FG, NLC agree N70,000 monthly transport support for workers, but deadlock on minimum wage date

The Federal Government has approved a N70,000 monthly transport allowance for public service workers at all levels for six months, starting in November 2026, after talks with the Nigeria Labour Congress in Abuja on Tuesday.

The agreement came out of a conciliation meeting at the Federal Ministry of Labour and Employment. It followed an earlier session on October 22, called after organised labour renewed pressure over the cost of living, workers’ welfare and unfulfilled agreements.

What was agreed

• Transport support: N70,000 a month for six months from November 2026, payable across all levels of the public service.
• Allowance arrears: Arrears of peculiar allowances, effective from May 1, 2026, will be paid in three equal monthly instalments beginning in November.
• Minimum wage talks: The Minimum Wage Negotiation Committee will be constituted and begin meeting immediately.

What was not settled

The two sides could not agree on when a new national minimum wage should take effect. The memorandum notes the disagreement and gives no timeline for concluding the negotiations or details of the proposal on the table.

The memorandum also does not say what day of the month the transport support will be paid, or how it will be disbursed.

Who signed

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

Beyond transport support and wages, it covers health workers’ remuneration, tax relief and hazard allowances for agricultural officers. The summary available gives no details on these.

Tension in the talks

The NLC leadership voiced concern over the government’s attitude to its demands. In response, the government said it respects labour’s right to advocate for better conditions and is addressing the issues through a structured intervention.

Background

The talks come amid sustained pressure on household budgets following the removal of the petrol subsidy in May 2023. Labour has repeatedly pressed for lower fuel prices, higher pay and implementation of outstanding welfare agreements.

The new transport figure matches the current statutory minimum wage. That rate was set in 2024, when government and labour agreed to raise the minimum wage from N30,000 to N70,000, and it was later enacted in the National Minimum Wage Act.

Some demands remain subject to further negotiation, verification or decisions by other government bodies.

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