The Supreme Court ruled that the heirs of a deceased seafarer, Antonio O. Beato, were not entitled to death benefits because they failed to prove that his pancreatic cancer was work-related. The Court emphasized that while illnesses not listed in the POEA-SEC are disputably presumed as work-related, the seafarer must still provide substantial evidence linking the illness to his work. This decision highlights the importance of complying with procedural requirements and providing concrete evidence to support claims for seafarer’s benefits under Philippine law.

From the High Seas to the Hospital Bed: Is Pancreatic Cancer a Work-Related Risk for Seafarers?

Antonio O. Beato, an Able Seaman employed by Marlow Navigation, began experiencing severe abdominal pain, back ache, chest pain, and coughs while serving on the MV Geest Trader. After being repatriated to the Philippines, he was initially diagnosed with hypertension and upper respiratory tract infection by the company-designated physician. However, upon seeking additional medical attention, he was diagnosed with pancreatic cancer and eventually passed away. His heirs filed a claim for death benefits, arguing that his cancer was a work-related illness. The Labor Arbiter and the National Labor Relations Commission (NLRC) dismissed the claim, but the Court of Appeals (CA) reversed their decisions, granting the death benefits. The Supreme Court then reviewed the case to determine whether Antonio’s death was indeed compensable under existing laws and regulations.

The Supreme Court began by emphasizing that while it generally reviews only questions of law, an exception exists when the factual findings of the CA and labor tribunals are contradictory. Because of the conflicting findings regarding Antonio’s medical condition and its relation to his employment, the Court found it necessary to re-evaluate the case records.

The Court then outlined the legal framework governing seafarer’s disability claims. The entitlement to benefits is determined by the Labor Code, implementing rules, the employment contract, and the Philippine Overseas Employment Administration-Standard Employment Contract (POEA-SEC). Furthermore, the medical findings of the company-designated physician, the seafarer’s personal physician, and a mutually agreed-upon third physician play a crucial role in determining the extent and nature of the disability.

In this case, Antonio’s employment was governed by the 2010 POEA-SEC, which specifies the conditions under which a seafarer is entitled to compensation and benefits for work-related injuries or illnesses. Section 20-A of the POEA-SEC stipulates that if a seafarer requires medical attention after repatriation due to a work-related injury or illness, the employer is responsible for covering the costs until the seafarer is declared fit or the degree of disability is established by the company-designated physician. The seafarer must submit to a post-employment medical examination within three working days of their return, and regularly report to the company-designated physician. Failure to comply with these requirements may result in forfeiture of benefits.

In this case, the Court emphasized the importance of following the procedures outlined in Section 20-A(3) of the POEA-SEC. Antonio was repatriated on December 1, 2012, and consulted with Dr. Hosaka, the company-designated physician, who diagnosed him with hypertension secondary to an upper respiratory tract infection. He was asked to return for a follow-up appointment on January 8, 2013, but failed to do so, nor did he notify Marlow or Dr. Hosaka that he had returned to Aklan. The Court stated that all Antonio or his family had to do was provide written notification of his hospitalization or physical incapacity to report back to the company-designated physician, but they did not. Therefore, the heirs failed to comply with the procedures.

Furthermore, paragraph 4 of Section 20-A indicates that if a seafarer’s personal physician disagrees with the company-designated physician’s assessment, a third doctor may be jointly appointed, and their decision will be final and binding. Antonio consulted another physician in Aklan who diagnosed him with functional dyspepsia and later with pancreatic cancer. Dr. Hosaka claimed that Antonio never mentioned any symptoms related to pancreatic cancer, which he would have reported to Marlow if he had. The Court emphasized that it is the employee’s responsibility to seek a third opinion, and failure to do so makes the company-designated physician’s assessment binding. As the Supreme Court pointed out,

The referral to a third doctor has been recognized by this Court to be a mandatory procedure. Failure to comply therewith is considered a breach of the POEA­-SEC, and renders the assessment by the company-designated physician binding on the parties.

Building on this procedural misstep, the Supreme Court also addressed the nature of Antonio’s illness. The Court highlighted that under Section 32-A of the POEA-SEC, not all illnesses are considered occupational diseases. In fact, only two types of cancer are listed as compensable occupational diseases: cancer of the epithelial of the bladder and epitheliomatous or ulceration of the skin of the corneal surface of the eye, neither of which applied to Antonio’s condition.

Though the CA granted Antonio the benefit of the presumption of work-relatedness, the Supreme Court disagreed. For a disease not included in the list of compensable illnesses to be compensable, the seafarer must still establish through substantial evidence that the illness is indeed work-related. The disputable presumption does not automatically grant compensation. Antonio failed to prove that his illness was compensable because he did not satisfy the conditions under Section 32-A of the POEA-SEC.

