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Philippines

Philippines: The Philippines Enacts Magna Carta for Filipino Seafarers

On 23 September 2024, Philippine President Ferdinand R. Marcos, Jr. signed into law Republic Act No. 12021 or the “Magna Carta of Filipino Seafarers” (“Magna Carta”). According to the Department of Migrant Workers, as of October 2024, a total of 488,606 Filipino seafarers have been deployed worldwide—this number makes one in four of the world’s seafarers Filipino. The Philippines, along with Russia, Indonesia, China, and India, supply most of the seafarers working on merchant ships.[1]

The Magna Carta was legislated pursuant to the state policy of protecting the rights and overall welfare of Filipino seafarers, promoting their full employment, and ensuring equal opportunities in the maritime industry regardless of sex or creed.[2] The Magna Carta covers Filipino seafarers who are engaged, employed, or who work in any capacity on board a ship or vessel plying international waters, whether Philippine-registered or foreign-registered.[3]

Notably included in the Magna Carta are provisions for dispute resolution for overseas seafarers. All covered ocean-going ships are required to have fair, effective, and expeditions onboard and onshore grievance mechanisms readily accessible, at no cost to the seafarer.[4] If no agreement or settlement is reached at the grievance machinery level, the matter shall be submitted for voluntary arbitration as provided for in the collective bargaining agreement. If there is no such collective bargaining agreement, then the parties shall first avail of the conciliation-mediation services provided under the Labour Code and its Implementing Rules and Regulations. If the matter is still not resolved thereafter, the parties have the option to submit the case either to compulsory or voluntary arbitration.[5]

In line with these, the Secretaries of the Department of Migrant Workers and the Department of Labour and Employment, together with the heads of relevant government agencies, are mandated to establish a pool of trained maritime industry conciliator-mediators, labour arbiters, and accredited maritime industry voluntary arbitrators. The Department of Migrant Workers, National Labour Relations, and the National Conciliation and Mediation Board may form a specialized maritime unit in their respective labour dispute settlement structures and issue their own rules of procedure for this purpose.[6]

It is noteworthy that the Magna Carta also provides for execution of judgments and monetary awards. The Department of Labour and Employment, National Labour Relations, and the National Conciliation and Mediation Board, in consultation with the Department of Migrant Workers’ Maritime Industry Tripartite Council, shall promulgate the rules and procedures to ensure the fair, speedy, equitable, and just disposition and execution of decisions granting monetary awards for the salaries, wages, statutory benefits, and the health and disability claims of seafarers.[7]

The same provision states that pending an appeal or judicial review, the portion of a decision granting monetary award involving salaries or wages, statutory monetary and welfare benefits, and any undisputed amount, which is admitted by a party to be legally due to the other party, shall be immediately executory.

However, for portions of the decision involving any disputed amount determined to be legally due to the seafarer and damages, including moral damages, exemplary damages, nominal damages, attorney’s fees, and other similar awards, a writ of execution shall only be issued if the seafarer posts a sufficient bond to ensure the full restitution of those amounts, and the bond shall be maintained until final resolution of the appeal or judicial review. If the seafarer ultimately prevails, then the employer shall immediately reimburse the total amount paid by the seafarer for the cost of the bond. On the other hand, if the seafarer loses, then no reimbursement shall be made.[8]

This provision in the Magna Carta is striking considering that no such obligation was placed upon the worker, in this case the seafarer, under the Philippine Labour Code. In contrast, the Magna Carta specifies that the seafarer must post a bond in order to execute on any disputed amount determined to be legally due to the seafarer and damages.

Although the Magna Carta of Filipino Seafarers recognizes and guarantees the enforcement of seafarers’ rights, it would not be without flaws if the State’s affirmation of labour as the major social economic force and its protection of workers’ rights and promotion of welfare[9] were the only measure of the effectivity of a piece of social legislation.

[1] “DMW expresses concern for Filipino seafarers, supports ITF call for safety for all seafarers,” 20 December 2023, Department of Migrant Workers website, https://dmw.gov.ph/news-releases/DMW-expresses-concern-for-Filipino-seafarers-support-ITF-call-for-safety-for-all-seafarers accessed 27 September 2024.

[2] Section 2, Republic Act No. 12021.

[3] Section 4, Republic Act No. 12021.

[4] Section 54, Republic Act No. 12021.

[5] Section 55, Republic Act No. 12021.

[6] Section 56, Republic Act No. 12021.

[7] Section 59, Republic Act No. 12021.

[8] Section 59, Republic Act No. 12021.

[9] Section 18, Article II, 1987 Constitution.