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compensation payments for work-related deaths, injuries, and illnesses.)
Instead, the POEA Standard Employment Contract provides its own system
of disability compensation that approximates (and even exceeds) the
benefits provided under Philippine law. The standard terms agreed upon, as
above pointed out, are intended to be read and understood in accordance
with Philippine laws, particularly, Articles 191 to 193 of the Labor Code and
the applicable implementing rules and regulations in case of any dispute,
claim or grievance.
In this respect and in the context of the present case, Article 192(c)(1) of
the Labor Code provides that:
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The rule referred to – Rule X, Section 2 of the Rules and Regulations
implementing Book IV of the Labor Code – states:
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These provisions are to be read hand in hand with the POEA Standard
Employment Contract whose Section 20 (3) states:
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As these provisions operate, the seafarer, upon sign-off from his vessel,
must report to the company-designated physician within three (3) days from
arrival for diagnosis and treatment. For the duration of the treatment but in
no case to exceed 120 days, the seaman is on temporary total disability as
he is totally unable to work. He receives his basic wage during this period
until he is declared fit to work or his temporary disability is acknowledged by
the company to be permanent, either partially or totally, as his condition is
defined under the POEA Standard Employment Contract and by applicable
Philippine laws. If the 120 days initial period is exceeded and no such
declaration is made because the seafarer requires further medical attention,
then the temporary total disability period may be extended up to a
maximum of 240 days, subject to the right of the employer to declare within
this period that a permanent partial or total disability already exists. The
seaman may of course also be declared fit to work at any time such
declaration is justified by his medical condition.
xxxx
As we outlined above, a temporary total disability only becomes permanent
when so declared by the company physician within the periods he is allowed
to do so, or upon the expiration of the maximum 240-day medical treatment
period without a declaration of either fitness to work or the existence of a
permanent disability. In the present case, while the initial 120-day
treatment or temporary total disability period was exceeded, the companydesignated doctor duly made a declaration well within the extended 240-day
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