The Philippine Department of Migrant Workers (DMW) has adopted a new standard contract for Filipino seafarers. This Standard Employment Contract (DMW-SEC) replaces the POEA contract that has been in use since 2010, and aligns with the recent Magna Carta of Filipino Seafarers (see also our article on the Magna Carta) and its associated regulations.
Important: this new contract takes effect on 3 July 2026 and applies to all Filipino seafarers. Seafarers who are currently serving on board under a POEA 2010 contract will also fall under the new DMW-SEC as of 3 July.
This new contract introduces several changes that may affect shipowners and claims handling, particularly regarding maximum compensation, medical care, repatriation and disputes. For the full details of this new DMW-SEC, we refer to the enclosed circular, “DMW Department Circular No. 07, Series of 2026.”
Below is an overview of the main changes:
- Disability compensation increases by 10%;
- Expansion of the list of occupational diseases;
- Formalisation of the second-opinion procedure;
- New definition of “abandonment”;
- Expansion of beneficiaries: in the event of death, in addition to children under 21, children above that age may also be eligible, provided they are unable to support themselves due to physical or mental impairment;
- Expansion of employer obligations, including in the areas of information provision, communication with family, financial security, and protocols against harassment and discrimination on board;
- CBA arbitration: disputes under the employment contract must now explicitly be handled through the established arbitration procedure.
Compared with the POEA contract, it is clear that this new DMW-SEC further strengthens the position of Filipino seafarers, while at the same time increasing employer obligations in several areas. Members and assureds with Filipino crew on board are therefore advised to review existing procedures on these points and adjust them where necessary.
