Frances Claire R. Caceres Case No.

15
Labor I - Block A

EASTERN SHIPPING LINES vs. POEA

166 SCRA 523

FACTS:

Vitaliano Saco was killed in an accident in Tokyo, Japan on March 1985 who was then
serving as Chief Officer of the M/V Eastern Polaris. His widow sued for damages under
Executive Order No. 797 and Memorandum Circular No. 2 of the POEA.

The petitioner, as owner of the vessel, argued that the complaint was not cognizable by
POEA but by the SSS, therefore, the complaint should be field against the State Fund Insurance.
Nevertheless, the POEA assumed jurisdiction and ruled in favor of the complainant.

ISSUE:

Does the POEA have jurisdiction over the case?

RULING:

Yes. The POEA was created under Executive Order No. 797 which replaced the National
Seamen Board created under Article 20 of the Labor Code of the Philippines. The POEA is
vested with original and exclusive jurisdiction over the case, including the money claims,
involving employee-employer relations arising out of or by virtue of any law or contract
involving Filipino contract workers, including seamen. These cases include claims for death,
disability and other benefits under Section 4(a) of said Executive Order.

Furthermore, the circular prescribed a standard contract to be adopted by both foreign and
domestic shipping companies in the hiring of Filipino seamen for overseas employment.