Filipino workers rally for higher minimum wages at Welcome Rotonda, Manila
Image: Philippine News Agency (Partido Manggagawa rally for higher wages at Welcome Rotonda, Manila, photo by Jess M. Escaros Jr, public domain).

Two firms blocked your P85 wage hike, then banked billions in road contracts

Two firms fought the P85 Metro Manila wage hike while banking billions in DPWH deals. Here is who they are. #WageHike #MinimumWage #Labor #Philippines


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The two construction companies behind the court order that froze Metro Manila’s P85 minimum wage hike have themselves banked billions of pesos in government road contracts. A new Rappler investigation names exactly who is fighting the raise, and how much those firms have profited from the Department of Public Works and Highways (DPWH) along the way.

Who are the two companies

According to Rappler’s analysis of DPWH contracts, Readycon Trading and Construction Corporation cornered P9.07 billion worth of contracts from 2016 to 2026. R-II Builders secured P3.3 billion in DPWH deals from 2019 to 2022, including a joint venture with Arconic Inc. worth P503.3 million.

Company DPWH contracts Period
Readycon Trading and Construction P9.07 billion 2016 to 2026
R-II Builders P3.3 billion 2019 to 2022

How the P85 raise got frozen

Following the two companies’ petition, Pasig Regional Trial Court Branch 152 issued a temporary restraining order against the regional wage board and the National Wages and Productivity Commission. The firms argued the sudden increase would disrupt projects priced before the wage order was issued, with Readycon estimating an immediate additional payroll expense of around P409,257.

The first P60 tranche of the raise had already taken effect on July 25, lifting the daily minimum wage for non-agricultural workers from P695 to P755. An additional P25 was scheduled for January 20, 2027, which would have brought the rate up to P780.

What it means for workers

Because of the hold, minimum wage earners in Metro Manila have effectively been deprived of P1,560 each, according to Federation of Free Workers President Sonny Matula. Labor groups have also questioned the legality of the move, citing Article 126 of the Labor Code, which bars courts from issuing a TRO against proceedings before the Commission or the Regional Boards.

For a worker trying to stretch a monthly take-home pay against rising costs of basic goods, the frozen raise is a direct hit on already thin margins.

The companies’ track records

DPWH Secretary Vince Dizon has called Readycon the “number one” company in asphalt and road construction. Yet earlier this month he expressed dismay after seeing portions of EDSA riddled with potholes shortly after Readycon rehabilitated the road. In 2014, the Commission on Audit flagged Readycon over defects in the C-5 Extension project.

R-II Builders, meanwhile, was the subject of a Rappler investigation in April that found it involved in a subcontracting scheme. SEC documents from 2025 show the company is owned by Reghis Romero II, the father of former 1-Pacman party-list representative Mikee Romero.

The bigger question

Kamanggagawa Representative Eli San Fernando pressed the point at a House budget hearing of the DPWH on August 26: “How can these companies claim they are losing money when, according to the DPWH secretary, they were able to secure billions worth of contracts, yet they cannot afford to pay their workers even a measly P60 increase out of the P85 wage hike granted to workers?”

The historic wage increase was put on hold at a time when millions of minimum wage earners were already counting on it. Whether the Supreme Court steps in could decide whether that P85 raise ever reaches workers’ pockets.


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ASTIG PH Team

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