STANDARD TERMS AND CONDITIONS GOVERNING THE OVERSEAS

EMPLOYMENT OF FILIPINO SEAFARERS ON-BOARD OCEAN-GOING SHIPS

Definition of Terms:

For purposes of this contract, the following terms are defined as follows:

1. Allottee - refers to any person named or designated by the seafarer as the

recipient of his remittance to the Philippines.
2. Basic Wage - refers to the salary of the seafarer exclusive of overtime, leave pay and
other allowances and benefits.

3. Beneficiary(ies) – refers to the person(s) to whom the death compensation and

other benefits due under the employment contract are payable in accordance with rules
of succession under the Civil Code of the Philippines, as amended.

4. Compassionate Ground - refers to incidence of death of an immediate member of

the seafarer’s family which includes his parents, spouse and children if the seafarer is
married or his parents if the seafarer is single

5. Convenient Port - any port where it is practicable, economical, safe and convenient to
repatriate the seafarer.

6. Dental Treatment - covers tooth extraction, or dental surgery if necessary, due to

accident

7. Departure - refers to the actual departure from the point of hire of the seafarer through
air, sea or land travel transport to join his ship at a Philippine or foreign port

8. Manning Agency – refers to any person, partnership or corporation duly licensed

by the Secretary of Labor and Employment to engage in the recruitment and
placement of seafarers for ships plying international waters and for related maritime
activities.
9. Philippine Port - refers to any Philippine airport or seaport.

10. Point of Hire - refers to the place indicated in the contract of employment which
shall be the basis for determining commencement and termination of contract.

11. Pre-existing illness – an illness shall be considered as pre-existing if prior to the

processing of the POEA contract, any of the following conditions are present:
:

a. The advice of a medical doctor on treatment was given for such continuing illness
or condition; or

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 b. The seafarer had been diagnosed and has knowledge of such an illness or
condition but failed to disclose the same during pre-employment medical
examination (PEME), and such cannot be diagnosed during the PEME

12. Principal/Employer/Company - any person, partnership or corporation hiring Filipino

seafarers to work onboard ocean-going ships.

13 .Regular Working Hours - refers to the seafarer’s eight (8) hour working hours within a
period of 24 hours.

14. Seafarer - refers to any person who is employed or engaged in overseas employment
in any capacity on board a ship other than a government ship used for military or
non-commercial purposes.

15. Shipwreck – refers to the damage or destruction of a ship at sea caused by collision,
storm, grounding or any other marine peril at sea or in port rendering the ship absolutely
unable to pursue her voyage.

16. Work-Related Illness - any sickness as a result of an occupational disease listed

under Section 32-A of this Contract with the conditions set therein satisfied

17. Work-Related Injury - injury arising out of and in the course of employment.

SECTION 1. DUTIES

A. Duties of the Principal/Employer/Master/Company:

1. To faithfully comply with the stipulated terms and conditions of this contract,
particularly the prompt payment of wages, remittance of allotment and the
expeditious settlement of valid claims of the seafarer.

2. To extend coverage to the seafarers under the Philippine Social Security System
(SSS), Philippine Health Insurance Corporation (PhilHealth), Employees’
Compensation Commission (ECC) and Home Development Mutual Fund (PagIBIG
Fund), unless otherwise provided in multilateral or bilateral agreements entered into
by the Philippine government with other countries.

3. To make operational on board the ship the grievance machinery provided in this
contract and ensure its free access at all times by the seafarer.

4. To provide a seaworthy ship 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 ship and such other precautions
necessary to avoid accident, injury or sickness to the seafarer.

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 5. To observe the Code of Ethics for Seafarers and conduct himself in the traditional
decorum of a master.

6. To provide a workplace conducive for the promotion and protection of the health of
the seafarers in accordance with the standards and guidelines in Title 4 of the ILO
Maritime Labor Convention, 2006.

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.

2. To abide by the Code of Discipline as provided in the POEA rules and regulations
governing overseas contract workers and the Code of Ethics for Seafarers.

3. To be obedient to the lawful commands of the Master or any person who shall lawfully
succeed him and to comply with the company policy including safety policy and
procedures and any instructions given in connection therewith.

4. To be diligent in his duties relating to the ship, its stores and cargo, whether on board,
in boats or ashore.

5. To conduct himself at all times in an orderly and respectful manner towards

shipmates, passengers, shippers, stevedores, port authorities and other persons on
official business with the ship.

6. To take personal responsibility for his health while onboard by practicing a healthy
lifestyle which includes taking medications and lifestyle changes as prescribed by the
company-designated doctor.

SECTION 2. COMMENCEMENT/DURATION OF CONTRACT

A. The employment contract between the employer and the seafarer shall commence upon
actual departure of the seafarer from the Philippine airport or seaport in the point of hire
and with a POEA approved contract. It shall be effective until the seafarer’s date of
arrival at the point of hire upon termination of his employment pursuant to Section 18 of
this Contract.

B. The period of employment shall be for a period mutually agreed upon by the seafarer
and the employer but not to exceed 12 months. Any extension of the contract shall be
subject to mutual consent of both parties.

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SECTION 3. FREE PASSAGE FROM THE POINT OF HIRE TO THE PORT OF
EMBARKATION
The seafarer shall join the ship and be available for duty at the date and time specified by
the employer. The seafarer shall travel by air or as otherwise directed at the expense of the
employer.
SECTION 4. BAGGAGE ALLOWANCE
The seafarer traveling by air to join a ship or on repatriation shall be entitled to the normal
free baggage allowance offered by the airlines. The cost of the excess baggage shall be
for the account of the seafarer.

SECTION 5. HYGIENE AND VACCINATION

A. The seafarer shall keep his quarters and other living spaces such as: mess rooms,
toilets, bathrooms, alleyways and recreation rooms in clean and tidy condition to the
satisfaction of the master. Such work is to be performed outside the seafarer’s regular
working hours and for which no overtime pay shall be claimed.

B. The seafarer shall submit to the order of the master or to the laws of any country within
the territorial jurisdiction of which the ship may enter to have such vaccination or
inoculation or to undertake measures to safeguard his health and the entire crew
complement.

C. The company/employer shall ensure that the seafarer shall be informed on the cause,
prevention and consequences of HIV/AIDS.

SECTION 6. WAGES

A. All seafarers shall be paid for their work regularly and in full in accordance with this
contract. They shall be paid monthly wages not later than 15 days of the succeeding
month from the date of commencement of the contract until the date of arrival at point
of hire upon termination of their employment pursuant to Section 18 of this contract.

B. Seafarers shall be given a monthly account of the payments due and the amounts paid
to them, including wages, additional payments and the rate of exchange used.

SECTION 7. PAYMENT ON BOARD

Payment of shipboard pay in foreign ports shall be subject to the currency control
regulations at the port abroad and to the official rate of exchange prevailing at the time of
payment. Advances shall be at the master’s/employer’s discretion and in accordance
with the foregoing conditions.

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SECTION 8. ALLOTMENTS AND REMITTANCES

A. The seafarer is required to make an allotment which shall be payable once a month to
his designated allottee in the Philippines through any authorized Philippine bank. The
principal/employer/master/company shall provide the seafarer with facilities to do so at
no expense to the seafarer. The allotment shall be at least eighty percent (80%) of the
seafarer’s monthly basic salary.

B. The principal/employer/master/company may also provide facilities for the seafarer to

remit any amount earned in excess of his allotment, including backwages, if any, to
his designated allottee in the Philippines through any authorized Philippine bank without
any charge to him.

C. The allotments shall be paid to the designated allottee in Philippine currency at the rate
of exchange indicated in the credit advice of the local authorized Philippine bank.

SECTION 9. FINAL WAGE ACCOUNT & CERTIFICATE OF EMPLOYMENT

The seafarer, upon his discharge, shall be given a written account of his final wages
reflecting all deductions therefrom. Where a seafarer is landed in an emergency, the written
account of his wages shall be given to him not later than one month from disembarkation.
Upon the seafarer’s request, he shall also be provided by his
principal/employer/master/company his certificate of employment or service record without
any charge.

SECTION 10. HOURS OF WORK

A. The seafarer shall perform not more than forty-eight (48) hours of regular work a week.
The hours of works shall be determined and prescribed by the master, provided that it
conforms with the customary international practices and standards and as prescribed in
paragraph B below.

