Grounds for Compensation
- Compensation due for personal injury or illness contracted during employment.
- Employer liable to pay compensation to injured employee or dependents.
Exclusions from Compensation
- Injuries caused by employee's voluntary intent to self-harm or harm others.
- Incidents resulting from employee's drunkenness.
- Injuries due to employee's gross negligence.
Exclusivity of Compensation Rights
- Compensation under this Act excludes other legal remedies against employer for same injury.
- Special provisions for employees contracted outside the Philippines.
Liability of Third Parties
- Injured employee may claim compensation from employer or sue third party.
- Employer who pays compensation can recover from third party.
- Compensation amount not admissible as evidence in damage suits.
Contracts Exempting Employer Liability
- Contracts exempting employer from liability under this Act are void.
Death Benefits and Prioritization of Dependents
- Compensation is payable upon death within six months of injury.
- Burial expenses up to 100 pesos if no dependents.
- Compensation shares defined among widow/widower, children, parents, grandparents, grandchildren, siblings.
- Bureau of Labor or courts resolve disputes among claimants.
- Special provisions for minors without guardians.
Definition of Dependents
- Dependents include minor/unmarried children, dependent widow/widower, dependent parents or grandparents, and dependent grandchildren or siblings under 18 or incapable of self-support.
- Foreign dependents must be Philippine residents; loss of benefits upon leaving Philippines.
Duration of Compensation Payments
- Widow receives compensation until death, remarriage, or maximum 208 weeks.
- Widower compensated during incapacity, max 208 weeks.
- Children compensated until age 18 or incapacity, max 208 weeks.
- Parents, grandparents, siblings compensated during dependency but not beyond 208 weeks.
Interpretation of Family Terms
- "Children" includes stepchildren, adopted, illegitimate acknowledged before injury; excludes married unless dependent.
- "Brother"/"Sister" includes half and step siblings; excludes married unless dependent.
- "Grandchildren" includes children of adopted or stepchildren; excludes married unless dependent.
- "Parents" includes stepparents and adoptive parents.
Computation and Limits on Compensation Amounts
- Weekly wages capped between 4 and 30 pesos for death benefits.
- Total compensation not to exceed 3,000 pesos.
- Payments to second priority dependents protect employer from further claims unless notified.
- Disability periods deducted from compensation time limits.
Medical Attendance and Employer Liability
- Employer must provide medical/surgical/hospital care promptly.
- Employer liable for costs at community standard rates.
- Employee may seek own care if employer fails to provide.
- Employee who refuses care may waive related rights.
Total Disability Compensation
- Weekly compensation 60% of average weekly wages, with minimum 4 pesos and maximum 18 pesos.
- No payment for first 7 days; payments not exceeding 208 weeks or 3,000 pesos.
- Permanent total disability defined by specific severe injuries.
Partial Disability Compensation
- Weekly payment 50% of wage difference between pre-accident and post-accident earning capacity, capped at 10 pesos.
- 208-week maximum payment period.
- Permanent partial disability compensation paid per defined schedule for loss or impairment of specific body parts.
Amputation and Disfigurement Compensation
- Amputation classified as loss of corresponding limb depending on site.
- Serious disfigurement compensation up to 3,000 pesos.
- Partial disability related to disfigurement subject to reassessment.
Wage Computation Methodology
- Based on average weekly earnings during 12 weeks before injury.
- Alternative computations if employment too short or ceased.
Voluntary Payments
- Payments voluntarily made before due can offset compensation, reducing duration but not weekly rate.
Mode of Payment
- Compensation may be paid weekly, monthly, semi-monthly, or lump sum.
- Lump sum payments require notarized or public instrument with witnesses and proper advisories.
Medical Examination of Injured Employees
- Injured employee must submit to employer-designated medical examination.
- Employee may have own doctor present.
- Refusal or obstruction suspends compensation rights.
Notice and Claim Procedures
- Employer must receive written notice as soon as possible; claim must be made within 2 months of injury or 3 months of death.
- Notice must include employee details and injury info; may be included with claim.
- Notice served personally or by registered mail to employer or agent.
- Notice deficiencies excused if employer had actual knowledge or was not prejudiced.
- Time limits do not apply to minors or mentally incapacitated without guardians.
Agreements on Compensation
- Agreements must be notarized or public instruments acknowledged before officials, with full explanation and attestations.
- Employer released from liability upon payment under such agreements, subject to third party recovery rights.
Insurance and Premiums
- Employers may insure compensation liabilities.
- Premiums must be fully paid by employer; wage deductions prohibited.
Role of the Bureau of Labor
- Bureau acts as mediator in claims and disagreements.
- May refer unresolved cases to courts.
- May require provincial fiscals to represent claimants except in cases against government.
Priority of Compensation Actions in Courts
- Compensation cases prioritized over other civil cases except certain proceedings.
- Timely replies required from defendants.
Application to Injuries Outside Philippines
- Injuries occurring outside Philippines during employment are covered.
- Foreign-contracted laborers compensated per foreign laws but may claim here if rights determinable.
Priority of Compensation Claims
- Compensation claims have priority over other employer debts similar to unpaid wages.
Assignment and Exemption of Compensation Claims
- Claims are non-transferable and exempt from creditor claims.
Cooperation with Provincial Fiscal Authorities
- Director of Labor may seek assistance from provincial fiscals to enforce compliance.
Employer's Record-Keeping and Reporting Duties
- Employers must record all employee injuries and notify Bureau of Labor promptly.
- Notice must include detailed injury and worker info.
- Penalty for failure to notify up to 25 pesos per offense.
- Statement of total compensation and medical payments required within 60 days after disability ends.
Coverage of Inter-island and Foreign Trade
- Act covers liabilities of employers in inter-island trade and permissible foreign trade under relevant laws.
Definitions within the Act
- Detailed definitions for employer, laborer/employee, injury, industrial and public employment, partial disability, wages, gender and number terms.
Penalties for False Claims
- False statements to obtain benefits punishable by fine up to 200 pesos and possible imprisonment.
Governing Act for Small Industries
- Claims in trades with less than 40,000 pesos gross income governed by separate legislation.
Repeal and Effective Date
- Repeals incompatible laws.
- Effective six months after approval date (December 10, 1927).