Saturday, March 19, 2016

Seafarer’s death after medical repatriation


 



Will the heirs of a deceased seafarer be denied of death benefits if he  dies  after his medical repatriation? The Supreme Court ruled that benefits should be given to the heirs  in the case of Racelis vs. United Philippine  Lines (GR No. 198408 November 12, 2014)

 
In the course of his last employment contract on board the vessel MS Prinsendam,  Rodolfo Racelis  experienced severe pain in his ears and high blood pressure causing him to collapse while in the performance of his duties. He was  medically  repatriated on February 20, 2008 and was later  diagnosed to be suffering from  Brainstem (pontine) Cavernous Malformation. He underwent surgery twice for the said ailment but developed complications 12 and died on March 2, 2008.
 
Respondents assert that Rodolfo's death on March 2, 2008 had occurred beyond the term of his employment, considering his prior medical repatriation on February 20, 2008 which had the effect of contract termination. , which had supposedly supervened during the term of his employment
 
The Supreme Court ruled that while it is true that a medical repatriation has the effect of terminating the seafarer's contract of employment, it is, however, enough that the work-related illness, which eventually becomes the proximate cause of death, occurred while the contract was effective for recovery to be had.
 
Consistent with the State's avowed policy to afford full protection to labor as enshrined in Article XIII of the 1987 Philippine Constitution,  the POEA-Standard Employment Contract (SEC)  was designed primarily for the protection and benefit of Filipino seafarers in the pursuit of their employment on board ocean-going vessels. As such, it is a standing principle that its provisions are to be construed and applied fairly, reasonably, and liberally in their favor.
 
Guided by this principle, the Court  recognized that a medical repatriation case constitutes an exception to the second requirement under Section 20 (A) (1) of the 2000 POEA-SEC, i.e., that the seafarer's death had occurred during the term of his employment, in view of the terminative consequences of a medical repatriation under Section 18 (B) of the same. In essence, the Court held that under such circumstance, the work-related death need not precisely occur during the term of his employment as it is enough that the seafarer's work-related injury or illness which eventually causes his death had occurred during the term of his employment

The same principle was used by the Supreme Court in the case of LEGAL HEIRS OF THE LATE EDWIN B. DEAUNA vs. FIL-STAR MARITIME CORPORATION ( G.R. No. 191563 June 20, 2012 ) when it ruled that that at the time of the seafarer' s death on April 13, 2006 due to Glioblastoma  , he was still in the employment of the company. While it is true that  the contract considers a seafarer as terminated when he signs off from the vessel due to sickness, a seafarer remains under the company's employ as long as the former is still entitled to medical assistance and sick pay, and provided that the death which eventually occurs is directly attributable to the sickness which caused the seafarer's employment to be terminated.
 
Employing the spirit of liberality, the Court finds that it would be highly inequitable and even repugnant to the State's policy on labor to deny heir's claim for death benefits for the mere technicality triggered by seafarer's prior medical repatriation. Taking all things into account, the Court reckons that it is by this method of construction that undue prejudice to the laborer and his heirs may be obviated and the State policy on labor protection be championed. For if the laborer's death was brought about (whether fully or partially) by the work he had harbored for his master's profit, then it is but proper that his demise be compensated.

Under an POEA approved employment 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.The amount usually is higher if the death is covered by a Collective Bargaining Agreement (CBA)
  
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Liberal interpretation of the POEA Standard Employment Contract

Part and parcel of every employment contract entered into by a seafarer is the Standard Employment  Contract (SEC) duly approved by the Philippine Overseas Employment Administration (POEA). It is crafted for the sole purpose of ensuring that the seafarers are not put at a disadvantage in their desire of seeking greater economic benefit abroad. (Philippine Transmarine Carriers, Inc. Vs. Cristino, G.R. No. 188638. December 9, 2015)
At the outset, it bears stressing that the employment of seafarers  is governed by the contracts they sign at the time of their engagement. As long as the stipulations therein are not contrary to law, morals, public order, or public policy, they have the force of law between the parties.
Nonetheless, employment contracts of seafarers on board foreign ocean-going vessels are not ordinary contracts. They are regulated and an imprimatur by the State is necessary. While the seafarer and his employer are governed by their mutual agreement, the POEA Rules and Regulations require that the POEA-SEC be integrated in every seafarer’s contract. (Inter-Orient Maritime, Inc. vs. Candava,  700 SCRA 174) 
The standard employment contract for seafarers was formulated by the POEA pursuant to its mandate under E.O. No. 247 to "secure the best terms and conditions of employment of Filipino contract workers and ensure compliance therewith" and to "promote and protect the well-being of Filipino workers overseas."  The POEA SEC itself provides that "all rights and obligations of the parties to the 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."
The latest  Amended Contract Governing the Overseas Employment of Filipino Seafarers On-board Ocean-Going Vessels was implemented by virtue of POEA Governing Board Resolution No. 9, Series of 2010 and is divided in two parts: the standard One-Page Contract and the standard Terms and Conditions. 
In every labor dispute, courts are called upon to be vigilant in their time-honored duty to protect labor, especially in cases of disability, ailment or death. When applied to a Filipino seafarer, the perilous nature of their work is considered in determining the proper benefits to be awarded. These benefits, at the very least, should approximate the risks they brave on board the vessel every single day  ( Seagull Maritime Corp. vs. Dee , 520 SCRA 109).
 