B. Regular working hours for the seafarer shall be eight (8) hours in every 24 hours,
midnight to midnight, Monday to Sunday. The normal practice is as follows:

1. The day worker shall observe the eight (8) regular working hours during the period
from 0600 hours to 1800 hours.

2. The steward personnel shall observe the eight (8) regular working hours during the
period from 0500 hours to 2000 hours.

3. The Radio Operator shall observe the eight (8) regular working hours in every twenty-
four (24) hours, midnight to midnight, from Monday to Sunday as established by
International Telecommunication Conventions and as prescribed by the master.

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 4. For those who are on sea watch, their working hours shall be eight (8) hours per day.
Staggering of working hours will be at the master’s discretion.

C. The record of the seafarer’s daily hours of work or of his daily hours of rest shall be
maintained to allow monitoring of compliance to the above provisions. The seafarer
shall be provided a copy of the records pertaining to him which shall be endorsed by the
master or a person authorized by the master, and by the seafarer.

The seafarer shall be allowed reasonable rest period in accordance with international
standards.

SECTION 11. OVERTIME & HOLIDAYS

A. The seafarer shall be compensated for all work performed in excess of the regular eight
(8) hours as prescribed above. Overtime pay may be classified as open, fixed or
guaranteed.

In computing overtime, a fraction of the first hour worked shall be considered as one full
hour. After the first hour overtime, any work performed which is less than thirty (30)
minutes shall be considered as half an hour and more than thirty (30) minutes shall be
considered one full hour.

B. Overtime work may be compensated at the following rates:

1. Open overtime - not less than 125 percent (125%) of the basic hourly rate computed
based on two hundred eight (208) regular working hours per month.

2. Guaranteed or fixed overtime - not less than thirty percent (30%) of the basic monthly
salary of the seafarer. This fixed rate overtime shall include overtime work performed
on Sundays and holidays but shall not exceed one hundred five (105) hours a month.

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. For ratings paid on guaranteed
overtime, overtime work in excess of 105 hours a month for ratings shall be further
compensated by their hourly overtime rate.

C. Any hours of work or duty including hours of watchkeeping performed by the seafarer
on designated rest days and holidays shall be paid rest day or holiday pay. The
following shall be considered as holidays at sea and in port.

New Year’s Day - January 1

Maundy Thursday -
movable date Good Friday
- movable date
Araw ng Kagitingan (Bataan& Corregidor Day) - April 9

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 Labor Day - May 1
Independence Day - June 12
National Heroes Day - Last Sunday of
August
All Saints Day -
November 1 Bonifacio Day
- November 30 Christmas Day
- December 25
Rizal Day - December 30

D. Emergency Duty

Nothing in this Contract shall be deemed to impair the right of the master of a ship to
require a seafarer to perform any hours of work necessary for the immediate safety of
the ship, persons on board or cargo, for the purpose of giving assistance to other ships
or persons in distress at sea, or to conduct fire, boat, or emergency drill. Accordingly,
the master may suspend the schedule of hours of work or hours of rest and require a
seafarer to perform any hours of work necessary until the normal situation has been
restored or the drill has been completed. As soon as practicable after the normal
situation has been restored or the drill has been completed, the master shall ensure
that any seafarer who have performed work in a scheduled rest period are provided
with an adequate period of rest.

No overtime work and pay shall be considered for such an emergency service or for
fire, boat, or emergency drill.

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 four and a half days (4 ½) 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 ship.

SECTION 14. SUBSISTENCE, SHIP STORES AND PROVISIONS

A. The seafarer shall be provided by the principal/employer/master/company with

subsistence consistent with good maritime standards and practices while on board the
ship.

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B. All stores and provisions issued to the seafarer are only for use and consumption on
board the ship and any unused or unconsumed stores or provisions shall remain the
property of the employer. The seafarer shall not take ashore, sell, destroy or give away
such stores and provisions.

SECTION 15. TRANSFER CLAUSE

The seafarer agrees to be transferred at any port to any ship owned or operated, manned
or managed by the same employer, provided it is accredited to the same manning agent
and provided further that the position of the seafarer and the rate of his wages and terms of
service are in no way inferior and the total period of employment shall not exceed that
originally agreed upon.

Any form of transfer shall be documented and made available when necessary.

SECTION 16. GRIEVANCE MACHINERY

A. If the seafarer considers himself aggrieved, he shall make his complaint in accordance
with the following procedures:

1. The seafarer shall first approach the head of the Department in which he is assigned
to explain his grievance.

a. In the Deck, Radio and Catering Department, the head is the Chief Mate.

b. In the Engine Department, the head is the Chief Engineer.

c. In the Catering and/or Hotel Department in a passenger ship, the head is the
Chief Steward and/or Purser.

2. The seafarer shall make his grievance in writing and in an orderly manner and shall
choose a time when his complaint or grievance can be properly heard.

3. The seafarer may also seek the assistance of the highest-ranking Filipino seafarer
on board.

4. The Department head shall deal with the complaint or grievance and where solution
is not possible at his level, refer the complaint or grievance to the Master who shall
handle the case personally.

5. If no satisfactory result is achieved, the seafarer concerned may appeal to the

management of the company or with a Philippine Overseas Labor Office or consular
officer overseas. The master shall afford such facilities necessary to enable the
seafarer to transmit his appeal.

B. When availed of by the seafarer, the grievance procedure and all actions or decisions
agreed upon shall be properly documented for the protection and interest of both parties.

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C. The aggrieved seafarer whose employment is covered by an existing CBA shall elevate
any unsatisfactory resolution of his grievance to voluntary arbitration as agreed upon
under the CBA. The aggrieved party whose employment is not covered by an existing
CBA may elevate his complaint to the Maritime Industry Labor Arbitration Council
(MILA) prior to any other forum.

D. The foregoing procedures 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

The Master shall comply with the following disciplinary procedures against an erring
seafarer:

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.

2. Date, time and place for a formal investigation of the charges against the seafarer
concerned.

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.

C. If after the investigation or hearing, the Master is convinced that imposition or a penalty
is justified, the Master shall issue a written notice of penalty and the reasons for it to the
seafarer, with copies furnished to the Philippine agent.

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 ship. 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

A. The employment of the seafarer shall cease when the seafarer completes his period of
contractual service aboard the ship, signs-off from the ship and arrives at the point of
hire.

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B. The employment of the seafarer is also terminated effective upon arrival at the point of
hire for any of the following reasons:

1. When the seafarer signs-off and is disembarked for medical reasons pursuant to
Section 20 (A)[5] of this Contract.

2. When the seafarer signs-off due to shipwreck, ship’s sale, lay-up of ship,
discontinuance of voyage or change of ship principal in accordance with Sections
22, 23 and 26 of this Contract.

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 19. REPATRIATION

A. If the ship is outside the Philippines upon the expiration of the contract, the seafarer
shall continue his service on board until the ship’s arrival at a convenient port and/or
after arrival of the replacement crew provided that, in any case, the continuance of such
service shall not exceed three months. The seafarer shall be entitled to earned wages
and benefits as provided in his contract.

B. If the ship arrives at a convenient port before the expiration of the contract, the
principal/employer/master/company may repatriate the seafarer from such port,
provided the unserved portion of his contract is not more than one (1) month. The
seafarer shall be entitled only to his earned wages and earned leave pay and to his
basic wages corresponding to the unserved portion of the contract, unless within 60
days from disembarkation, the seafarer is rehired at the same rate and position, in which
case the seafarer shall be entitled only to his earned wages and earned leave pay.

C. If the ship arrives at a convenient port within a period of three (3) months before the
expiration of his contract, the principal/employer/master/company may repatriate the
seafarer from such port provided that the seafarer shall be paid all his earned wages.
In addition, the seafarer shall also be paid his leave pay for the entire contract period
plus a termination pay equivalent to one (1) month of his basic pay, provided, however,
that this mode of termination may only be exercised by the
principal/employer/master/company if the original contract period of the seafarer is at
least nine (9) months; provided, further, that the conditions for this mode of repatriation
shall not apply to dismissal for cause.

D. The seafarer, if discharged at a port abroad for any reason shall be repatriated to the
Philippines via sea or air or as may otherwise be directed by the
principal/employer/company. He shall be provided with accommodation and food,
allowances and medical treatment, if necessary, until he arrives at the point of hire.

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E. When the seafarer is discharged for any just cause, the employer shall have the right to
recover the costs of his replacement and repatriation from the seafarer’s wages and
other earnings.

