Phil-Singapore Transport Services Inc vs NLRC : 95449 : August 18, ...
http://sc.judiciary.gov.ph/jurisprudence/1997/aug1997/95449.htm
offshoot of his justified refusal to obey the order of the charterer to tow another of its vessel. He
explained that during the voyage from Singapore to Bombay, in the course of maneuvering the
charterers barge, specifically alongside jetties, quays and in navigational channels, all the ropes
on board the Sea Carrier I suffered extreme wear and tear, that when the charterer ordered him
to tow its barge, he refused to do so since the ropes were worn out and inadequate to maneuver
a barge in close water situation and, in his professional opinion, damage would result from using
inadequate ropes. This shortage of ropes was made known to Mr. Bala of Essar Shipping, who
was asked by the private respondent to supply additional mooring ropes. According to the
private respondent, the relationship between him and the charterer degenerated rapidly following
this particular incident.
On June 7, 1989, the POEA Adjudication Department ruled in favor of the private
respondent by holding that his dismissal from service was illegal, the dispositive portion of its
decision states:
WHEREFORE, in view of all the foregoing circumstances, judgment is hereby rendered ordering
respondent Philippine-Singapore Transport Services, its principal Intra Oil Supplies SBN BND and
Fortune Life and General Insurance Co., Inc. (PSTSIs surety) to pay complainant (Estrada) jointly and
severally the sum of THIRTEEN THOUSAND FIVE HUNDRED THIRTY MALAYSIAN DOLLARS
(M$13,530.00) or its peso equivalent at the time of payment (representing Estradas salaries covering the
unexpired portion of his contract of employment) plus the sum of TEN THOUSAND PESOS
(P10,000.00) as refund of airplane expenses.[1]
Dissatisfied, PSTS appealed to the NLRC on July 12, 1989. The NLRC, however, through its
questioned Resolution dated August 17, 1990,[2] held that the charge of private respondents
incompetency was unmeritorious. The real reason for private respondents repatriation was not
due to his incompetence but due to his refusal to tow another barge belonging to the charterer
and which refusal had been shown to be justified and fully explained by the private respondent.
Thus, the NLRC affirmed the decision of the POEA and dismissed the appeal of petitioner for
lack of merit.
A motion for reconsideration dated September 14, 1990 was filed by petitioner, but the same
was denied in a Resolution dated September 25, 1990.[3]
Hence, this petition.[4]
Petitioner argued that the private respondents inability to foresee and anticipate the quantity
of ropes to be used during the voyage could only be attributed to his incompetency. As master of
the vessel, he was required to see to it that the ship was fitted with all the things necessary for
its smooth operation. The fact that the shortage of ropes was made known by private respondent
to Mr. Bala did not cure his incompetency. The request for fresh ropes should have been
directed to his principal, and not to a third person (Mr. Bala) who was not even connected with
the petitioner nor with its principal.
Petitioner likewise asserted that in defying the charterers request to tow its barge, the private
respondent failed to comply with his duty to maintain good relationship and cooperate with the
charterer as laid down on his employment contract, an incident which led to the off-hiring of Sea
Carrier I and the consequent cancellation of the charter agreement. And the cancellation of the
charter agreement carried with it the dismissal from service of private respondent because he
was a project employee whose employment was coterminous with the charter of Sea Carrier I. It
could not therefore be said that the dismissal was not valid.
As to the procedural aspect of private respondents dismissal, petitioner alleged that his
termination was done pursuant to the terms of the employment contract, hence, with due regard
to due process of law.
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