 The Supreme Court stressed that “in carrying out and interpreting the Labor Code's provisions and its implementing regulations, the employee's welfare should be the primordial and paramount consideration (Reyes vs. Court of Appeals, 267 SCRA 409), This kind of interpretation gives meaning and substance to the liberal and compassionate spirit of the law as provided in Article 4 of the Labor Code which states that "all doubts in the implementation and interpretation of the provisions of [the Labor Code including its implementing rules and regulations, shall be resolved in favor of labor," and Article 1702 of the Civil Code which provides that "in case of doubt, all labor legislation and all labor contracts shall be construed in favor of the safety and decent living for the laborer ". (Asia World Recruitment, Inc. vs. NLRC,  313 SCRA 1)
The Supreme Court likewise expounded this principle by saying that " we are dealing here not with an ordinary transaction but with a labor contract which deserves special treatment and a liberal interpretation in favor of the worker xxx the Constitution mandates the protection of labor and the sympathetic concern of the State for the working class conformably to the social justice policy xxx Under the policy of social justice, the law bends over backward to accommodate the interests of the working class on the humane justification that those with less privileges in life should have more privileges in law xxx". (PNCC vs. NLRC, 217 SCRA 455),
            The Supreme Court underscored in Wallem Maritime Services, Inc. vs. NLRC,( 318 SCRA 623) the liberal interpretation of the provisions of a labor contract  when it said “It is relevant to state that the POEA standard employment contract is designed primarily for the protection and benefit of Filipino seafarers in the pursuit of their employment on board ocean-going vessels. Its provisions must, therefore, be construed and applied fairly, reasonably and liberally in favor or for the benefit of the seafarers and their dependents. Only then can its beneficent provisions be fully carried into effect”
 
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Findings of Personal doctor versus company-designated physician


In most seafarer cases for disability or death benefits claims, one of the arguments often raised by the companies  or the insurance correspondents    is that they are not liable to pay  benefits by pointing to the medical reports of the company-designated physician that the seafarer’s illness is not work-connected, that he is fit to work or that the compensation is limited to a lower amount based on a low disability grading.  They point out that   the POEA mandated that  the seafarer’s disability can only be assessed by the company-designated physician considering that the latter had the time and the opportunity to constantly monitor the health and physical condition of the seafarer.
 
This issue was discussed by the Supreme Court in the recent 2015  case of Philippine Transmarine Carriers, Inc. and Northern Marine Management Vs. Joselito A. Cristino (G.R. No. 188638. December 9, 2015) wherein the Court said that the medical opinion of the seafarer’s personal specialist doctor deserves greater evidentiary weight as the company offered no other convincing proof to substantiate their arguments. The company doctor and the seafarer’s personal doctor differed on their opinion on the work-relatedness of the seafarer’s illness, melanocytes or malignant  melanoma. The Court said that the seafarer’s own oncologist was actively involved in his treatment and even performed surgical procedure on him as opposed to the more basic medical management provided by the company’s designated physician which were initially limited to the giving of oral medication and wound dressing.
 
             
In various decisions, the  Supreme Court clearly pointed out that the findings and the disability grading of a company-designated physician could be set aside by the Court in its determination of disability compensation (Philippine Transmarine Carriers, Inc. vs. NLRC, 353 SCRA 47).   The Court noted that “their findings cannot be taken as gospel truth” due to the proliferation of obviously biased company doctors whose loyalty rests completely upon the company they serve and these “are palpably self-serving and biased in favor of petitioners and certainly could not be considered independent” (Wallem vs.NLRC 318 SCRA 623,  United Philippine Lines, Inc. and/or Holland America Line, Inc., vs. Francisco D. Beseril, 487 SCRA 249). The Court also considered the glaring apparent inconsistency in the company doctor's medical report between the classification of claimant's disability and the fact stated that said claimant had been unable to work for long period of time, which condition makes his disability permanent and total (Crystal Shipping, Inc. vs. Natividad, 473 SCRA 559.)
 