F. The seafarer, when discharged and repatriated as directed by the

principal/employer/master/company shall be entitled to basic wages from date of signing
off until arrival at the point of hire except when the discharge is in accordance with the
above or for disciplinary reasons.

If the seafarer delays or makes a detour or proceeds to a destination other than through
the travel itinerary arranged by the employer to the point of hire, the employment of the
seafarer will be considered terminated at the time the seafarer signs off the ship and all
additional expenses shall be to the seafarer’s account. The seafarer shall be entitled to
earned wages and basic wage calculated based on the original scheduled date of arrival
at the point of hire. All other liabilities of the company in this event shall cease at the
time the seafarer is terminated. Any illness, injury or death sustained by the seafarer,
due to the above shall be considered non-work related and shall not be compensated.

G. A seafarer who requests for early termination of his contract shall be liable for his
repatriation cost as well as the transportation cost of his replacement. The employer
may, in case of compassionate grounds, assume the transportation cost of the
seafarer’s replacement.

H. The seafarer shall report to the manning agency within 72 hours upon arrival at point of
hire.

SECTION 20. COMPENSATION AND BENEFITS

A. 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:

1. The employer shall continue to pay the seafarer his wages during the time he is on
board the ship;

2. If the injury or illness requires medical and/or dental treatment in a foreign port, the
employer shall be liable for the full cost of such medical, serious dental, surgical and
hospital treatment as well as board and lodging until the seafarer is declared fit to
work or to be repatriated. However, if after repatriation, the seafarer still requires
medical attention arising from said injury or illness, he shall be so provided at cost to
the employer until such time he is declared fit or the degree of his disability has been
established by the company-designated physician.

3. In addition to the above obligation of the employer to provide medical attention, the
seafarer shall also receive sickness allowance from his employer in an amount

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 equivalent to his basic wage computed from the time he signed off until he is declared
fit to work or the degree of disability has been assessed by the company-designated
physician. The period within which the seafarer shall be entitled to his sickness
allowance shall not exceed 120 days. Payment of the sickness allowance shall be
made on a regular basis, but not less than once a month.

The seafarer shall be entitled to reimbursement of the cost of medicines prescribed

by the company-designated physician. In case treatment of the seafarer is on an
out-patient basis as determined by the company-designated physician, the
company shall approve the appropriate mode of transportation and
accommodation. The reasonable cost of actual traveling expenses and/or
accommodation shall be paid subject to liquidation and submission of official
receipts and/or proof of expenses.

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. In
the course of the treatment, the seafarer shall also report regularly to the company-
designated physician specifically on the dates as prescribed by the company-
designated physician and agreed to by the seafarer. 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 as
work-related.

5. In case a seafarer is disembarked from the ship for medical reasons, the employer
shall bear the full cost of repatriation in the event the seafarer is declared (1) fit for
repatriation; or (2) fit to work but the employer is unable to find employment for the
seafarer on board his former ship or another ship of the employer.

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 his 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.

The disability shall be based solely on the disability gradings provided under Section
32 of this Contract, and shall not be measured or determined by the number of days
a seafarer is under treatment or the number of days in which sickness allowance is
paid.

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 7. 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 such as from the Social Security System, Overseas Workers
Welfare Administration, Employees’ Compensation Commission, Philippine Health
Insurance Corporation and Home Development Mutual Fund (Pag-IBIG Fund).

B. 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 twentyone (21) but
not exceeding four (4) children, at the exchange rate prevailing during the time of
payment.

2. Where death is caused by warlike activity while sailing within a declared war zone or
war risk area, the compensation payable shall be doubled. The employer shall
undertake appropriate war zone insurance coverage for this purpose.

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, Employee’s Compensation Commission, Philippine Health Insurance
Corporation and Home Development Mutual Fund (Pag-IBIG Fund).

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

a. The employer shall pay the deceased’s beneficiary all outstanding obligations
due the seafarer under this Contract.

b. The employer shall transport the remains and personal effects of the seafarer to
the Philippines at employer’s expense except if the death occurred in a port
where local government laws or regulations do not permit the transport of such
remains. In case death occurs at sea, the disposition of the remains shall be
handled or dealt with in accordance with the master’s best judgment. In all cases,
the employer/master shall communicate with the manning agency to advise for
disposition of seafarer’s remains.

c. The employer shall pay the beneficiaries of the seafarer the Philippine currency
equivalent to the amount of One Thousand US dollars (US$1,000) for burial
expenses at the exchange rate prevailing during the time of payment.

C. It is understood that computation of the total permanent or partial disability of the

seafarer caused by the injury sustained resulting from warlike activities within the
warzone area shall be based on the compensation rate payable within the warzone area
as prescribed in this Contract.
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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 a pre-existing illness or condition in the

PreEmployment Medical Examination (PEME) shall be liable for misrepresentation and
shall be disqualified from any compensation and benefits. This is likewise a just cause
for termination of employment and imposition of appropriate administrative sanctions.

F. When requested, the seafarer shall be furnished a copy of all pertinent medical reports
or any records at no cost to the seafarer.

G. The amounts paid to the seafarer due to accidental or natural death, or permanent total
disablement by virtue of the provisions of RA 8042 as amended by RA 10022 and its
implementing rules and regulations shall form part of and shall be deducted from the
total amount that the seafarer is determined to be finally entitled to under this Contract.

H. Subsistence allowance benefit as provided in RA 8042, as amended by RA 10022. The

principal/employer/company shall grant to the seafarer who is involved in a case or
litigation for the protection of his rights in a foreign country, a subsistence allowance of
at least One Hundred United States Dollars (US$100) per month for a maximum of six
(6) months.

I. Compassionate Visit as provided in RA 8042, as amended by RA 10022. When a

seafarer is hospitalized and has been confined for at least seven (7) consecutive days,
he shall be entitled to a compassionate visit by one (1) family member or a requested
individual. The employer shall pay for the transportation cost of the family member or
requested individual to the major airport closest to the place of hospitalization of the
seafarer. It is, however, the responsibility of the family member or requested individual
to meet all visa and travel document requirements;

J. The seafarer or his successor in interest acknowledges that payment for injury, illness,
incapacity, disability or death and other benefits of the seafarer under this contract and
under RA 8042, as amended by RA 10022, shall cover all claims 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 21. WAR AND WARLIKE OPERATIONS ALLOWANCE

A. The POEA shall be the sole authority to determine whether the ship is within a war risk
trading area. It shall also determine the amount of premium pay to which the seafarer
shall be entitled to when sailing in that war-risk trading area.

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B. The seafarer when sailing within a war-risk trading area shall be entitled to such
premium pay as the POEA may determine through appropriate periodic issuances.

C. If at the time of the signing of the contract, an area is declared a war or war-risk trading
area and the seafarer binds himself in writing to sail into that area, the agreement shall
be properly appended to the Contract for verification and approval by the Philippine
Overseas Employment Administration (POEA). The seafarer shall comply with the
agreement or shall bear his cost of repatriation when he opts not to sail into a war or
war-risk trading area.

D. If a war or warlike operations should arise during the term of this Contract in any country
within the ship’s trading area, the seafarer may sail with the ship within and out of the
trading area if required by the Master.

SECTION 22. TERMINATION DUE TO SHIPWRECK AND SHIP’S FOUNDERING

Where the ship 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.

In case of termination of employment of the seafarer before the expiration of the term of his
contract due to shipwreck, actual or constructive total loss or foundering of the ship, 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.

SECTION 23. TERMINATION DUE TO SALE OF SHIP, LAY-

UP OR DISCONTINUANCE OF VOYAGE

Where the ship 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 ship 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 ship.

SECTION 24. TERMINATION DUE TO UNSEAWORTHINESS

A. If the ship is declared unseaworthy by a classification society, port state or flag state,
the seafarer shall not be forced to sail with the ship.

15
B. If the ship’s unseaworthiness necessitates the termination of employment before the
date indicated in the Contract, the seafarer shall be entitled to earned wages,
repatriation at cost to the employer and termination pay equivalent to one (1) month
basic wage.

SECTION 25. TERMINATION DUE TO REGULATION ¼, CONTROL PROCEDURES OF

THE 1978 STCW CONVENTION, AS AMENDED

If the seafarer is terminated and/or repatriated as a result of port state control

procedures/actions in compliance with Regulation ¼ of the 1978 STCW Convention, as
amended, his termination shall be considered valid. However, he shall be entitled to
repatriation and earned wages and benefits only.

