FG Approves N70,000 Monthly Transport Allowance For Workers For Six Months

The Federal Government has approved a monthly transport allowance of N70,000 for public service workers across all levels for six months, beginning in November 2026, as part of efforts to cushion the effects 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, 2026.

The meeting, convened by the Federal Ministry of Labour and Employment, followed renewed demands by organised labour for improved workers’ welfare, the resolution of outstanding agreements and measures to address the rising cost of living.

According to a memorandum of understanding signed at the end of the meeting, the transport intervention will run from November 2026 for six months. However, the document did not specify the exact date of payment each month or the administrative arrangements for disbursement.

The government also approved the payment of outstanding peculiar allowance arrears, effective from May 1, 2026. The arrears are to be paid in three equal monthly instalments, beginning in November.

The memorandum was signed by the Director-General of Budget, Timi Yakubu; NLC President, Joe Ajaero; the Permanent Secretary of the Service Welfare Office in the 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.

Other issues addressed during the meeting included minimum wage negotiations, remuneration for health workers, tax relief and hazard allowances for agricultural officers.

On the national minimum wage, both parties agreed that a Minimum Wage Negotiation Committee would be constituted and commence meetings immediately. However, they failed to reach an agreement on the effective date for implementation.

The memorandum noted that while the committee would begin work without delay, disagreement over the implementation date remained unresolved.

The national minimum wage became a major point of contention in 2024, leading to negotiations between the Federal Government and organised labour that resulted in an increase in the statutory monthly minimum wage from N30,000 to N70,000. The new rate was subsequently enacted into law.

The latest discussions are expected to address outstanding issues surrounding implementation, although the memorandum did not specify the proposals currently under consideration or a timeline for concluding the negotiations.

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

In response, the Federal Government reaffirmed its recognition of the Congress’s right to advocate for improved working conditions, stating that it was making efforts to address the issues through structured interventions.

The October 27 meeting followed an earlier conciliation session held on October 22 to resolve disagreements between the government and organised labour.

The approved transport allowance and payment of outstanding arrears represent immediate measures to support workers, while negotiations on the minimum wage implementation date and other welfare demands remain ongoing.