Flow of Seafarers' Labor cases

A job of a seafarer is not exactly a walk in the park. Seafarers working for companies  for long period of time is normally saddled with heavy responsibilities relative to navigation of the vessel, ship safety and management of emergencies. 

A seafarer can be subjected to physical and mental stress and strain; these responsibilities cause heavy burdens on one’s shoulders all these years, and certainly contributed to the development of one's  condition on board the vessel. 

While on board the vessel, a seafarer may be confronted with situations that will involve untimely repatriation, either he was dismissed or that he suffered from an injury or illness, or worse, if he dies.  In the event that  his concerns  fell in deaf ears, a seafarer might  resort to legal action  before  the National Labor Relations Commission (NLRC) or National Conciliation and Mediation Board (NCMB) to assert his monetary claims    for (a) termination disputes (or illegal dismissal cases) (b)  Money claims arising out of employer-employee relationship or by virtue of any law or contract, involving Filipino workers for overseas employment, including nonpayment or underpayment of wages,  claims for disability or death benefits,  actual, moral, exemplary and other forms of damages and other cases as may be provided by law.

There are  two Arbitration routes   – the NLRC for mandatory Arbitration and the NCMB for voluntary Arbitration. The process is based solely on documents – there is no facility for oral witness testimony or for arguments to be presented verbally to the Labor Arbiter in the NLRC or Voluntary Abitrators in the NCMB.

The filing of a Single Entry Approach (SEnA) initiates the Proceedings in both the NLRC and NCMB which entails the attendance of the parties, without lawyers, at mandatory conferences aimed at settling the claims without the need for matters to progress further.This is followed by at least two further mandatory conferences, which the parties’ lawyers also attend, and which are again aimed at reaching settlement.

If settlement is not reached, the claims then proceed to filing of the first pleading – the Position Paper  setting out their respective arguments. The Complainant (seafarer) will explain why he believes he is entitled to what he is claiming, and the Respondent (Shipowner/employer) will raise contrary opinions. .

After Position Papers, parties will file a Reply in which they  rebut the arguments in the other party’s Position Paper. The final pleading – the Rejoinder– is then filed, in which the parties respond to the arguments in the other’s Reply.

Once these pleadings are all filed, the claim is deemed “submitted for resolution” by the Labor Arbiter (NLRC) or Panel of Voluntary Arbitrators (NCMB). The time in which a decision is delivered is variable. It is generally expected within 3 - 6 months but can commonly take longer.

When the decision is delivered, the next step differs between the NLRC and NCMB.

In the NLRC, the unsuccessful party can file an Appeal to the Commission (NLRC). They have 10 days to do so. The Appeal, if pursued by the shipowner, must be secured by a bond.

When the decision on the Appeal is delivered, the unsuccessful party can file a Motion for Reconsideration within  10 days from receipt of the decision.

In the NCMB, there is no appeal stage. Instead, the unsuccessful party who wishes to contest the decision must file a Motion for Reconsideration.

When the decision on the Motion for Reconsideration is delivered, the unsuccessful party can elevate the claim to the Court of Appeals. This is done via a Petition for Certiorari from the NLRC or a Petition for Review from the NCMB.

The denial of a Motion for Reconsideration also means that any award of damages to a seafarer becomes “final and executory” within 10 days from receipt of the decision unless the Court of Appeals issues a Temporary Restraining Order (TRO).

Final and executory means that the seafarer can file a Motion seeking the issuance of a Writ of Execution, which, if granted, will entitle him to payment of the award of damages. 

When the decision on the Petition is issued, the unsuccessful party has a final chance of redress by applying to the Supreme Court. The decision rendered here is final, and no further appeal is possible.

If the decision in relation to the Petition for Certiorari/Review, or from the Supreme Court favours the shipowner, they are entitled to restitution of the award previously paid out, once the case reaches finality and the corresponding Entry of Judgment has been issued.

Res

Case flow at the National Labor Relations Commission (NLRC)

The proceedings before the Labor Arbiters and the NLRC are governed by the Labor Code, as amended, the 2011 NLRC Rules of Procedure, and suppletorily, the Rules of Court. The NLRC Rules describe the proceedings before the Labor Arbiter as non-litigious. Subject to the requirements of due process, the technicalities of law and procedure in the regular courts do not apply in the labor arbitration proceedings.  Labor Arbiters have jurisdiction over seafarer  cases as enumerated under Article 217 of the Labor Code, among others , :(a) Termination disputes (or illegal dismissal cases) (b) Money claims arising out of employer-employee relationship or by virtue of any law or contract, involving Filipino workers for overseas employment, including claims for actual, moral, exemplary and other forms of damages as provided by Section 10 of R.A. No. 8042, as amended by R.A. No. 10022; and other cases as may be provided by law.