SECTION 26. CHANGE OF PRINCIPAL

A. Where there is a change of Principal of the ship necessitating the pre-termination of

employment of the seafarer; the seafarer should be entitled to earned wages and
repatriation at employer’s expense. He shall also be entitled to one (1) month basic pay
as termination pay.

B. In case arrangements have been made for the seafarer to directly join another ship of
the same Principal to complete his contract, he shall only be entitled to basic wage from
the date of his disembarkation from his former ship until the date of his joining the new
ship.

SECTION 27. LOSS OF OR DAMAGE TO CREW’S EFFECTS BY MARINE PERIL

A. The seafarer shall be reimbursed by the employer the full amount of loss or damage to
his personal effects but in no case shall the amount exceed the Philippine currency
equivalent to the amount of Two Thousand US dollars (US$2,000) if his personal effects
are lost or damaged as a result of the wreck or loss or stranding or abandonment of the
ship or as a result of fire, flooding, collision or piracy.

B. In case of partial loss, the amount shall be determined by mutual agreement of both
parties but in no case to exceed the Philippine currency equivalent to the amount of Two
Thousand US dollars (US$2,000).

C. Reimbursement for loss or damage to the seafarer’s personal effects shall not apply if
such loss or damage is due to (a) the seafarer’s own fault; (b) larceny or theft or (c)
robbery.

D. Payment of any reimbursement shall be computed at the rate of exchange prevailing at

the time of payment.

16
SECTION 28. GENERAL SAFETY

A. The seafarer shall observe and follow any regulation or restriction that the master may
impose concerning safety, drug and alcohol and environmental protection.

B. The seafarer shall make use of all appropriate safety equipment provided him and must
ensure that he is suitably dressed from the safety point of view for the job at hand.

SECTION 29. 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 voluntary 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, as amended, 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 claims 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 to which the Philippines is a
signatory.

SECTION 32. SCHEDULE OF DISABILITY OR IMPEDIMENT FOR INJURIES

SUFFERED AND DISEASES INCLUDING OCCUPATIONAL DISEASES OR ILLNESS
CONTRACTED.

17
 HEAD
Traumatic head injuries that result to:
1. Apperture unfilled with bone not over three (3) inches without brain injury ------ Gr. 9
2. Unfilled with bone over three (3) inches without brain injury ------------------------ Gr. 3
3. Severe paralysis of both upper or lower extremities or one upper and one Gr. 1
lower extremity ----------------------------------------------------------------------------------
4. Moderate paralysis of two (2) extremities producing moderate difficulty in Gr. 10
movements with self-care activities --------------------------------------------------------
5. Slight paralysis affecting one extremity producing slight difficulty with self-care Gr. 10
activities -------------------------------------------------------------------------------------------
6. Severe mental disorder or Severe Complex Cerebral function disturbance or
post-traumatic psychoneurosis which require regular aid and attendance as to Gr. 1
render worker permanently unable to perform any work -----------------------------
7. Moderate mental disorder or moderate brain functional disturbance which limits
worker to the activities of daily living with some directed care or Gr. 6
attendance ---------------------------------------------------------------------------------------
8. Slight mental disorder or disturbance that requires little attendance or aid and
which interferes to a slight degree with the working capacity of the claimant --- Gr. 10
-------------------------------------------------------------------------------------------------------
9. Incurable imbecility ----------------------------------------------------------------------------- Gr. 1
-------------------------------------------------------------------------------------------------------

FACE

1. Severe disfigurement of the face or head as to make the worker so repulsive as

to greatly handicap him in securing or retaining ------------------------------------ Gr. 2
2. Moderate facial disfigurement involving partial ablation of the nose with big Gr. 5
scars on face or head -------------------------------------------------------------------------
3. Partial ablation of the nose or partial avulsion of the scalp -------------------------- Gr. 9 4.
Complete loss of the power of mastication and speech function ------------------- Gr. 1
5. Moderate constriction of the jaw resulting in moderate degree of difficulty in
chewing and moderate loss of the power or the expression of speech ----------- Gr. 6
6. Slight disorder of mastication and speech function due to traumatic injuries to Gr.
12
jaw or cheek bone ------------------------------------------------------------------------------

EYES
1. Blindness or total and permanent loss of vision of both eyes ----------------------- Gr. 1
2. Total blindness of one (1) eye and fifty percent (50%) loss of vision of the Gr. 5
other eye ------------------------------------------------------------------------------------------
3. Loss of one eye or total blindness of one eye ------------------------------------------- Gr. 7
4. Fifty percent (50%) loss of vision of one eye -------------------------------------------- Gr. 10
5. Lagopthalmos, one eye ----------------------------------------------------------------------- Gr. 12
6. Ectropion, one eye ----------------------------------------------------------------------------- Gr. 12
7. Ephiphora, one eye ---------------------------------------------------------------------------- Gr. 12
8. Ptosis, one eye ---------------------------------------------------------------------------------- Gr. 12
18
Note: (Smeller’s Chart – used to grade for near and distant vision).

NOSE AND MOUTH

1. Considerable stricture of the nose (both sides) hindering breathing -------------- Gr. 11
2. Loss of the sense of hearing in one ear -------------------------------------------------- Gr. 11
3. Injuries to the tongue (partial amputation or adhesion) or palate-causing Gr. 10
defective speech --------------------------------------------------------------------------------
4. Loss of the three (3) teeth restored by prosthesis -------------------------------------- Gr. 14

EARS
1. For the complete loss of the sense of hearing on both ears ------------------------- Gr. 3
2. Loss of two (2) external ears ---------------------------------------------------------------- Gr. 8
3. Complete loss of the sense of hearing in one ear -------------------------------------- Gr. 11
4. Loss of one external ear ---------------------------------------------------------------------- Gr. 12 5.
Loss of one half (1/2) of an external ear -------------------------------------------------- Gr. 14

NECK
1. Such injury to the throat as necessitates the wearing of a tracheal tube --------- Gr. 6
2. Loss of speech due to injury to the vocal cord ------------------------------------------ Gr. 9
3. Total stiffness of neck due to fracture or dislocation of the cervical pines ------- Gr. 8
4. Moderate stiffness or two thirds (2/3) loss of motion of the neck ------------------- Gr.
10
5. Slight stiffness of the neck or one third (1/3) loss of motion ------------------------- Gr. 12

CHEST-TRUNK-SPINE
1. Fracture of four (4) or more ribs resulting to severe limitation of chest ----------- Gr. 6
2. Fracture of four (4) or more ribs with intercostal neuralgia resulting in moderate Gr. 9
limitation of chest expansion ---------------------------------------------------
3. Slight limitation of chest expansion due to simple rib functional without myositis Gr. 12
or intercostal neuralgia ------------------------------------------------------------
4. Fracture of the dorsal or lumber spines resulting severe or total rigidity of the
trunk or total loss of lifting power of heavy objects ------------------------------------- Gr. 6
5. Moderate rigidity or two thirds (2/3) loss of motion or lifting power of the trunk Gr. 8
6. Slight rigidity or one third (1/3) loss of motion or lifting power of the trunk ------- Gr. 11
7. Injury to the spinal cord as to make walking impossible without the aid of a Gr. 4
pair of crutches ----------------------------------------------------------------------------------
8. Injury to the spinal cord as to make walking impossible even with the aid of a Gr. 1
pair of crutches ----------------------------------------------------------------------------------
9. Injury to the spinal cord resulting to incontinence of urine and feces ------------- Gr. 1

ABDOMEN
1. Loss of the spleen ------------------------------------------------------------------------------ Gr. 8
2. Loss of one kidney ----------------------------------------------------------------------------- Gr. 7
3. Severe residuals of impairment of intra-abdominal organs which requires regular
aid and attendance that will unable worker to seek any gainful Gr. 1
employment --------------------------------------------------------------------------------------

19
 4. Moderate residuals of disorder of the intra-abdominal organs secondary to
trauma resulting to impairment of nutrition, moderate tenderness, nausea, Gr. 7
vomiting, constipation or diarrhea ----------------------------------------------------------
5. Slight residuals or disorder of the intra-abdominal organs resulting in impairment
of nutrition, slight tenderness and/or constipation or diarrhea------- Gr. 12
6. Inguinal hernia secondary to trauma or strain ------------------------------------------- Gr. 12

PELVIS
1. Fracture of the pelvic rings as to totally incapacitate worker to work -------------- Gr. 1
2. Fracture of the pelvic ring resulting to deformity and lameness -------------------- Gr. 6

