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, following renewed negotiations with the Nigeria Labour Congress over workers’ welfare and the rising cost of living.
The approval was one of the resolutions reached at a conciliation meeting between government representatives and the NLC leadership in Abuja on Tuesday, October 27, 2026.
The parties also agreed that outstanding peculiar allowance arrears, effective from May 1, 2026, would be paid in three equal monthly instalments beginning in November.
However, the government and organised labour failed to agree on the effective date for implementing the national minimum wage, leaving the issue unresolved despite their commitment to begin negotiations immediately.
The agreements were contained in a memorandum of understanding 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.
According to the memorandum, the transport intervention would be paid across all levels for six months, starting in November.
The document, however, did not specify the precise payment dates, the administrative process for disbursement or whether the intervention would be paid alongside workers’ regular salaries.
If implemented as stated, the six-month intervention would amount to N420,000 per eligible worker over the payment period. The memorandum did not provide a consolidated estimate of the programme’s total cost or specify the number of workers covered.
The agreement comes amid continuing pressure on Nigerian households from transportation expenses and the prices of essential goods. The removal of the petrol subsidy in May 2023 contributed to higher fuel costs, with knock-on effects on public transport and the cost of moving goods.
Organised labour has repeatedly pressed the government to address workers’ declining purchasing power through wage improvements, relief measures and the fulfilment of outstanding agreements.
The memorandum also recorded the NLC leadership’s concerns about the government’s handling of its demands.
The government, in response, reaffirmed workers’ right to advocate for improved working conditions and said it was addressing their concerns through structured interventions.
The two sides also agreed to constitute a Minimum Wage Negotiation Committee and begin meetings immediately.
However, the effective date of implementation remained contentious. The memorandum did not specify the precise proposal under discussion or establish a deadline for concluding the negotiations.
Nigeria’s statutory minimum wage was increased from N30,000 to N70,000 per month in 2024 following negotiations between the Federal Government and organised labour. The increase was subsequently enacted into law through the National Minimum Wage Act 2024.
The latest discussions concern the effective date of implementation of the minimum wage arrangements referenced in the memorandum. The document does not establish that a new national minimum wage rate has been approved.
The meeting followed an earlier conciliation session held on October 22, 2026, convened by the Federal Ministry of Labour and Employment to address disagreements between the government and labour leaders.
Beyond transport support and peculiar allowance arrears, the memorandum outlined discussions covering health workers’ remuneration, tax relief and hazard allowances for agricultural officers.
It did not provide complete implementation details for every issue raised during the meeting.
The latest agreement therefore offers a time-limited financial intervention for workers while leaving the minimum wage implementation dispute and other outstanding welfare issues subject to further discussions.
The next steps will depend on the implementation of the transport payments, the commencement of allowance arrears disbursement and the outcome of negotiations by the Minimum Wage Negotiation Committee.
