5/28/2020
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the contract did not expire on October 25, 2000, but was impliedly extended for
another nine months. This is because it was only on November 14, 2000 when
petitioner was told by respondent to disembark because he would be repatriated. Since
there was an implied extension of the contract for another nine months, petitioner is,
therefore, entitled to payment of the unexpired term of his implied contract. The NLRC,
however, deleted the award of medical benefits and reduced the amount of attorney's
fees.
Undaunted, respondent filed a Petition for Certiorari with the CA. The CA, in its
Decision[5] dated August 15, 2006, annulled and set aside the decision of the NLRC.
The CA ruled that there was no implied renewal of contract and the 20 days extension
was due to the fact that the ship was still at sea. Petitioner filed a motion for
reconsideration, which was denied by the CA in a Resolution[6] dated August 11, 2008.
Hence, the present petition.
The main issue in this case is whether or not there was an implied renewal of
petitioner's contract of employment with respondent.
The petition is not meritorious.
In the case at bar, although petitioner's employment contract with respondent ended on
October 25, 2000 and he disembarked only on November 14, 2000 or barely 20 days
after the expiration of his employment contract, such late disembarkation was not
without valid reason. Respondent could not have disembarked petitioner on the date of
the termination of his employment contract, because the vessel was still in the middle
of the sea. Clearly, it was impossible for petitioner to safely disembark immediately
upon the expiration of his contract, since he must disembark at a convenient port.
Thus, petitioner's stay in the vessel for another 20 days should not be interpreted as an
implied extension of his contract. A seaman need not physically disembark from a
vessel at the expiration of his employment contract to have such contract considered
terminated.[7]
It is a settled rule that seafarers are considered contractual employees. Their
employment is governed by the contracts they sign everytime they are rehired and
their employment is terminated when the contract expires. Their employment is
contractually fixed for a certain period of time.[8] Thus, when petitioner's contract
ended on October 25, 2000, his employment is deemed automatically terminated, there
being no mutually-agreed renewal or extension of the expired contract.
However, petitioner is entitled to be paid his wages after the expiration of his contract
until the vessel's arrival at a convenient port. Section 19 of the Standard Terms and
Conditions Governing the Employment of Filipino Seafarers On-Board Ocean-Going
Vessels is clear on this point:
REPATRIATION. A. If the vessel is outside the Philippines upon the expiration
of the contract, the seafarer shall continue his service on board until the
vessel'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.
elibrary.judiciary.gov.ph/thebookshelf/showdocsfriendly/1/56511
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