After the termination of the Single Entry Approach (SEnA), the following is the case  flow at the labor arbiter and appellate (commission proper) level at the NLRC:

FAQs - NLRC Proceedings

Here is the Frequently Asked Questions for cases filed before the National Labor Relations Commission (NLRC) 

 Conference

The Labor Arbiter shall summon the parties to a conference within two days from receipt of an assigned case.The purpose of the conference is either to:

·                                 amicably settle the dispute;

·                                 determine the real parties in interest;

·                                 define and simplify the issues of the case;

·                                 enter into admissions and/or stipulations of facts; and

thresh out preliminary matters. (Sec. 2, Rule 5, NLRC Rules as Amended)

 Number of conferences allowed

The number of conferences shall not exceed three (3) settings and shall be terminated within thirty (30) calendar days from the date of the first conference.

No motion for postponement shall be entertained. Non-appearance of the complainant/s during the scheduled hearings for mediation/conciliation conference shall be a ground for the dismissal of the case without prejudice.

In case of non-appearance of the respondent/s during the first conference, a second conference shall proceed. Non-appearance of the respondent/s during the second conference shall immediately terminate the mandatory conciliation/mediation conference. The complainant/s shall thereupon be allowed to file his position paper as well as submit evidence in support of his cause or causes of action after which, the labor arbiter shall render his decision on the basis of the evidence on record. (Sec. 2, Rule 5, NLRC Rules as Amended)

When to submit position papers/ memorandum

If, during the conferences, the parties fail to agree upon an amicable settlement, either in whole or in part, the Labor Arbiter shall issue an order directing the parties to simultaneously file their respective verified position papers, with the supporting documents and affidavits within fifteen (15) calendar days from the date of the last conference, with proof of having furnished each other with the copies thereof.

The verified position papers shall cover only those claims and causes of action raised in the complaint excluding those that may have been amicably settled.

When is a hearing necessary or not?

If there is a need for a hearing, the Labor Arbiter shall issue an order setting the date or dates for said hearing which shall be terminated within ninety (90) days from initial hearing. However, if he finds no necessity for further hearing after the parties have submitted their position papers and supporting documents, he shall issue an Order to that effect and inform the parties. The Arbiter shall render his decision in the case within ninety (90) days.

The Labor Arbiter determines the necessity of a hearing

As soon as the parties have submitted their position papers/memorandum, the Labor Arbiter shall, motu propio, determine whether there is a need for a formal trial or hearing. The Labor Arbiter may, at his discretion, ask clarificatory questions to further elicit facts or information, including but not limited to the subpoena of relevant documentary evidence from any party or witness.

 When will the Labor Arbiter render decision?

The Arbiter shall render his decision within thirty (30) calendar days, without extension, after the submission of the case by the parties for resolution, even in the absence of stenographic notes, provided however that cases involving Overseas Filipino Workers shall be decided within ninety (90) calendar days after the filing of the complaint which shall be deemed perfected upon acquisition by the labor arbiter of jurisdiction over the respondent/s. (Sec. 5, Rule 5, NLRC Rules as Amended)

May the Labor Arbiter conciliate disputes?

Yes. At any stage of the proceedings in all cases, the Arbiter shall exert all efforts and take positive steps toward resolving the dispute through conciliation.

 What is an appeal in compulsory arbitration?

When an aggrieved party is not satisfied with the decision, order or award of the Labor Arbiter, POEA Administrator or DOLE Regional Director or his duly authorized hearing officer, the decision, award or order may be elevated to the Commission Proper upon grounds provided by law.

 What is the period of appeal?

Within ten (10) calendar days from receipt of such decisions, awards or orders of the Labor Arbiter or of the POEA Administrator. In case of a decision of the Regional Director or his duly authorized hearing officer, the appeal may be filed within five (5) calendar days from receipt of such decisions, awards or orders.

What are the other requisites for the perfection of an appeal?

·                                 The appeal should be under oath.

·                                 Proof of payment of appeal fee.

·                                 Proof of posting of a cash or surety bond.

·                                 Must be accompanied by a memorandum of appeal which shall state the grounds relied upon and the supporting arguments.

·                                 A statement of the date when the appellant received the appealed decision or award.

Proof of service on the other party of such appeal.

 When is a bond required in an appeal?

In case the decision of the Labor Arbiter, POEA Administrator and DOLE Regional Director or his duly authorized hearing officer involves monetary award.

How many copies of the appeal must be submitted and where does one file an appeal?

The appeal, in five (5) legibly typewritten copies, may be filed with the respective Regional Arbitration Branch, the DOLE Regional Office or the POEA, where the case was heard and decided.

Can an appeal for decisions involving monetary award be perfected without posting a bond?

An appeal by the employer shall be perfected only upon posting of a cash or surety bond issued by a reputable bonding company duly accredited by the Commission or the Supreme Court in an amount equivalent to the monetary award.

What is the period to resolve the appeal?

The appeal from the decision, order or reward of the Labor Arbiter and POEA Administrator shall be resolved by the Commission within 20 calendar days from receipt of the answer of the appellee or upon the filing of the last pleading or memorandum.

In case of an appeal from the decision of the DOLE Regional Director or his duly authorized hearing officer, it shall be resolved within 10 calendar days.

Source: Department of Labor And Employment