            In Seagull Maritime Corp. vs. Jaycee Dee et al (520 SCRA 109)  the  highest tribunal explained that “courts are called upon to be vigilant in their time-honored duty to protect labor, especially in cases of disability or ailment. When applied to Filipino seamen, the perilous nature of their work is considered in determining the proper benefits to be awarded. These benefits, at the very least, should approximate the risks they brave on board the vessel every single day.     Accordingly, if serious doubt exists on the company-designated physician's declaration of the nature of a seafarer's injury and its corresponding impediment grade, resort to prognosis of other competent medical professionals should be made. In doing so, a seaman should be given the opportunity to assert his claim after proving the nature of his injury. These evidences will in turn be used to determine the benefits rightfully accruing to him.  Nowhere in that case (German Marine Agencies, Inc. did we hold that the company-designated physician's assessment of the nature and extent of a seaman's disability is final and conclusive on the employer company and the seafarer-claimant. While it is the company-designated physician who must declare that the seaman suffered a permanent disability during employment, it does not deprive the seafarer of his right to seek a second opinion.”
 
In  HFS Philippines vs. Pilar (585 SCRA 315),  the findings of the independent physicians were given more credence than those of the company-designated physicians, the Supreme Court held that “the bottomline is this: the certification of the company-designated physician would defeat respondent's claim while the opinion of the independent physicians would uphold such claim. In such a situation, we adopt the findings favorable to respondent. The law looks tenderly on the laborer. Where the evidence may be reasonably interpreted in two divergent ways, one prejudicial and the other favorable to him, the balance must be tilted in his favor consistent with the principle of social justice.”
 
The POEA contract does not preclude the seafarer from getting a second opinion as to his condition for purposes of claiming disability benefits. The Supreme Court reiterated   in the case of  Maersk Filipinas Crewing Inc. vs. Mesina (697 SCRA 601)  that "[w]hile it is the company-designated physician who must declare that the seaman suffers a permanent disability during employment, it does not deprive the seafarer of his right to seek a second opinion," hence, the Contract "recognizes the prerogative of the seafarer to request a second opinion and, for this purpose, to consult a physician of his choice” (NYK-Fil Ship Management vs. Talavera, 571 SCRA 183; Abante vs. KJGS Fleet Management Manila, et al, 607 SCRA 734). The Court stressed that the company physician's assessment does not evince irrefutable and conclusive weight in assessing the compensability of an illness as the seafarer has the right to seek a second opinion from his preferred physician. (Maunlad Transport, Inc. vs. Manigo Jr., G.R. No. 161416, June 13, 2008, citing Crystal Shipping, Inc. vs. Natividad, Philippine Transmarine Carriers, Inc. vs.NLRC, 525 SCRA 42, Cadornigara vs. NLRC, 538 SCRA 363.)
 
            In the case of Magsaysay vs. Laurel (694 SCRA 225) the disability provisions of the POEA-SEC recognize the right of a seafarer to seek a second medical opinion and the prerogative to consult a physician of his choice. Therefore, the provision should not be construed that it is only the company-designated physician who could assess the condition and declare the disability of seafarers. The provision does not serve as a limitation but rather a guarantee of protection to overseas workers.
            This principle is in line with the Supreme Court rulings that strict rules of evidence are not applicable in claims for compensation considering the probability and not the ultimate degree of certainty is the ultimate test of proof in compensation proceedings (Barcenas vs. WCC 158 SCRA 314; NFD International Manning Agents, Inc. vs. NLRC, 269 SCRA 486; Heirs of the late R/O Reynaldo Aniban vs. NLRC, 282 SCRA 377).  


 Atty. Dennis R. Gorecho (UPLaw 1998)  is a junior partner of Sapalo Velez Bundang Bulilan (SVBB) law offices  who heads the seafarers’ division. He is a  speaker on  nationwide paralegal seminars on  seafarers rights.  He is presently the executive vice president of the Maritime Law Association of the Philippines (MARLAW),  and an active  member of the Maritime Forum Inc. , the National Seafarers Day (NSD) committee and International Pro Bono Network. The SVBB law works hand in hand with various seafarers welfare  organizations such as the Apostleship of the Seas (AOS) Philippines  and the Luneta Seafarers' Welfare Foundation (LUSWELF) and United Filipino Seafarers (UFS). . He is a legal commentator on maritime issues on print, radio and TV. A co-anchor of the radio program Bantay OCW Usapang Marino aired over Radio Inquirer every Wednesday 10:30am to 12noon. For comments, please send  email  at info@sapalovelez.com or call  09175025808