URINARY AND GENERATIVE ORGANS

1. Total loss of penis ------------------------------------------------------------------------------ Gr. 7
2. Total loss of both testicles -------------------------------------------------------------------- Gr. 7
3. Total loss of one testicle ---------------------------------------------------------------------- Gr. 11
4. Scars on the penis or destruction of the parts of the cavernous body or
urethra interfering with erection or markedly affecting coitus ----------------------- Gr. 9
5. Loss of one breast ----------------------------------------------------------------------------- Gr.11
6. Prolapse of the uterus ------------------------------------------------------------------------- Gr. 13
7. Great difficulty in urinating -------------------------------------------------------------------- Gr.
13
8. Incontinence of urine -------------------------------------------------------------------------- Gr.
10

THUMBS AND FINGERS

1. Total loss of one thumb including metacarpal bone ----------------------------------- Gr. 9
2. Total loss of one thumb ----------------------------------------------------------------------- Gr. 10
3. Total loss of one index finger including metacarpal bone ---------------------------- Gr. 10
4. Total loss of one index finger ---------------------------------------------------------------- Gr. 11 5.
Total loss of one middle finger including metacarpal bone -------------------------- Gr. 11 6.
Total loss of one middle finger -------------------------------------------------------------- Gr. 12 7.
Total loss of one ring finger including metacarpal bone ------------------------------ Gr. 12 8.
Total loss of one ring finger ------------------------------------------------------------------ Gr. 13 9.
Total loss of one small finger including metacarpal bone ---------------------------- Gr. 13
10. Total loss of one small finger ---------------------------------------------------------------- Gr.
14
11. Loss of two or more fingers. Compensation for the loss of use of two (2) or
more fingers or one (1) or more phalanges of two or more digits of a hand
must be proportioned to the loss of the hand occasioned thereby but shall not
exceed the compensation for the loss of a hand: Gr. 6 a. Loss of five (5) fingers of one hand -------
------------------------------------ b. Loss of thumb, index fingers and any of 2 or more fingers of the Gr. 6
same hand --------------------------------------------------------------------------c. Loss of the thumb, index finger
and any one of the remaining fingers Gr. 7

20
of the same hand ------------------------------------------------------------------ d. Loss of thumb and index finger -
------------------------------------------------ Gr. 8 e. Loss of three (3) fingers of one hand not including
thumb and index Gr. 9
finger ---------------------------------------------------------------------------------- f. Loss of the index finger and any
one of the other fingers of the same Gr. 9
hand excluding thumb ------------------------------------------------------------
g. Loss of two (2) digits of one hand not including thumb and index Gr. 10 finger
----------------------------------------------------------------------------------
12. Loss of ten (10) fingers of both hands ----------------------------------------------------- Gr. 3

HANDS
1. Total loss of use of both hands or amputation of both hands at wrist joints or Gr. 1
above ----------------------------------------------------------------------------------------------
2. Amputation of a hand at carpo-metacarpal joints -------------------------------------- Gr. 5
3. Amputation between wrist and elbow joint ----------------------------------------------- Gr. 5
4. Loss of grasping power for small objects between the fold of the finger of one Gr. 10
hand ------------------------------------------------------------------------------------------------
5. Loss of grasping power for large objects between fingers and palm of one Gr. 10
hand ------------------------------------------------------------------------------------------------
6. Loss of opposition between the thumb and tips of the fingers of one hand ----- Gr. 9
7. Ankyclosed wrist in normal position -------------------------------------------------------- Gr. 10
8. Ankyclosed wrist in position one third (1/3) flexed or half extended and/or severe Gr. 11
limited action of a wrist --------------------------------------------------------------

SHOULDER AND ARM

1. Inability to turn forearm (forearm in normal position-supination) ------------------- Gr. 11
2. Inability to turn forearm ( forearm in abnormal position – pronation) -------------- Gr. 10
3. Disturbance of the normal carrying angle or weakness of an arm or a forearm due
to deformity of moderate atrophy of muscles -------------------------------------- Gr. 11
4. Stiff elbow at full flexion or extension (one side) --------------------------------------- Gr. 7
5. Stiff elbow at right angle flexion ------------------------------------------------------------- Gr. 8
6. Flail elbow joint ---------------------------------------------------------------------------------- Gr. 9
7. Pseudoarthrosis of the humerus with musculospiral or radial paralysis ---------- Gr. 6
8. Ankylosis of one (1) shoulder, the shoulder blade remaining mobile ------------- Gr. 9
9. Ankylosis of one shoulder, the shoulder blade remaining rigid --------------------- Gr. 8
10. Unreduced dislocation of one (1) shoulder ----------------------------------------------- Gr. 8
11. Ruptured biceps or pseudoarthrosis of the humerus, close (one side) ----------- Gr. 11
12. Inability to raise arm more than halfway from horizontal to perpendicular ------- Gr. 11
13. Ankylosis of the shoulder joint not permitting arm to be raised above a level with
a shoulder and/or irreducible fracture or faulty union collar bone ------------ Gr. 10
14. Total paralysis of both upper extremities ------------------------------------------------- Gr. 1
15. Total paralysis of one upper extremity ---------------------------------------------------- Gr. 3
16. Amputation of one (1) upper extremity at or above the elbow ---------------------- Gr. 4
17. Scar the size of the palm in one extremity ----------------------------------------------- Gr. 14

21
 LOWER EXTREMITIES
1. Loss of a big toe -------------------------------------------------------------------------------- Gr.
12 2. Loss of a toe other than the big one ------------------------------------------------------- Gr. 14
3. Loss of ten (10) digits of both feet ---------------------------------------------------------- Gr. 5
4. Loss of a great toe of one foot + one toe ------------------------------------------------- Gr. 10 5.
Loss of two toes not including great toe or next to it ---------------------------------- Gr. 12
6. Loss of three (3) toes excluding great toe of a foot ------------------------------------ Gr. 10
7. Loss of four (4) excluding great toe of a foot -------------------------------------------- Gr. 9
8. Loss of great toe and two (2) other toes of the same foot --------------------------- Gr. 9
9. Loss of five digits of a foot -------------------------------------------------------------------- Gr. 8
10. Loss of both feet at ankle joint or above -------------------------------------------------- Gr. 1
11. Loss of one foot at ankle joint or above --------------------------------------------------- Gr. 6
12. Depression of the arch of a foot resulting in weak foot ------------------------------- Gr.
12
13. Loss of one half (1/2) metatarsus of one (1) foot --------------------------------------- Gr. 8
14. Loss of whole metatarsus or forepart of foot -------------------------------------------- Gr. 7
15. Tearing of achilles tendon resulting in the impairment of active flexion and Gr.
12
extension of a foot -----------------------------------------------------------------------------------
16. Malleolar fracture with displacement of the foot inward or outward ---------------- Gr. 10
17. Complete immobility of an ankle joint in abnormal position -------------------------- Gr. 10
18. Complete immobility of an ankle joint in normal position ----------------------------- Gr.
11 19. Total loss of a leg or amputation at or above the knee --------------------------------
Gr. 3
20. Stretching leg of the ligaments of a knee resulting in instability of the joint ------ Gr. 10
21. Ankylosis of a knee in genuvalgum of varum -------------------------------------------- Gr. 10
22. Pseudoarthrosis of a knee cap -------------------------------------------------------------- Gr. 10
23. Complete immobility of a knee joint in full extension ----------------------------------- Gr. 10
24. Complete immobility of a knee joint in strong flexion ---------------------------------- Gr. 7
25. Complete immobility of a hip joint in flexion of the thigh ------------------------------ Gr. 5
26. Complete immobility of a hip joint in full extension of the thigh --------------------- Gr. 9
27. Slight atrophy of calf of leg muscles without apparent shortening or joint
lesion or disturbance of weight-bearing line --------------------------------------------------- Gr. 13
28. Shortening of a lower extremity from one to three centimeters with either joint
lesion or disturbance of weight-bearing joint -------------------------------------------------- Gr. 13
29. Shortening of 3 to 6 cm with slight atrophy of calf or thigh muscles --------------- Gr. 12
30. Shortening of 3 to 6 cm with either joint lesion or disturbance of weight- Gr. 11
bearing joint -------------------------------------------------------------------------------------------
31. Irregular union of fracture with joint stiffness and with shortening of 6 to 9 cm Gr. 9
producing permanent lameness ------------------------------------------------------------------
32. Irregular union of fracture in a thigh or leg with shortening of 6 to 9 cms --------- Gr. 10
33. Failure of fracture of both hips to unite ---------------------------------------------------- Gr. 1
34. Failure of fracture of a hip to unite ---------------------------------------------------------- Gr. 3
35. Paralysis of both lower extremities --------------------------------------------------------- Gr. 1
36. Paralysis of one lower extremity ------------------------------------------------------------ Gr. 3
37. Scar the size of a palm or larger left on an extremity ---------------------------------- Gr. 14

22
NOTE: Any item in the schedule classified under Grade 1 shall be considered or shall
constitute total and permanent disability.

