine laws from the Social Security System, Overseas Workers Welfare Administration, Employees' Compensation Commission, Philippine Health Insurance Corporation and Pag-ibig, if applicable.

 

4. The other liabilities of the employer when the seafarer dies as a result of work-related injury or illness during the term of employment are as follows:

 

B. Compensation and benefits for injury or illness
The liabilities of the employer when the seafarer suffers work-related injury or illness during the term of his contract are as follows:

 

3. Upon sign-off from the vessel for medical treatment, the seafarer is entitled to sickness allowance equivalent to his basic wage until he is declared fit to work or the degree of permanent disability has been assessed by the company-designated physician but in no case shall this period exceed one hundred twenty (120) days.

 

For this purpose, the seafarer shall submit himself to a post-employment medical examination by a company-designated physician within three working days upon his return except when he is physically incapacitated to do so, in which case, a written notice to the agency within the same period is deemed as compliance. Failure of the seafarer to comply with the mandatory reporting requirement shall result in his forfeiture of the right to claim the above benefits.

 

If a doctor appointed by the seafarer disagrees with the assessment, a third doctor may be agreed jointly between the Employer and the seafarer. The third doctor's decision shall be final and binding on both parties.

 

4. Those illnesses not listed in Section 32 of this Contract are disputably presumed work related.

 

6. In case of permanent total or partial disability of the seafarer caused by either injury or illness the seafarer shall be compensated in accordance with the schedule of benefits enumerated in Section 32 of this Contract. Computation of his benefits arising from an illness or disease shall be governed by the rates and the rules of compensation applicable at the time the illness or disease was contracted.

 

D. No compensation and benefits shall be payable in respect of any injury, incapacity, disability or death of the seafarer resulting from his willful or criminal act or intentional breach of his duties, provided however, that the employer can prove that such injury, incapacity, disability or death is directly attributable to the seafarer.

 

E. A seafarer who knowingly conceals and does not disclose past medical condition, disability and history in the pre-employment medical examination constitutes fraudulent misrepresentation and shall disqualify him from any compensation and benefits. This may also be a valid ground for termination of employment and imposition of the appropriate administrative and legal sanctions.
F. When requested, the principal shall furnish the seafarer a copy of all pertinent medical reports or any records at no cost to the seafarer.

 

G. The seafarer or his successor in interest acknowledges that payment for injury, illness, incapacity, disability or death of the seafarer under this contract shall cover all claims arising from or in relation with or in the course of the seafarer's employment, including but not limited to damages arising from the contract, tort, fault or negligence under the laws of the Philippines or any other country.

 

Section 22. Termination due to Shipwreck
Where the vessel is wrecked necessitating the termination of employment before the date indicated in the contract, the seafarer shall be entitled to earned wages, medical examination at employer's expense to determine his fitness to work, repatriation at employer's cost and one month basic wage as termination pay. (the following DELETE)

 

Section 23. Termination due to vessel sale , lay-up or discontinuance of voyage
Where the vessel is sold, laid up, or the voyage is discontinued necessitating the termination of employment before the date indicated in the Contract, the seafarer shall be entitled to earned wages, repatriation at employer's cost and one (1) month basic wage as termination pay, unless arrangements have been made for the seafarer to join another vessel belonging to the same principal to complete his contract in which case the seafarer shall be entitled to basic wages until the date of joining the other vessel.

 

Section 25. Termination due to Regulation 1/4, Control Procedures of the 1978 STCW Convention, as Amended
If the seafarer is terminated and repatriated as a result of port state control procedures / actions in compliance with Regulation 1/4 of the 1978 STCW Convention, as amended, his termination shall be considered valid. However, he shall be entitled to repatriation, earned wages and other benefits.

 

Section 26. Change of principal

 

Section 27. Loss of or Damage to Crew's Effects by Marine Peril

 

Section 28. General Safety

 

Section29. Dispute Settlement Procedures
In cases of claims and disputes arising from this employment, the parties covered by a collective bargaining agreement shall submit the claim or dispute to the original and exclusive jurisdiction of the voluntary arbitrator or panel of arbitrators. If the parties are not covered by a collective bargaining agreement, the parties may at their option submit the claim or dispute to either the original and exclusive jurisdiction of the National Labor Relations Commission (NLRC), pursuant to Republic Act (RA) 8042 otherwise known as the Migrant Workers and Overseas Filipinos Act of 1995 or to the original and exclusive jurisdiction of the voluntary arbitrator or panel of arbitrators. If there is no provision as to the voluntary arbitrators to be appointed by the parties, the same shall be appointed from the accredited voluntary arbitrators of the National Conciliation and Mediation Board of the Department of Labor and Employment.

