FG Approves ₦70,000 Monthly Transport Allowance For Public Servants

FG Approves ₦70,000 Monthly Transport Allowance for Public Servants The Federal Government has approved a monthly transport allowance of ₦70,000 for public servants for six months, beginning in November 2026, following negotiations with the Nigeria Labour Congress (NLC) over workers’ welfare and the rising cost of living. The agreement was reached at a conciliation meeting between government representatives and the NLC leadership in Abuja on October 27, with the resolutions outlined in a memorandum of understanding signed by both parties. The intervention is intended to ease the financial pressure on workers as transportation expenses and other living costs continue to affect household budgets. Under the agreement, eligible public service workers across all levels are to receive the ₦70,000 monthly transport support for six months, starting in November.The agreement also calls on state and local governments to adopt the intervention, while labour unions are encouraged to pursue its implementation within their respective jurisdictions. The approval followed renewed pressure from organised labour over outstanding welfare commitments, rising petrol prices and demands for improved workers’ earnings. Beyond the transport intervention, the Federal Government agreed to begin paying outstanding peculiar allowance arrears, effective from May 1, 2026. The arrears are to be settled in three equal monthly instalments beginning in November. The agreement also provides for the settlement of 19 months of outstanding allowances for health workers within three months, starting in December 2026. On hazard allowances for agricultural workers, the Ministry of Agriculture and Food Security has submitted the list of beneficiaries and 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. Despite the agreement on transport support and other welfare matters, the government and the NLC did not reach a consensus on the effective date for implementing the national minimum wage. Both parties, however, agreed to establish a Minimum Wage Negotiation Committee and begin meetings immediately. The proposed committee is expected to bring together representatives of government, labour and employers to address outstanding issues surrounding minimum wage implementation. The question of tax relief for workers was also referred to the NLC’s National Executive Council for further consideration because taxation is a statutory matter. The negotiations followed growing concerns among labour unions about the cost of transportation, food and other essential goods, as well as delays in implementing previously agreed welfare measures. The NLC had called for action on petrol prices, wage negotiations, tax relief and outstanding allowances, warning that unresolved demands could lead to industrial action. Following the latest meeting, the government and labour representatives agreed to reconvene after one month to assess progress in implementing the resolutions. The ₦70,000 transport allowance represents a temporary intervention rather than a permanent adjustment to workers’ basic salaries. Its implementation, alongside the other agreed measures, will be monitored as discussions over wages and workers’ welfare continue.