Bagong Filipinas Vs NLRC

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We hold that the shipboard employment contract is controlling in this

case. The contract provides that the beneficiaries of the seaman are
G.R. No. L-66006 February 28, 1985 entitled to P20,000 "over and above the benefits" for which the Philippine
Government is liable under Philippine law.
BAGONG FILIPINAS OVERSEAS CORPORATION and GOLDEN
STAR SHIPPING, LTD., petitioners, Hongkong law on workmen's compensation is not the applicable law. The
vs. case of Norse Management Co. vs. National Seamen Board, G. R. No.
NATIONAL LABOR RELATIONS COMMISSION, PHILIPPINE 54204, September 30, 1982, 117 SCRA 486 cannot be a precedent
OVERSEAS EMPLOYMENT ADMINISTRATION, DIRECTOR because it was expressly stipulated in the employment contract in that
PATRICIA SANTO TOMAS and PROSERFINA PANCHO respondents. case that the workmen's compensation payable to the employee should
be in accordance with Philippine Law or the Workmen's Insurance Law of
the country where the vessel is registered "whichever is greater".
Elizer A. Odulios for petitioners.
The Solicitor General opines that the employment contract should be
Pedro L. Linsangan for respondent P. Pancho.
applied. For that reason, he refused to uphold the decision of the NLRC.

WHEREFORE, the judgment of the National Labor Relations


Commission is reversed and set aside. The decision of the National
AQUINO, J.: Seamen Board dated February 26, 1981 is affirmed. No costs.

The issue in this case is whether the shipboard employment contract or SO ORDERED.
Hongkong law should govern the amount of death compensation due to
the wife of Guillermo Pancho who was employed by Golden Star
Shipping, Ltd., a Hongkong based firm.

The shipboard employment contract dated June 1, 1978 was executed in


this country between Pancho and Bagong Filipinas Overseas
Corporation, the local agent of Golden Star Shipping. It was approved by
the defunct National Seamen Board. Pancho was hired as an oiler in
the M/V Olivine for 12 months with a gross monthly wage of US $195.

In October, 1978, he had a cerebral stroke. He was rushed to the hospital


while the vessel was docked at Gothenberg, Sweden. He was repatriated
to the Philippines and confined at the San Juan de Dios Hospital. He died
on December 13, 1979.

The National Seamen Board awarded his widow, Proserfina, P20,000 as


disability compensation benefits pursuant to the above-mentioned
employment contract plus P2,000 as attorney's fees. Proserfina appealed
to the National Labor Relations Commission which awarded her $621
times 36 months or its equivalent in Philippine currency plus 10% of the
benefits as attorney's fees. Golden Star Shipping assailed that decision
by certiorari.

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