The Philippine Overseas Employment Administration (POEA) shall exercise original and exclusive jurisdiction to hear and decide disciplinary action on cases, which are administrative in character, involving or arising out of violations of recruitment laws, rules and regulations involving employers, principals, contracting partners and Filipino seafarers.

Section 30. Prescription of Action
All clams arising from this Contract shall be made within three (3) years from the date the cause of action arises, otherwise the same shall be barred.

 

Section 31. Applicable Law
Any unresolved dispute, claim or grievance arising out of or in connection with this Contract, including the annexes thereof, shall be governed by the laws of the Republic of the Philippines, international conventions, treaties and covenants where the Philippines is a signatory.

 

Section 32. Schedule of Disability or Impediment for Injuries Suffered and Diseases Including Occupational Diseases or Illness Contracted

 

Section 32-A. Occupational Diseases
* See attached

 

Section 33. Table of Offenses and Corresponding Administrative Penalties
11. (DELETE)

 

 

OCCUPATIONAL DISEASES

For an occupational disease and the resulting disability or death to be compensable, all of the following conditions must be satisfied:
(1) The seafarer's work must involve the risks described herein;
(2) The disease was contracted as a result of the seafarer's exposure to the described risks;
(3) The disease was contracted within a period of exposure and under such other factors necessary to contact it;
(4) There was no notorious negligence on the part of the seafarer.

The following diseases are considered as occupational when contracted under working conditions involving the risks described herein:

 

OCCUPATIONAL DISEASES

NATURE OF EMPLOYMENT
1.  Cancer of the epithelial lining of the bladder. (Papilloma of the bladder) Work involving exposure to alpha-naphthylamine, beta-naphthylamin or benzidine or any part of the salts; and auramine or magenta.
2.  Cancer, epithellomatous or ulceration of the skin or of the corneal surface of the eye due to tar, pitch, bitumen, mineral oil or paraffin, or compound product or residue of these substances. The use or handling of, exposure to tar, pitch, bitumen, mineral oil (including paraffin) soot or any compound product or residue of any of these substances.
3. Deafness Any industrial operation having excessive noise particularly in the higher frequencies.
4. Decompression sickness Any process carried on in compressed or rarefied air.
(a)Caissons disease
(b)Aeroembolism Any process carried on in rarefied air.
5. Dermatitis due to irritants and sensitizers The use or handling of chemical agents which are skin irritants and sensitizers.
6.  Infection(Brucellosis) Any occupation involving the handling of contaminated food and drink particularly milk, butter and cheese of infected goats and cows.
7.  Ionizing radiation disease, inflammation, ulceration or malignant disease of skin or subcutaneous tissues of the bones or leukemia, or anemia of the aplastic type due to X-rays, ionizing particle, radium or radioactive substances. Exposure to X-rays, ionizing particles of radium or other radioactive substance or other forms of radiant energy.
8.  Poisoning and its sequelae caused by;
(a)Ammonia All work involving exposure to the risk concerned
(b)Arsenic or its toxic compound All work involving exposure to the risk concerned
(c)Benzene or its toxic homologues; nitro and aminotoxic derivatives of benzene or its homologue. All work involving exposure to the risk concerned
(d)Beryllium or its toxic compounds All work involving exposure to the risk concerned
(e)Brass, zinc or nickel All work involving exposure to the risk concerned
(f)Carbon dioxide All work involving exposure to the risk concerned
(g)Carbon bisulfide All work involving exposure to the risk concerned
(h)Carbon monoxide All work involving exposure to the risk concerned
(i)Chlorine All work involving exposure to the risk concerned
(j)Chrome or its toxic compounds All work involving exposure to the risk concerned
(k)Dinitrophenol or its homologue All work involving exposure to the risk concerned
(l)Halogen derivatives of hydrocarbon of the aliphatic series All work involving exposure to the risk concerned
(m)Lead or its toxic compounds All work involving exposure to the risk concerned
(n)Manganese or its toxic compounds All work involving exposure to the risk concerned
(o)Mercury or its toxic compounds All work involving exposure to the risk concerned
(p)Nitrous fumes All work involving exposure to the risk concerned
(q)Phosgene All work involving exposure to the risk concerned
(r)Phosphorous or its toxic compounds All work involving exposure to the risk concerned
(s)Sulfur dioxide All work involving exposure to the risk concerned
9.  Diseases caused by abnormalities in temperature and humidity. Any occupation involving exposure to excessive heat or cold.
(a)Heat stroke / cramps / exhaustion Any occupation involving exposure to excessive heat.
(b)Chilblain / frostbite / freezing Any occupation involving exposure to excessive cold.
(c)Immersion foot / general hypothermia Any occupation involving exposure to excessive cold.
10  Vascular disturbance in the upper extremities due to continuous vibration from pneumatic tools or power drills, riveting machines or hammers. vibrations and pressure of upper extremities.
Any occupation causing repeated motions,
11 Cardio-Vascular Diseases. Any of the following conditions must be met:
a. If the heart disease was known to have been present during employment, there must be proof that an acute exacerbation was clearly precipitated by the unusual strain by reasons of the nature of his work.
b. The strain of work that brings about an acute attack must be sufficient severity and must be followed within 24 hours by the clinical signs of a cardiac insult to constitute causal relationship.
c. If a person who was apparently asymptomatic before being subjected to strain at work showed signs and symptoms of cardiac injury during the performance of his work and such symptoms and signs persisted, it is reasonable to claim a causal relationship.
12 Cerebro-Vascular Accidents. All of the following conditions must be met :
a. There must be a history, which should be proved, or trauma at work (to the head specially) due to unusual and extraordinary physical or mental stain or event, or undue exposure to noxious gases in industry.
b. There must be a direct connection between the trauma or exertion in the course of employment and the worker's collapse.
c. If the trauma or exertion then and there caused a brain hemorrhage, the injury may be considered as arising from work.