The conditions in Section 32-A require that the seafarer’s work must involve the described risks, the disease was contracted as a result of exposure to these risks, the disease was contracted within a specific period of exposure, and there was no notorious negligence on the part of the seafarer. In this case, Antonio’s heirs did not specify his duties as an Able Seaman, nor did they show that his tasks caused or aggravated his pancreatic cancer. They did not identify specific substances or chemicals he was exposed to or measures that Marlow failed to take to control hazards. His heirs presented only general allegations that his exposure to chemicals and varying temperatures, coupled with stressful tasks, aggravated his medical condition. The Court has previously ruled that such general statements are insufficient to establish the probability of work-relatedness required for disability compensation.

Furthermore, the Supreme Court referenced the case of Status Maritime Corp. v. Spouses Delalamon, noting that bare allegations do not suffice to discharge the required quantum of proof of compensability, and that awards of compensation cannot rest on speculations or presumptions. The beneficiaries must present evidence to prove a positive proposition.

The heirs presented studies by the Centre for Occupational and Health Psychology at Cardiff University and the International Labor Organization (ILO) to correlate Antonio’s symptoms with his cause of death and to show that stress on board vessels can cause illness. The Supreme Court determined that these studies were insufficient proof since they were generalizations that infer mere possibilities but not the probability required for compensation. The studies made general statements about hazards typically associated with the duties of a seafarer, but the specific risks depend on the specific duties performed.

In addition, the NLRC noted that the heirs presented no evidence to establish the symptoms Antonio complained of or that led to the disease he contracted as a result of his work. As for the illness hypertension, which was also listed as a cause of death, the NLRC pointed out that,

In the given case, however, not a single medical certificate or laboratory report was presented by the complainants, thus, they failed to comply with the mandatory requirements provided under the afore-stated Sec. 32 of the POEA SEC.

In summary, the Supreme Court held that Antonio’s pancreatic cancer was not work-related and therefore not compensable because he and his heirs failed to prove its work-relatedness through substantial evidence and compliance with legal parameters for disability and death benefits claims. While the Court construes the POEA-SEC liberally in favor of seafarers, it cannot allow compensation claims based on surmises. Liberal construction is never a license to disregard evidence or misapply the law.

FAQs

What was the key issue in this case?	The key issue was whether the death of the seafarer, Antonio O. Beato, due to pancreatic cancer was compensable as a work-related illness under the POEA-SEC.
What is the POEA-SEC?	The Philippine Overseas Employment Administration-Standard Employment Contract (POEA-SEC) is a standard employment contract that governs the terms and conditions of employment for Filipino seafarers. It outlines the compensation and benefits for work-related injuries or illnesses.
What does the company-designated physician do?	The company-designated physician is a doctor appointed by the employer to assess the seafarer’s medical condition. Their assessment is crucial in determining the extent and nature of any disability and whether it is work-related.
What is the significance of Section 20-A of the POEA-SEC?	Section 20-A of the POEA-SEC outlines the employer’s liabilities when a seafarer suffers a work-related injury or illness. It specifies the procedures for medical examinations and the provision of medical care, as well as the conditions for claiming compensation and benefits.
What is the meaning of work-related illness?	A work-related illness is an illness that is caused or aggravated by the seafarer’s working conditions on board the vessel. To be compensable, there must be a reasonable connection between the seafarer’s work and the illness.
What is the role of the third doctor in disability claims?	If the seafarer’s personal physician disagrees with the company-designated physician’s assessment, a third doctor may be jointly appointed. The third doctor’s decision is considered final and binding on both parties.
What are the requirements for claiming death benefits?	To claim death benefits, the heirs of the deceased seafarer must prove that the seafarer’s death was due to a work-related illness or injury. They must also comply with the procedural requirements of the POEA-SEC, such as submitting medical reports and undergoing medical examinations.
What happens if a seafarer fails to comply with the POEA-SEC procedures?	Failure to comply with the mandatory reporting requirements and medical examination procedures under the POEA-SEC may result in the forfeiture of the seafarer’s right to claim benefits.
What kind of evidence is needed to prove work-relatedness?	Substantial evidence is required to prove that an illness is work-related. This may include medical records, laboratory reports, and expert opinions that establish a causal link between the seafarer’s work and the illness.

This case underscores the importance of meticulous compliance with the procedural requirements and evidentiary standards set forth in the POEA-SEC when claiming seafarer’s benefits. It serves as a reminder that while the law is construed liberally in favor of seafarers, claims must still be supported by substantial evidence and adherence to established procedures to warrant compensation.

For inquiries regarding the application of this ruling to specific circumstances, please contact ASG Law through contact or via email at frontdesk@asglawpartners.com.

Disclaimer: This analysis is provided for informational purposes only and does not constitute legal advice. For specific legal guidance tailored to your situation, please consult with a qualified attorney.
Source: MARLOW NAVIGATION PHILS. VS. HEIRS OF THE LATE ANTONIO O. BEATO, G.R. No. 233897, March 09, 2022