Title
POEA Seafarers Compensation Adjustment 1994
Law
Poea Memorandum Circular No. 05
Decision Date
Jan 19, 1994
Effective March 20, 1994, the POEA establishes new minimum compensation and benefits for seafarers, including $50,000 for death and reimbursement for personal effects lost due to marine peril, with additional provisions for war-related incidents and disability allowances.
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Compensation for Loss or Damage to Crew's Personal Effects

  • The employer must reimburse the seaman for the full amount of loss or damage to personal effects up to US$2,000 equivalent in Philippine Pesos.
  • This applies in cases of total loss due to shipwreck, loss, stranding, abandonment, fire, flooding, or collision.
  • For partial loss, compensation is subject to mutual agreement but must not exceed the US$2,000 equivalent.

Schedule of Disability Allowances

  • Disability compensation is based on a graded scale ranging from Impediment Grade 1 to 14.
  • Maximum compensation rate is US$50,000 equivalent.
  • Payment is made in Philippine Pesos at the exchange rate at the time of payment.
  • The specific percentage multipliers decrease progressively from 120% for Grade 1 to 3.74% for Grade 14.

Application and Effectivity of New Compensation Rates

  • The revised compensation and benefits apply to Filipino seafarers already onboard vessels, provided the cause of action arises after the effective date.

Minimum Standards and Improvement of Terms

  • The stated compensation and benefits represent minimum requirements set by the POEA Administration.
  • Parties may freely improve upon these minimums through written agreements.
  • Any enhancement must be documented and appended to the POEA Standard Employment Contract for processing and approval by the Administration.

Enforcement

  • The memorandum circular mandates strict compliance with the adjusted compensation rates and benefits as of March 20, 1994.

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