FG Approves N70,000 Monthly Transport Allowance For Workers

The federal government has approved a N70,000 monthly transport intervention for public service workers across all levels for six months, beginning in November 2026, as part of measures to cushion the impact of rising living costs.

The approval was one of the resolutions reached at a conciliation meeting between the Federal Government and the leadership of the Nigeria Labour Congress (NLC) in Abuja on Tuesday, October 27, following renewed pressure from organised labour over workers’ welfare and outstanding agreements.

A memorandum of understanding signed at the end of the meeting also provided for the payment of arrears of the peculiar allowance, effective from May 1, 2026, in three equal monthly instalments beginning in November.

However, the parties failed to agree on the effective date for implementing the national minimum wage, although they agreed that the Minimum Wage Negotiation Committee would be constituted and begin meetings immediately.

The memorandum was signed by the Director-General of Budget, Timi Yakubu; NLC President, Joe Ajaero; the Permanent Secretary, Service Welfare Office, Office of the Head of the Civil Service of the Federation, Dr Garba Abdul S.U.; and the Minister of Labour and Employment, Dr Muhammad Maigari Dingyadi.

On the transport intervention, the document stated that the N70,000 monthly support would commence in November and run for six months across all levels.

It did not specify the payment date within each month or provide details of the administrative arrangements for disbursement.

The agreement followed an earlier conciliation meeting held on October 22 by the Federal Ministry of Labour and Employment to address disagreements between the government and organised labour.

The memorandum also addressed concerns raised by the NLC leadership over the government’s handling of workers’ demands.

According to the document, the union expressed concern over the Federal Government’s attitude towards the issues raised during the negotiations.

The government, in response, affirmed its respect for the NLC’s right to advocate improved working conditions and said it was working to address the demands through structured interventions.

On the minimum wage, the parties agreed that the negotiation committee would be constituted and commence meetings immediately. However, the effective date for implementation remained unresolved.

The national minimum wage became a major point of contention in 2024, when organised labour negotiated an increase in the statutory monthly minimum wage from N30,000 to N70,000. The new rate was subsequently enacted into law.

The latest conciliation meeting also covered issues relating to health workers’ remuneration, tax relief and hazard allowances for agricultural officers.

Although the transport support and allowance arrears represent agreed interventions, the parties are yet to resolve the outstanding disagreement over the minimum wage implementation date.