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21, 2013, which revised the interest rate for loan or forbearance
from 12% to 6% in the absence of stipulation, applies in this case.
On the interest rate, the Bangko Sentral ng Pilipinas Circular
No. 799 of
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June 21, 2013, which revised the interest rate for loan or
forbearance from 12% to 6% in the absence of stipulation, applies
in this case. The pertinent portions of Circular No. 799, Series of
2013, read: The Monetary Board, in its Resolution No. 796 dated
16 May 2013, approved the following revisions governing the rate
of interest in the absence of stipulation in loan contracts, thereby
amending Section 2 of Circular No. 905, Series of 1982: Section
1. The rate of interest for the loan or forbearance of any money,
goods or credits and the rate allowed in judgments, in the absence
of an express contract as to such rate of interest, shall be six
percent (6%) per annum. Section 2. In view of the above,
Subsection X305.1 of the Manual of Regulations for Banks and
Sections 4305Q.1, 4305S.3 and 4303P.1 of the Manual of
Regulations for NonBank Financial Institutions are hereby
amended accordingly. This Circular shall take effect on 1 July
2013.
Same Same Loans Circular No. 799 is applicable only in
loans and forbearance of money, goods, or credits, and in
judgments when there is no stipulation on the applicable interest
rate Circular No. 799 is not applicable when there is a law that
states otherwise.Circular No. 799 is applicable only in loans and
forbearance of money, goods, or credits, and in judgments when
there is no stipulation on the applicable interest rate. Further, it
is only applicable if the judgment did not become final and
executory before July 1, 2013. We add that Circular No. 799 is not
applicable when there is a law that states otherwise. While the
Bangko Sentral ng Pilipinas has the power to set or limit interest
rates, these interest rates do not apply when the law provides
that a different interest rate shall be applied. [A] Central Bank
Circular cannot repeal a law. Only a law can repeal another law.
Same Same Labor Law Placement Fees There is an implied
stipulation in contracts between the placement agency and the
overseas worker that in case the overseas worker is adjudged as
entitled to reimbursement of his or her placement fees, the amount
shall be subject to a 12% interest per annum. This implied
stipulation has the effect of removing awards for reimbursement of
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that tend to violate labor law. Lest they risk their reputation or
finances, local agencies must already have mechanisms for
guarding against unscrupulous foreign employers even at the
level prior to overseas employment applications.
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LEONEN, J.:
This case involves an overseas Filipino worker with
shattered dreams. It is our duty, given the facts and the
law, to approximate justice for her.
We are asked to decide a petition for review1 on
certiorari assailing the Court of Appeals decision2 dated
June 27, 2005. This decision partially affirmed the
National Labor Relations Commissions resolution dated
March 31, 2004,3 declaring respondents dismissal illegal,
directing petitioner to pay respondents threemonth salary
equivalent to New Taiwan Dollar (NT$) 46,080.00, and
ordering it to reimburse the NT$3,000.00 withheld from
respondent, and pay her NT$300.00 attorneys fees.4
Petitioner, Sameer Overseas Placement Agency, Inc., is
a recruitment and placement agency.5 Responding to an ad
it published, respondent, Joy C. Cabiles, submitted her
application for a quality control job in Taiwan.6
Joys application was accepted.7 Joy was later asked to
sign a oneyear employment contract for a monthly salary
of NT$15,360.00.8 She alleged that Sameer Overseas
Agency required her to pay a placement fee of P70,000.00
when she signed the employment contract.9
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11Id., at pp. 67 and 195196.
12Id., at p. 36.
13Id.
14Id.
15Id., at p. 127.
16Id.
17Id., at p. 53.
18Id.
19Id., at pp. 33, 53 and 54.
20Id.
21Id., at p. 11.
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24Id., at p. 57.
25Id.
26Id., at p. 107.
27Id.
28Id.
29Id., at p. 108.
30Id.
31Id., at pp. 101112.
32Id., at pp. 108110.
33Id., at p. 110.
34Id., at pp. 111112.
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38Id., at p. 131.
39Id., at p. 129.
40Id.
41Id.
42Id., at p. 130.
43Id.
44Id., at p. 131.
45Id.
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56Id.
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the forum will not enforce any foreign claim obnoxious to the
forums public policy. Here in the Philippines, employment
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75 Skippers United Pacific, Inc. v. Doza, et al., G.R. No. 175558,
February 8, 2012, 665 SCRA 412, 426 [Per J. Carpio, Second Division].
76Id.
77Id.
78Id.
79Id.
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this section shall be paid within four (4) months from the
approval of the settlement by the appropriate authority.
In case of termination of overseas employment without just, valid
or authorized cause as defined by law or contract, the workers
shall be entitled to the full reimbursement of his placement fee
with interest of twelve (12%) per annum, plus his salaries for the
unexpired portion of his employment contract or for three (3)
months for every year of the unexpired term, whichever is less.
....
(Emphasis supplied)
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87Const., Art. VIII, Sec. 5(5).
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portions of their contracts.
The adoption
of the
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one year: those who are illegally dismissed with less than
one year left in their contracts shall be entitled to their
salaries for the entire unexpired portion thereof, while
those who are illegally dismissed with one year or more
remaining in their contracts shall be covered by the
reinstated clause, and their monetary benefits limited to
their salaries for three months only.118
We do not need strict scrutiny to conclude that these
classifications do not rest on any real or substantial
distinctions that would justify different treatments in
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V
Many times, this court has spoken on what Filipinos
may encounter as they travel into the farthest and most
difficult reaches of our planet to provide for their families.
In Prieto v. NLRC:141
The Court is not unaware of the many abuses suffered by our
overseas workers in the foreign land where they have ventured,
usually with heavy hearts, in pursuit of a more fulfilling future.
Breach of contract, maltreatment, rape, insufficient nourishment,
subhuman lodgings, insults and other forms of debasement, are
only a few of the inhumane acts to which they are subjected by
their foreign employers, who probably feel they can do as they
please in their own country. While these workers may indeed
have relatively little defense against exploitation while they are
abroad, that disadvantage must not continue to burden them
when they return to their own territory to voice their muted
complaint. There is no reason why, in their very own land, the
protection of our own laws cannot be extended to them in full
measure for the redress of their grievances.142
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up and, being so, they remember what their work has cost
them. Twitter accounts, Facetime, and many other gadgets
and online applications will never substitute for their lost
physical presence.
Unknown to them, they keep our economy afloat
through the ebb and flow of political and economic crises.
They are our true diplomats, they who show the world the
resilience, patience, and creativity of our people. Indeed, we
are a people who contribute much to the provision of
material creations of this world.
This government loses its soul if we fail to ensure decent
treatment for all Filipinos. We default by limiting the
contractual wages that should be paid to our workers when
their contracts are breached by the foreign employers.
While we sit, this court will ensure that our laws will
reward our overseas workers with what they deserve: their
dignity.
Inevitably, their dignity is ours as well.
WHEREFORE, the petition is DENIED. The decision
of the Court of Appeals is AFFIRMED with modification.
Petitioner Sameer Overseas Placement Agency is
ORDERED to pay respondent Joy C. Cabiles the amount
equivalent to her salary for the unexpired portion of her
employment contract at an interest of 6% per annum from
the finality of this judgment. Petitioner is also ORDERED
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recruitment
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13 Supra note 3 at p. 316 p. 315.
14 Id.
15 Id.
16 Id. at p. 317 p. 317.
17 Id.
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