The maritime industry proves to be vital in economic progress, deploying a total of about 400,000 Filipino seafarers abroad. Given their sheer volume, it is quite expected for Filipino crew claims for losses in cases of work-related disability or death to arise. However, the current labor dispute settlement system is criticized for being too legalistic and adversarial in nature.
This policy paper puts forward a cost-benefit and cost-effectiveness analyses of the regulation on security of tenure with the aim to assess whether or not the regulation is more labor market restrictive than employment protective which is indicated by the ratio of total benefits gained as measure for protection on one hand over total costs incurred as measure for restriction on the other hand. Cost-benefit and cost-effectiveness analyses intend to identify and estimate the value of the costs and benefits that have the most significant implications to the policy by means of cost-benefit, cost-effectiveness and sensitivity analysis.