The Federal Government has approved a ₦70,000 monthly transport allowance for public service workers for six months, beginning in November 2026, following an agreement with the Nigeria Labour Congress (NLC).
The approval was one of several resolutions reached during a conciliation meeting between government representatives and the NLC leadership in Abuja on Tuesday, October 27, 2026. The meeting focused on workers’ welfare, outstanding allowances, the national minimum wage and measures to ease the financial pressure on Nigerian workers.
The resolutions were contained in a memorandum of understanding issued after the meeting, which was chaired by the Minister of Labour and Employment, Muhammad Dingyadi. The NLC delegation was led by its president, Joe Ajaero.
According to the agreement, the transport intervention will run for six months from November 2026. The parties also agreed on the payment of outstanding peculiar allowance arrears and the settlement of allowances owed to health workers.
However, the government and organised labour did not reach an agreement on the effective date for implementing the national minimum wage arrangements under discussion.
FG Approves Six Months of Transport Support for Workers
Under the agreement, the Federal Government approved a monthly transport intervention of ₦70,000 for public service workers, commencing in November 2026.
The six-month arrangement is intended to provide temporary financial relief amid rising transportation costs and broader economic pressures affecting workers.
If implemented at the approved monthly rate for the entire six-month period, the allowance would amount to ₦420,000 per eligible beneficiary.
However, the memorandum did not specify the exact monthly payment dates or provide detailed administrative arrangements for disbursement.
State and local governments were also urged to participate in the intervention process, while labour unions were encouraged to advocate for implementation within their respective jurisdictions.
Government Approves Payment of Outstanding Allowance Arrears
The meeting also resolved that the government would pay outstanding peculiar allowance arrears, effective from May 1, 2026.
According to the agreement, payments are scheduled to begin in November 2026 and will be made in three equal monthly instalments.
The memorandum did not disclose the total amount of arrears or the specific amount individual workers would receive.
The arrangement forms part of broader efforts to address outstanding workers’ welfare commitments and improve the financial position of public servants.
Health Workers to Receive 19 Months of Outstanding Allowances
The Federal Government also agreed to settle 19 months of outstanding allowances owed to health workers.
Under the resolution, the payments are expected to be completed within three months, beginning in December 2026.
The agreement addresses a longstanding welfare concern in the health sector, where unpaid allowances and other remuneration issues have contributed to tensions between workers and government authorities.
However, the memorandum did not disclose the total financial value of the outstanding payments or the exact dates on which individual beneficiaries would receive their arrears.
Minimum Wage Implementation Date Remains Unresolved
Despite the agreements on transport support and outstanding allowances, the Federal Government and the NLC failed to reach a consensus on the effective date for implementing the national minimum wage arrangements under discussion.
Both parties agreed that a Minimum Wage Negotiation Committee would be constituted immediately and begin meetings without delay.
The committee is expected to provide a framework for further discussions on the outstanding minimum wage issue.
The disagreement means that the effective date remains unresolved, even as negotiations are expected to continue.
The meeting followed an earlier conciliation session held on October 22, 2026, which was convened by the Ministry of Labour and Employment to address disagreements between the government and organised labour.
Tax Relief for Workers Referred to NLC Leadership
The issue of tax relief for workers was also discussed during the meeting.
The parties agreed that the matter would be referred to the NLC’s National Executive Council for consideration, noting that taxation is a statutory matter.
However, the resolutions did not announce a specific tax relief package or establish a timeline for its implementation.
The issue remains part of the wider discussions on measures to improve workers’ disposable income amid rising living costs.
Agricultural Workers’ Hazard Allowances Under Verification
The meeting also considered the payment of hazard allowances to agricultural workers.
The Federal Ministry of Agriculture and Food Security has submitted the list of proposed beneficiaries and the associated costs to the National Salaries, Incomes and Wages Commission for verification.
The commission is expected to complete the verification process within two weeks and issue an implementation template afterwards.
The next steps will depend on the outcome of the verification and the subsequent administrative arrangements.
CONHESS Adjustment Awaits Further Review
The Consolidated Health Salary Structure (CONHESS) was another issue considered during the meeting.
The National Salaries, Incomes and Wages Commission is expected to update the cost implications of the proposed adjustment within three weeks.
The updated assessment will enable the Presidential Committee on Salaries to consider the proposed adjustment and determine the next steps.
No final approval or implementation date for the proposed CONHESS adjustment was announced in the resolutions.
Government and Labour to Review Implementation After One Month
The Federal Government and the NLC agreed to reconvene after one month to assess progress on the implementation of the resolutions.
The review is expected to examine progress on the transport intervention, outstanding allowance payments and other welfare commitments contained in the memorandum.
Both parties also urged state and local governments to adopt the intervention measures, while encouraging labour unions to press for implementation at their respective levels.
The meeting brought together senior government officials and labour representatives to address outstanding disagreements over workers’ welfare.
Those in attendance included the Director-General of the Budget Office, the Permanent Secretary of the Service Welfare Office in the Office of the Head of the Civil Service of the Federation, and other government and labour representatives.
What the Agreement Means for Nigerian Workers
The approval of the ₦70,000 monthly transport allowance represents a temporary financial intervention for public service workers, with payments scheduled to begin in November 2026 and continue for six months.
The agreement also provides a timetable for settling outstanding peculiar allowance arrears and 19 months of allowances owed to health workers.
However, several issues remain unresolved or subject to further administrative action, including the effective date for implementing the national minimum wage arrangements under discussion, tax relief, agricultural workers’ hazard allowances and the proposed CONHESS adjustment.
The impact of the agreement will ultimately depend on implementation and the progress made when the government and labour representatives reconvene for their review.