SCHEDULE OF DISBILITY ALLOWANCES

IMPEDIMENT GRAD IMPEDIMENT

1 US$ 50,000 X 120.00% 2 “
X 88.81%
3 “ X 78.36%
4 “ X 68.66%
5 “ X 58.96%
6 “ X 50.00%
7 “ X 41.80%
8 “ X 33.59%
9 “ X 26.12%
10 “ X 20.15%
11 “ X 14.93%
12 “ X 10.45% 13 “
X 6.72%
14 “ X 3.74%

To be paid in Philippine Currency equivalent at the exchange rate prevailing during the time of paym

SECTION 32 – A. 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 contract it; and
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 DISEASE NATURE OF EMPLOYMENT

23
1. Cancer of the epithelial of the bladder Work involving exposure to
(Papilloma of the bladder) alphanapthyylamine, beta-naphathylamin,
or benzidine of any part of the salts; and
auramine or magenta
2. Cancer, epithellomatous or ulceration The use or handling of, exposure to tar,
of the skin or of the corneal surface pitch, bitumen, mineral oil (including
of the eye due to tar, pitch, bitumen, paraffin) soot or any compound product
mineral oil or paraffin, or compound or residue of any of these substances
product or residue of these substances
3. Deafness – severe profound hearing loss Any industrial operation having excessive
in an occupation where employee is noise particularly in the higher frequencies
exposed to prolonged, significant noise and
vibration in his line of work
4. Decompression sickness
a. Caissons disease Any process carried on in compressed or
rarefied air.

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. Infections
Pneumonia Work in connection with animals infected
Bronchitis with anthrax, handling of animal carcasses
Sinusitis or parts of such carcasses, including hides,
Pulmonary TB hoofs, and horns
Anthrax
Cellulitis
Conjunctivitis (Bacterial and Viral)
Norwalk Virus Hepatitis A*, Norwalk, Salmonella
Salmonella
Leptospirosis
Malaria
Otitis Media
Tetanus
Viral Encephalitis

Including other infections resulting in

complications necessitating repatriation.

24
7. Ionizing radiation disease, inflammation, Exposure to x-rays, ionizing particles of
ulceration or malignant disease of the skin radium or other radioactive substances or
or subcutaneous tissues of the bones or other forms of radiant energy
leukemia, or anemia of the aplastic type
due to x-rays, ionizing particle, radium or
other radioactive substances

a. Acute radiation syndrome Short duration of exposure to large doses of

x-rays, gamma rays, alpha rays and beta
rays

b. Chronic radiation syndrome Chronic over-exposure to x-rays with a long

latent period affecting the skin, blood and
reproductive organ

c. Glass Blower’s cataract Among furnace men, glass blowers, baker,

blacksmith, foundry workers. These are
workers exposed to infrared rays.
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 All work involving exposure to the risk
and aminotoxic derivatives 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

25
 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

All work involving exposure to the risk

i. Chlorine
concerned

All work involving exposure to the risk

j. Chrome or its toxic compounds concerned

All work involving exposure to the risk

k. Dinitrophenol or its homologue concerned

All work involving exposure to the risk

l. Halogen derivatives of hydrocarbon of concerned
the aliphatic series

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 All work involving exposure to the risk
compounds concerned
s. Sulfur dioxide All work involving exposure to the risk
concerned
9. Vascular disturbance in the upper Any occupation causing repeated motions,
extremities due to continuous vibration from vibrations and pressure of upper
pneumatic tools or power drills, riveting extremities
machines or hammers

26
10. Vascular disturbance in the lower This is due to heavy straining upon the
extremities – varicocoele causing pain, lifting of heavy loads and prolonged
varicose veins resulting in discoloration standing

and ulceration. Any occupation requiring prolonged

standing and lifting of heavy loads
11. Cardio-vascular events – to include
heart attack, chest pain (angina), heart
failure or sudden death. Any of the
following conditions must be met:

a. If the heart disease was known to a. if a person who was apparently

have been present during employment, asymptomatic before working showed
there must be proof that an acute signs and symptoms of cardiac injury during
exacerbation was clearly precipitated by an the performance of his/her work and such
unusual strain by reasons of the nature of symptoms and signs persisted, it is
his work reasonable to claim a causal relationship

b. if a person is a known hypertensive

b. the strain of work that brings about or diabetic, he should show compliance with
an acute attack must be sufficient severity prescribed maintenance medications and
and must be followed within 24 hours by the doctor-recommended lifestyle changes.
clinical signs of a cardiac insult to constitute The employer shall provide a workplace
causal relationship conducive for such compliance in
accordance with Section 1(A) paragraph 6.

c. in a patient not known to have

c. If a person who was apparently hypertension or diabetes as indicated on his
asymptomatic before being subjected to last PEME
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

d. if a person is a known hypertensive

or diabetic, he should show compliance
with prescribed maintenance medications
and doctor-recommended lifestyle
changes. The employer shall provide a
workplace conducive for such compliance
in accordance with Section 1(A) paragraph
5.

e. in a patient not known to have

hypertension or diabetes, as indicated on
his last PEME

27
12. Cerebro-vascular events
All of the following conditions must be met:

a. If the heart disease was known to have a. if a person who was apparently
been present during employment, there asymptomatic before working showed
must be proof that an acute exacerbation signs and symptoms of cardiac injury during
was clearly precipitated by an unusual the performance of his/her work and such
strain by reasons of the nature symptoms and signs persisted, it is
of his work reasonable to claim a causal relationship

b. the strain of work that brings about b. if a person is a known hypertensive

an acute attack must be sufficient severity or diabetic, he should show compliance with
and must be followed within 24 hours by the prescribed maintenance medications and
clinical signs of a cardiac insult to constitute doctor-recommended lifestyle changes.
causal relationship The employer shall provide a workplace
conducive for such compliance in
accordance with Section 1(A) paragraph 5.

c. If a person who was apparently c. in a patient not known to have

asymptomatic before being subjected to hypertension or diabetes as indicated on his
strain at work showed signs and symptoms last PEME
of cardiac injury during the performance of
his work and such symptoms and signs
persisted, it is reasonable to claim a causal
relationship

d. if a person is a known hypertensive

or diabetic, he should show compliance
with prescribed maintenance medications
and doctor-recommended lifestyle
changes. The employer shall provide a
workplace conducive for such compliance
in accordance with Section 1(A) paragraph
5.

e. in a patient not known to have

hypertension or diabetes, as indicated on
his last PEME

28
13. END ORGAN DAMAGE RESULTING
FROM UNCONTROLLED
HYPERTENSION

Impairment of function of the organs such

as kidneys, heart, eyes and brain under the
following conditions considered
compensable:
a. if a person who was apparently
a. if a person is a known hypertensive asymptomatic before working showed
or diabetic, he should show compliance with signs and symptoms of cardiac injury during
prescribed maintenance medications and the performance of his/her work and such
doctor-recommended lifestyle changes. The symptoms and signs persisted, it is
employer shall provide a workplace reasonable to claim a causal relationship
conducive for such compliance in
accordance with Section 1(A) paragraph b. if a person is a known hypertensive
or diabetic, he should show compliance with
b. In a patient not known to have prescribed maintenance medications and
hypertension has the following on his last doctor-recommended lifestyle changes.
PEME: normal BP, normal CXR and The employer shall provide a workplace
ECG/treadmill conducive for such compliance in
accordance with Section 1(A) paragraph 6.

14. Cataract and pterygium Caused by prolonged exposure to UV light

or welding, wind abrasion and sea breeze
15. Poisoning by cadmium Among workers in battery factories, who are
exposed to cadmium fumes
16. Acute myeloid leukemia Secondary to prolonged benzene
exposure
17. Chronic lymphocytic leukemia Secondary to prolonged benzene
exposure
18. Vitreal hemorrhage and retinal Caused by the strain upon lifting of heavy
detachment loads
19. 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; a protrusion of mass should appear in the area immediately
following the alleged strain.

