Philippines ‘120-day rule’ on disability overturned
THE Philippines Supreme Court has overturned a controversial ruling that Filipino seafarerswould be classed as totally disabled after 120 consecutive days of medical treatment, writes Marcus Hand in Hong Kong.
The country’s manning industry won its appeal against the so-called ‘120-day ruling’ which would have applied to seafarers employed on Philippines Employment Administration contracts.
Under the contract, a seafarer classed as 100% disabled would receive a compensation payout of $60,000.
The Filipino Association of Mariners Employment joined with other industry bodies to appeal against a judgment in the Crystal Shipping case last year where a seafarer who had been treated for illness for more than 120 days was automatically ruled fully disabled,
Reversing the earlier ruling, a resolution from the Philippines Supreme Court said: ‘Admittedly, POEA Memorandum Circular No 55, Series of 1996, does not measure disability in terms of number of days but by gradings only.’
The decision means that seafarer disability will be assessed on the basis of the grading from a doctor, not the length of time a person has been unable to work.
‘While a reading of the decision does not fully address the issue, there is now room to argue that disability cannot be measured in terms of the number of days in which the seafarer is ill or injured or is unable to work but in the disability grading given by a doctor using the POEA Schedule of Disability Allowances,’ said Ruben Del Rosario, managing director ofDel Rosario Pandiphil, in a circular to clients.
Del Rosario Pandiphil is appealing against a second case involving a seafarer named Remigio employed by manning agent CF Sharp.
‘We now await the court’s decision in the Remigio case,’ Mr Del Rosario said.
‘The Crystal Shipping resolution is but a first step in the right direction and hopefully the court would fully address the ‘120-day issue’ in the Remigio case.’
The cases had caused particular concern in the Philippines manning industry as they were being used a precedent in other disability cases and appeals by seafarers against earlier rulings.
Del Rosario Pandiphil is now encouraging owners and manning agents to appeal against all other similar rulings.
‘Our firm will be filing supplemental pleadings in all appealed decisions where the ‘120-day issue’ was used to render an adverse decision,’ Mr Del Rosario said.
‘Similar pleadings will also be filed in ongoing cases where the opposing counsel has used as argument the previous Crystal Shipping decision.
‘We strongly suggest that manning agents and principals should instruct their lawyers to follow the same course of action.’
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