The Federal Government has approved a transport allowance of N70,000 per month for public servants over a period of six months. This support begins in November to cushion the impact of rising living costs.
The approval emerged as one of the key resolutions from a conciliation meeting between the Federal Government and the Nigeria Labour Congress in Abuja on Tuesday. Organised labour has mounted renewed pressure regarding worker welfare, inflation, and past agreements.
Outstanding Allowances and Concessions
The government also approved the payment of outstanding peculiar allowance arrears, effective from May 1, 2026. Disbursement will occur in three equal monthly instalments starting in November. However, both parties failed to agree on the effective date for implementing the national wage floor. They did, however, agree to immediately constitute a minimum wage negotiations committee.
The official memorandum contains these agreements. Signatories include Budget Director-General Timi Yakubu, NLC President Joe Ajaero, Service Welfare Office Permanent Secretary Dr. Garba Abdul S.U., and Labour Minister Dr. Muhammad Maigari Dingyadi.
Speaking on the outcome, NLC Assistant Secretary-General Chris Onyeka described the talks as productive while noting they fell short of union expectations.
“It was productive, but not as we had expected,” he said.
Onyeka added that negotiations require compromises because parties cannot always secure every objective.
“Sometimes you win some, lose some,” he said.
He confirmed that the tripartite committee will include representatives from government, workers, and employers. He also reiterated that the transport allowance will run for six months from November.
Unresolved Issues and Sectoral Demands
The discussions followed an earlier session held on October 22, 2026. While the latest resolutions deliver immediate financial relief, several worker demands require further administrative verification and debate.
On the transport intervention, the memorandum noted:
“That transport intervention of Seventy Thousand Naira (N70,000) commencing from November 2026 would be paid across all levels for a period of six months.”
The document omitted specific payment dates and disbursement mechanics. This agreement follows persistent concerns over transport and food prices after the May 2023 petrol subsidy removal.
Regarding peculiar allowance arrears, the government confirmed:
“The peculiar allowance have been approved by the Federal Government with effective from 1st May 2026. The payment of the arrears would commence in November, 2026 in three equal monthly instalments.”
For health workers, authorities agreed to clear 19 months of allowance arrears within three months starting in December 2026. The memorandum states:
“Nineteen (19) Months arrears of allowances for Health Workers to be redeemed within three (3) months with effect from December, 2026.”
Next Steps and Review
The National Salaries, Incomes and Wages Commission will review the financial implications for health sector salary structures within three weeks. Meanwhile, the verification of hazard allowances for agricultural officers will take two weeks.
On tax relief, the parties agreed to refer the matter to the National Executive Council. Both sides will reconvene in one month to appraise the implementation of these resolutions.