29
20. Bronchial Asthma – all of the following conditions must be met:

a. there is no evidence or history of asthma before employment

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

21. 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

22. Peptic Ulcer

Any occupation involving prolonged emotional or physical stress, as among professional

people, transport workers and the like.
23. 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.
24. 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.

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NOTE: Death or disability which is directly caused by sexually transmitted disease or arose
from complications thereof shall not be compensable nor shall be entitled to the benefits
provided in this Contract.

SECTION 33. TABLE OF OFFENSES AND CORRESPONDING ADMINISTRATIVE

PENALTIES

A. Pursuant to Section 17 and 18 of the Contract, the disciplinary grounds listed in the
Table of Offenses and Administrative Penalties hereunder or analogous acts thereto
shall be penalized according to its gravity and frequency of commission, imposed by the
Master of the ship. Such offenses shall be penalized as indicated.

B. Commission of a seafarer of any of the offenses enumerated in the Table of Offenses

and Administrative Penalties hereunder or of similar offenses shall be ground for
disciplinary administrative action at the POEA where the following corresponding
penalty shall be imposed.

C. The penalties for administrative actions by the Master and/or the POEA provided herein
shall be separate and distinct from whatever appropriate criminal action that may be
filed against the seafarer.

OFFENSES ADMINISTRATIVE ADMINISTRATIVE

PENALTIES PENALTIES
(IMPOSED BY THE (IMPOSED BY POEA AFTER
MASTER) DUE INVESTIGATION)
1. Smuggling or violation of
any custom rules and
regulations of the
Philippines and of foreign

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ports

a. smuggling any taxable Dismissal and to pay cost 1st Offense One (1) year to
item of repatriation and two (2) years suspension
cost of his replacement 2nd Offense Two (2) years
and one (1) day suspension
to delisting

b. possession or use of Dismissal and to pay cost

prohibited drugs, narcotics of repatriation and cost of 1st Offense: Delisting
and other contraband his replacement

c. gun-running or Dismissal and to pay cost st

1 Offense: Delisting
possession of explosives of repatriation and
and the like cost of his replacement

d. abetting or conniving Dismissal and to pay cost st

with others to commit of repatriation and cost of 1 Offense: Two (2) years to
smuggling his replacement three (3) years suspension
2nd Offense: Three (3) years
and one (1) day suspension
to delisting

e. misdeclaration of or Dismissal and to pay cost

failing to declare articles of repatriation and cost of 1st Offense: One (1) year to
leading to their seizure and his replacement two (2) years suspension
fine to ship 2nd Offense: Two (2) years
and one (1) day suspension
to delisting
f. misdeclaration of or 1st Offense: Reprimand and
failing to declare articles warning 1st Offense: One (1) year to
leading to their seizure but 2nd Offense: Dismissal two (2) years suspension
ship not implicated
and to pay cost of 2nd Offense: Two (2) years
repatriation and cost of his and one (1) day to three (3)
replacement years suspension
3rd Offense: Three (3) years
and one (1) day suspension
to delisting
g. possession of
Dismissal and to pay cost
pornographic materials
of repatriation and 1st Offense: One (1) year to
leading to its seizure and
cost of his replacement two (2) years suspension
fine to ship
2nd Offense: Two (2) years
and one (1) day suspension
h. possession of child to delisting
pornography materials Dismissal and to pay cost
leading to its of repatriation and cost of
seizure and fine to ship his replacement

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 1st Offense: One (1) year to
two (2) years suspension
2nd Offense: Two (2) years
and one (1) day suspension
to delisting

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i. Any other violation 1st Offense: Reprimand 1st Offense: One (1) year to
which will not implicate ship and warning two (2) years suspension
2nd Offense: Dismissal 2nd Offense: Two (2) years
and to pay cost of and one (1) day suspension
repatriation and cost of his to delisting
replacement

Dismissal and to pay 1st Offense: (3)Three years

j. Any other violation cost of repatriation and suspension to delisting
which will implicate the ship cost of his replacement
2. Desertion

a. deserting or Dismissal and to pay 1st Offense: Delisting

attempting to desert cost of repatriation and
cost of his replacement

b. advising, assisting or Dismissal and to pay 1st Offense: Five (5) years
persuading another to desert cost of repatriation and suspension to delisting
cost of his replacement

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3. Absence without leave

a. abandoning post or Dismissal and to pay cost 1st Offense: One (1) year to
duty without being of repatriation and two (2) years suspension
properly relieved cost of his replacement 2nd Offense: Two years (2)
and one (1) day suspension
to delisting

b. leaving the ship Dismissal and to pay cost 1st Offense: One (1) year to
without permission of repatriation and two (2) years suspension
from responsible cost of his replacement 2nd Offense: Two years (2)
officers
and one (1) day suspension
during working hours
to delisting
Master’s discretion (grave
1st Offense: Six (6) months to
c. Entrusting to others or less grave, depending
one (1) year suspension
assigned duties on circumstances)
from participation in the
without authority of
overseas employment
department head
program
2nd Offense: One (1)year and
one (1) day to two (2) years
suspension
3rd Offense: Two (2) years
and one (1) day suspension
to delisting

Master’s discretion (grave 1st Offense: Six (6) months to

d. Leaving the ship or less grave, depending one (1) year suspension
without permission on circumstances) from participation in the
overseas employment
program

2nd Offense: One (1)year and

one (1) day to two (2) years
suspension
3rd Offense: Two (2) years
and one (1) day suspension
to delisting
4. Sleeping on post while on Dismissal and to pay cost 1st Offense: One (1) year to
duty of repatriation and two (2) years suspension
cost of his replacement 2nd Offense: Two (2) years
and one day suspension to
delisting

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5. Insubordination

a. any act of Dismissal and to pay cost 1st Offense: One (1) year to
disobedience to lawful of repatriation and two (2) years suspension
orders of a superior cost of his replacement 2nd Offense: Two (2) years
officer and one day suspension to
delisting

b. attempting to assault Dismissal and to pay cost 1st Offense: Six (6) months to
a superior officer of repatriation and one (1) year suspension from
cost of his replacement
participation in the overseas
employment program
2nd Offense: One (1) year
and one (1) day to two (2)
years suspension
3rd Offense: Two (2) years
and one (1) day suspension
to delisting from the POEA
Registry
c. assaulting a superior Dismissal and to pay cost 1st Offense: One (1) year to
officer/other persons on of repatriation and cost of
two (2) years suspension
business with the ship his replacement
without the use of deadly 2nd Offense: Two (2) years
weapon and one (1) day suspension
to delisting
d. assaulting a superior Dismissal and to pay cost st
officer/other persons on of repatriation and 1 Offense: Delisting
business with the ship cost of his replacement
with the use of
deadly weapon

e. behaving with Dismissal and to pay

disrespect towards a cost of repatriation and 1st Offense: Six (6) months to
superior officer cost of his replacement one (1) year suspension 2nd
Offense: One (1) year and
one (1) day to three (3) years
suspension
3rd Offense: Three (3) years
and one (1) day suspension
to delisting

36
 f. insulting a superior Dismissal and to pay cost 1st Offense: Six (6) months to
officer by words or deed of repatriation and one (1) year suspension 2nd
cost of his replacement Offense: One (1) year and
one (1) day to three (3) years
suspension
3rd Offense: Three (3) years
and one (1) day suspension
to delisting

g. inciting another to Dismissal and to pay cost 1st Offense: Six (6) months to
commit insubordination of repatriation and one (1) year suspension 2nd
cost of his replacement Offense: One (1) year and
one (1) day to three (3) years
suspension
3rd Offense: Three (3) years
and one (1) day suspension
to delisting
6. Drunkenness

a. drunk while on duty Dismissal and to pay 1st Offense: Two (2) years to
cost of repatriation and three (3) years suspension
cost of his replacement 2nd Offense: Two (2) years
and one (1) day suspension
to delisting

b. creating trouble on 1st Offense: Reprimand 1st Offense: Six (6) months to
board due to intoxication and warning one (1) year suspension 2nd
2nd Offense: Dismissal Offense: One (1) year and
and to pay cost of one (1) day to three years
repatriation and cost of his suspension
replacement 3rd Offense: Three (3) years
and one (1) day suspension
to delisting

c. failure to perform 1st Offense: Reprimand 1st Offense: Six (6) months to
assigned jobs due to and warning one (1) year suspension 2nd
intoxication 2nd Offense: Dismissal Offense: One (1) year and
and to pay cost of one (1) day to three years
repatriation and cost of his suspension
replacement 3rd Offense: Three (3) years
and one (1) day suspension
to delisting

