FG approves ₦70,000 monthly transport allowance for workers

The Federal Government has approved a ₦70,000 monthly transport intervention for public service workers across all levels for six months, beginning in November 2026, as part of measures to ease the rising cost of living.

The agreement followed a conciliation meeting between government representatives and the leadership of the Nigeria Labour Congress (NLC) in Abuja on Tuesday, amid growing concerns over workers’ welfare, transportation costs and outstanding labour demands.

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“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 memorandum of understanding signed after the meeting stated.

The government also agreed to pay outstanding peculiar allowance arrears, effective from 1 May 2026, in three equal monthly instalments beginning in November.

However, both parties failed to reach an agreement on the effective date for implementing the national minimum wage, leaving a major issue unresolved.

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The memorandum stated that the Minimum Wage Negotiation Committee would be constituted immediately to begin discussions.

“It was agreed that the Minimum Wage Negotiation Committee would be constituted and commence meeting immediately. It should however be noted that there is a disagreement on the effective date of implementation,” the document said.

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

The meeting followed an earlier conciliation session held on 22 October to address disagreements over workers’ welfare and outstanding government commitments.

The NLC expressed dissatisfaction with the government’s handling of its demands, while federal officials maintained that efforts were underway to address the concerns through structured interventions.

The government said it respected organised labour’s right to advocate for improved working conditions and remained committed to resolving outstanding issues.

The agreement comes amid persistent economic hardship following the removal of petrol subsidies in May 2023, which increased transportation costs and placed additional pressure on household incomes.

Organised labour has repeatedly demanded improved wages, lower petrol prices and the implementation of outstanding welfare agreements.

Although the government approved the transport intervention, the memorandum did not specify monthly payment dates or explain how the funds would be disbursed.

The latest agreement also leaves several welfare demands subject to further negotiations, administrative verification and government decisions.

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