Allotment / remittances of Filipino seafarers

By ATTY. DENNIS GORECHO|April 30,2018 - 08:32 PM

The sea based sector’s remittance comprise at least 22% of the total dollar OFW remittances which
help spur domestic consumption in the Philippines and a key ingredient in the country’s drive to
achieve higher but sustainable growth.

Under the POEA Standard Employment Contract, the Filipino seafarer is required to make an
allotment, which shall be at least eighty percent (80%) of the seafarer’s monthly basic salary,
payable once a month to his designated allottee in the Philippines.

A common remittance problem is the issue of the “allottee”, defined as any person designated by the
seafarer as the recipient of his remittances to the Philippines.

The “allotments” do not go directly to their beneficiaries but are coursed through their manning
agencies as middlemen, who disburse in pesos the seafarer’s monthly earnings to the allottee.

The employment contract is the bilateral agreement between the seafarer and his principal, as
represented by the manning agency. Like any personal property, he can freely dispose or give to
anybody without other limitations than those provided by law.

Under this concept, a seafarer’s wife cannot force the agency to remit to her account more
than what is allowed by the seafarer.

What is required by law is to implement the required inward remittance of the workers’ salaries to the
Philippines and not to see whether or not the full amount of the remittance is received by the
dependents.

The mandatory remittance required by law does not divest the right of a seafarer over his hard
earned earnings.

Otherwise, the manning agency can be liable for breach of contract.

Nevertheless, the wife can file a civil case for support. Once granted, the court order should be given
to the manning agency and attached to each POEA contract.

This will serve as a notice that failure to comply will have legal consequence.

The agency is likewise bound to abide by said order.

On the other hand, a Filipino seafarer can be held criminally liable due to the act of abandoning his
financial obligation to persons to which he is obliged by law to support.
Popularly known as VAWC, it defined “Economic abuse” as any act that makes or attempts to make
a woman financially dependent which includes the following:

1. withdrawal of financial support or preventing the victim from engaging in any legitimate profession,
occupation, business or activity, except in cases wherein the other spouse/partner objects on valid,
serious and moral grounds as defined in

2. deprivation or threat of deprivation of financial resources

If convicted, the seafarer shall be punished by prision mayor, or imprisonment of a minimum of six
years and one day to a maximum of twelve years.

He shall also shall pay a fine of at least 100,000.00 but not more than P300,000.00. The court may
also issue a hold departure order once the case is filed.