37
7. Creating trouble outside 1st Offense: Reprimand 1st Offense: Six (6) months to
the ship’s premises and warning one (1) year suspension 2nd
2nd Offense: Dismissal Offense: One (1) year and
and to pay cost of one (1) day to three years
repatriation and cost of his suspension
replacement 3rd Offense: Three (3) years
and one (1) day suspension
to delisting

8. Gambling

a. which results in Dismissal and to pay cost 1st Offense: One (1) year to
fighting or any incident of repatriation and cost of two (2) years suspension
as to upset the his replacement 2nd Offense: Two (2) years and
harmonious relationship
one (1) day suspension
on board the ship
to delisting
b. any other form of Master’s discretion (grave st
gambling which is not 1 Offense: Six (6) months to
or less grave, depending
purely recreational one (1) year suspension 2nd
on circumstances)
Offense: One (1) year and
one (1) day to three years
suspension
3rd Offense: Three (3) years
and one (1) day suspension
to delisting

38
9. Violation of company
policies and regulations for:
st
a. pilferage or theft of Dismissal and to pay cost of 1 Offense: One (1) year to
ship’s store or cargo repatriation and cost of two (2) years suspension
his replacement 2nd Offense: Two (2) years
and one (1) day suspension
to delisting

st
b. pilferage or theft of Dismissal and to pay cost 1 Offense: One (1) year to
ships property, of crews or of repatriation and cost of two (2) years suspension
passengers or other persons his replacement 2nd Offense: Two (2) years
with business at the ship.
and one (1) day suspension
to delisting
c. embezzlement of
company funds Dismissal and to pay cost 1st Offense: One (1) year to
of repatriation and cost of two (2) years suspension
his replacement
2nd Offense: Two (2) years
and one (1) day suspension
to delisting
d. unauthorized disposal
of company ship’s Dismissal and to pay cost 1st Offense: One (1) year to
properties for personal gain of repatriation and two (2) years suspension
cost of his replacement
2nd Offense: Two (2) years
and one (1) day suspension
to delisting
e. any act of dishonesty
with intention to defraud the Dismissal and to pay cost 1st Offense: One (1) year to
company of repatriation and cost of two (2) years suspension
his replacement 2nd Offense: Two (2) years

39
 and one (1) day suspension
to delisting

f. gross negligence and Dismissal and to pay cost

failure to observe proper of repatriation and cost of 1st Offense: One (1) year to
storage and cargo handling his replacement two (2) years suspension
procedures resulting in delay 2nd Offense: Two (2) years
of ships and/or and one (1) day suspension
damage to cargoes to delisting

g. failure to observe and Master’s discretion (grave 1st Offense: Six (6) months to
comply with regulation and or less grave, depending one (1) year suspension from
non-baggage shipment and on circumstances) participation in the overseas
acceptance of parcels on employment program
board
2nd Offense: One (1) year
and one (1) day to two (2)
years suspension
3rd Offense: Two(2) years
and one (1) day suspension
to delisting

h. failure to observe 1st Offense: Reprimand

regulations on expiration of 1st Offense: Six (6) months to
and warning one (1) year suspension from
shore liberty
2nd Offense: Dismissal participation in the overseas
and to pay cost of employment program
repatriation and cost of his
replacement 2nd Offense: One (1) year
and one (1) day to two (2)
years suspension
3rd Offense: Two(2) years
and one (1) day suspension
to delisting

i. being left behind by 1st Offense: Six (6) months to

ship in foreign port without Dismissal and to pay cost
of repatriation and cost of one (1) year suspension from
justifiable reason
replacement participation in the overseas
employment program
2nd Offense: One (1) year
and one (1) day to two (2)
years suspension
3rd Offense: Two(2) years
and one (1) day suspension
to delisting

40
j. disorderly conduct 1st Offense: One (1) year to
and/or disrespect towards Dismissal and to pay cost
of repatriation and cost of

41
passengers or other replacement two (2) years suspension
persons 2nd Offense: Two (2) years
and one (1) day suspension
to delisting
k. for immorality so as to Dismissal and to pay cost
cast aspersion on the good of repatriation and cost of 1st Offense: One (1) year to
name of the ship and replacement two (2) years suspension
company
2nd Offense: Two (2) years
and one (1) day suspension
to delisting

Dismissal and to pay cost 1st Offense: One (1) year to

l. inflicting harm or of repatriation and cost of two (2) years suspension
injury his replacement
to others 2nd Offense: Two (2) years
and one (1) day suspension
to delisting
10. Incompetence and Dismissal and to pay cost 1ST Offense: Two (2) years to
inefficiency of repatriation and cost of three (3) years suspension
his replacement 2nd Offense: Three (3) years
and one (2) day suspension
to delisting
11. Inciting mutiny, malicious Dismissal and to pay cost 1ST Offense: Two (2) years to
destruction of ship’s property of repatriation and cost of three (3) years suspension
at any activity which will his replacement 2nd Offense: Three (3) years
hamper the efficient and one (2) day suspension
operation of the ship to delisting

12. Concerted action to Dismissal and to pay cost 1ST Offense: Two (2) years to
breach approved contracts of repatriation and cost of three (3) years suspension
his replacement 2nd Offense: Three (3) years
and one (2) day suspension
to delisting
13. Any activity which tends Dismissal and to pay cost 1st Offense: One (1) year to
to destroy harmonious of repatriation and cost of two (2) years suspension
relationship of the company his replacement 2nd Offense: Two (2) years
and one (1) day suspension
to delisting

42
14. Grave abuse of
authority

a. grave abuse of Dismissal and to pay cost Delisting from POEA registry
authority (with the use of of repatriation and cost of
deadly weapon) resulting in his replacement
harm or injury to
subordinate

b. grave abuse of Dismissal and to pay cost 1st Offense: Two 92) years to

authority (without the use of of repatriation and cost of three (3) years suspension
deadly weapon) resulting in his replacement 2nd Offense: Two (2) years
harm or injury to and one (1) day suspension
subordinate to delisting

d. any other case of abuse Master’s discretion (grave 1st Offense: One (1) year to
of authority or less grave, depending two (2) years suspension
on circumstances) 2nd Offense: Two (2) years
and one (1) day to three (3)
years suspension
3rd Offense: Three (3) years
and one (1) day suspension
to delisting
15. For gross misbehavior 1st offense: Reprimand 1st Offense: One (1) year to
prejudicial and warning two (2) years suspension
to good order and 2nd offense: Dismissal and 2nd Offense: Two (2) years
discipline to pay cost of repatriation and one (1) day suspension
and cost of his to delisting
replacement
16. Causing through Master’s discretion (grave 1st Offense: One (1) year to
neglect, damage loss, or less grave, depending two (2) years suspension
spoilage or deterioration of on circumstances) 2nd Offense: Two (2) years
ship’s stocks and property and one (1) day suspension
to delisting
17. Connivance with or Dismissal and to pay cost 1st Offense: One (1) year to
cuddling of stowaway of repatriation and cost of two (2) years suspension
his replacement 2nd Offense: Two (2) years
and one (1) day suspension
to delisting
18. Willfully making false Dismissal and to pay cost 1st Offense: One (1) year to
statement, reports, of repatriation and cost of two (2) years suspension
certification or documents his replacement 2nd Offense: Two (2) years
for personal gain or with and one (1) day suspension
intent to mislead or defraud to delisting
the company or authorities
43
19. Any other case as to Master’s discretion (grave 1st Offense: One (1) year to
cast aspersion on the good or less grave, depending two (2) years suspension
name of the company and on circumstances) 2nd Offense: Two (2) years
ship and one (1) day suspension
to delisting
20. Violation to observe Master’s discretion (grave 1st Offense: One (1) year to two
safety and environmental or less grave, depending (2) years suspension
rules/ regulations on circumstances) 2nd Offense: Two (2) years and
one (1) day suspension
to delisting
21. Failure to observe the Dismissal and to pay cost 1st Offense: One (1) year to two
drug and alcohol policy of of repatriation and cost of (2) years suspension
the company his replacement 2nd Offense: Two (2) years and
one (1) day suspension
to delisting

This contract is pursuant to Governing Board Resolution No. 09 and POEA Memorandum
Circular No. ____, both series of 2010.

44