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Seafarer’s Work-Related Injuries and Employer Liability

Seafarer’s Work-Related Injuries and Employer Liability

In Loue B. Mutia v. C.F. Sharp Crew MG., Inc., G.R. No. 242928, June 27, 2002, the Supreme Court held that the seafarers’ entitlement to disability benefits is governed by the medical findings, law, and contract. The POEA-SEC and the Collective Bargaining Agreement (CBA) bind the seafarers and their employers by contract.

Alburo Law
February 27, 2026

In Loue B. Mutia v. C.F. Sharp Crew MG., Inc., G.R. No. 242928, June 27, 2002, the Supreme Court held that the seafarers’ entitlement to disability benefits is governed by the medical findings, law, and contract. The POEA-SEC and the Collective Bargaining Agreement (CBA) bind the seafarers and their employers by contract.

The Supreme Court Decides: The workers were entitled to the same rights and benefits as regular employees of the employer.

The Court ruled that the workers were entitled to the same rights and benefits as regular employees of the employer. The decision was grounded in Articles 106 to 109 of the Labor Code, which prohibit labor-only contracting when the contractor lacks substantial capital and the workers are engaged in the employer’s core activities. Such arrangements violate labor laws and compromise workers’ rights.

The Supreme Court Decides: The decision that the workers were entitled to the same rights and benefits as regular employees of the employer was grounded in Articles 106 to 109 of the Labor Code, which prohibit labor-only contracting when the contractor lacks substantial capital and the workers are engaged in the employer’s core activities.

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