13  Pneumonia. All of the following conditions must be met:
a. There must be an honest and definite history of wetting and chilling during the course of employment and also, of injury to the chest wall with or without rib fracture, or inhalation of noxious gases, fumes and other deleterious substances in the place of work.
b. There must be direct connection between the offending agent or event and the seafarer s illness.
c. The signs of consolidation should appear soon (within a few hours) and the symptoms of initial chilling and fever should at least be 24 hours after the injury or exposure.
d. The patient must manifest any of the following symptoms within a few days of the accident:
(1) severe chill and fever;
(2) headache and pain, agonizing in character, in the side of the body;
(3) short, dry, painful cough with blood-tinged expectoration; and
(4) physical signs of consolidation, with fine rales.

14  Hernia. All of the following conditions must be met :
a. The hernia should be of recent origin.
b. Its appearance was accompanied by pain, discoloration and evidence of a tearing of the tissues.
c. The disease was immediately preceded by undue or severe strain arising out of and in the course of employment.
d. A protrusion of mass should appear in the area immediately following the alleged strain.

15  Bronchial Asthma. All of the following conditions must be met :
a. There is no evidence of history of asthma beforeemployment.
b. The allergen is present in the working conditions.
c. Sensitivity test to allergens in the working environment should yield positive results.
d. A provocative test should show positive results.

16  Osteoarthritis.
Any occupation involving;
a) joint strain from carrying heavy loads, or unduly heavy physical labor, as among laborers and mechanics;
b) minor or major injuries to the joint;
c) excessive use or constant strenuous usage of a particular joint, as among sportsmen, particularly those who have engaged in the more active sports activities;
d) extreme temperature changes (humidity, heat and cold exposures); and
e) faulty work posture or use of vibratory tools.
17  Peptic Ulcer.
Any occupation involving prolonged emotional or physical stress, as among professional people, transport workers and the like.

18  Pulmonary Tuberculosis.
In addition to working conditions already listed under Philippine Decree No. 626, as amended, any occupation involving constant exposure to harmful substances in the working environment, in the form of gases, fumes, vapors and dust, as in chemical and textile factories; overwork or fatigue; and exposure to rapid variations in temperature, high degree of humidity and bad weather conditions.
19  Viral Hepatitis.
In addition to working conditions already listed under Philippine Decree No. 626, as amended, any occupation involving: exposure to a source of infection through ingestion of water, milk, or other foods contaminated with hepatitis virus; Provided that the physician determining the causal relationship between the employment and the illness should be able to indicate whether the disease of the afflicted worker manifested itself while he was so employed, knowing the incubation period thereof.
20  Essential Hypertension.
Hypertension classified as primary or essential is considered compensable if it causes impairment of function of body organs like kidneys, heart, eyes and brain, resulting in permanent disability; Provided, that, the following documents substantiate it:
(a) chest x-ray report,
(b) ECG report,
(c) blood chemistry report,
(d) funduscopy report, and
(e) C-T scan.
21  Asbestosis. All of the following conditions must be met:
a. The seafarer must have been exposed to Asbestos dust in the work place, as duly certified to by the employer, or by a medical institution, or competent medical practitioner acceptable to or accredited by the System;
b. The chest X-ray report of the employee must show findings of asbestos or asbestos- related disease, e.g. pleural plaques, pleural thickening, effusion, neoplasm and interstitial fibrosis; and
c. In case of ailment is discovered after the seafarer's retirement / separation from the company, the claim must be filed with the System within three (3) years from discovery.