4/29/2020
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petitioner is entitled to death compensation benefits from respondents is best resolved
by the provisions of their Employment Contract which incorporated the 2000 Standard
Terms and Conditions Governing the Employment of Filipino Seafarers on Board OceanGoing Vessels.[17] Section 20 (A) of the Contract provides:
SECTION 20. COMPENSATION AND BENEFITS
A. COMPENSATION AND BENEFITS FOR DEATH
1. In the 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 twenty-one (21) but not exceeding four (4) children, at the
exchange rate prevailing during the time of payment.
x x x.
Clearly, to be entitled for death compensation benefits from the employer, the death of
the seafarer (1) must be work-related; and (2) must happen during the term of the
employment contract. Under the Amended POEA Contract, work-relatedness is now an
important requirement. The qualification that death must be work-related has made it
necessary to show a causal connection between a seafarer’s work and his death to be
compensable.
Under the 2000 POEA Amended Employment Contract, work-related injury is defined as
an injury(ies) resulting in disability or death arising out of and in the course of
employment. Thus, there is a need to show that the injury resulting to disability or
death must arise (1) out of employment, and (2) in the course of employment.
In Iloilo Dock & Engineering Co. v. Workmen's Compensation Commission,[18] we
explained the phrase "arising out of and in the course of employment" in this wise:
x x x The two components of the coverage formula — "arising out of" and
"in the course of employment" — are said to be separate tests which must
be independently satisfied; however, it should not be forgotten that the
basic concept of compensation coverage is unitary, not dual, and is best
expressed in the word, "work-connection,” because an uncompromising
insistence on an independent application of each of the two portions of the
test can, in certain cases, exclude clearly work-connected injuries. The
words "arising out of" refer to the origin or cause of the accident, and are
descriptive of its character, while the words "in the course of" refer to the
time, place and circumstances under which the accident takes place.
As a matter of general proposition, an injury or accident is said to arise "in
the course of employment" when it takes place within the period of the
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