Seafarer's non-deployment due to replacement is a breach of contract.

Failure to deploy a seafarer due to replacement by another seafarer is considered a breach of contract entitling him to damages.

The Supreme Court awarded the seafarer his nine months' worth of salary in the case of Abosta Ship Management, v. Wilhilm Hilario (GR 195792, November 24, 2014) when the employer unjustifiably failed to deploy the seafarer in accordance with the POEA-approved contract of employment.

The foreign principal had already chosen the seafarer from among the other candidates as bosun. The manning agency then entered into an employment contract and hired the seafarer. Subsequent communications, though, show that the foreign principal approved a different candidate for the position of bosun.

The case revolved on the issue of whether such breach would entitle the seafarer to the payment of actual damages for the failure of the employer to comply with the latter's obligations in accordance with the employment contract.

The manning agency argued that the seafarer's non-deployment was due to the foreign principal's management prerogative to promote an able seaman. It added that this exercise of management prerogative is a valid and justifiable reason that would negate any liability for damages.

The Supreme Court, however, noted that there was a violation of the contract at the time that the foreign principal decided to promote another person.

The vacancy for the position of bosun ceased to exist upon the execution of the contract between the employer and seafarer that was subsequently approved by the POEA. There was no longer a vacancy when the foreign principal changed its mind, since the position of bosun had already been filled up by the seafarer.

The contract was already perfected on the date of its execution, which occurred when the employer and seafarer agreed on the object and the cause, as well as on the rest of the terms and conditions therein.

Contemporaneous with the perfection of the employment contract was the birth of certain rights and obligations, a breach of which may give rise to a cause of action against the erring party.

The POEA contract must also be recognized and respected since neither the manning agent nor the employer can simply prevent a seafarer from being deployed without a valid reason.

The promotion and choice of personnel is indeed an exercise of management prerogative so long as they are exercised in good faith for the advancement of the employer's interest, and not for the purpose of defeating...