The Federal Government and the Nigeria Labour Congress (NLC) have agreed on a six-month ₦70,000 monthly transport intervention for public service workers, beginning in November, in a move aimed at easing the pressure of rising living costs.
The agreement was reached at a conciliation meeting held at the Federal Ministry of Labour and Employment on Tuesday, October 27.
It followed a tense round of negotiations in which organised labour threatened possible nationwide action over petrol prices, the renegotiation of the national minimum wage and outstanding welfare commitments.
The transport measure was included in a memorandum of understanding signed by Labour Minister Muhammad Maigari Dingyadi, Budget Office Director-General Tanimu Yakubu, the Permanent Secretary of the Service Welfare Office, Garba Abdul, and NLC President Joe Ajaero.
The NLC’s own account described the payment as a “wage award,” but
independent reports and the text of the agreement identify it more specifically as a transport intervention.
The resolution does not amount to a new statutory minimum wage. Nigeria’s current national minimum wage is ₦70,000, but the latest meeting did not settle the effective date for implementing any further adjustment.
Instead, the parties agreed to constitute a Minimum Wage Negotiation Committee and begin meetings immediately.
The unresolved effective date remains one of the major outstanding issues between the government and labour.
Under the agreement, arrears of a “peculiar allowance” will be paid from November in three equal monthly instalments, with entitlement calculated from May 1, 2026.
The government also committed to redeem 19 months of outstanding allowances owed to health workers within three months beginning in December.
Other issues were left at different stages of review. The proposed hazard allowance for agricultural officers is subject to verification by the National Salaries, Incomes and Wages Commission (NSIWC), which is expected to produce an implementation template within two weeks.
The commission is also expected to complete an updated cost assessment for a proposed adjustment to the Consolidated Health Salary Structure within three weeks.
A request for tax relief will be referred to the National Economic Council because taxation is a statutory matter. The settlement came after labour’s October 22 meeting with the government ended
without concrete commitments.
The NLC and Trade Union Congress had accused the government delegation of arriving without the mandates needed to negotiate and directed their structures to prepare for possible industrial action.
Labour nevertheless agreed to return to the table after the government requested more time to assemble the relevant ministers and agencies.
The latest resolution has eased the immediate threat of confrontation, but implementation will determine whether the agreement produces lasting industrial peace.
The memorandum does not state the precise date on which the monthly ₦70,000 transport payment will be made or explain the administrative process for disbursement.
It also calls on state and local governments to participate, meaning coverage and execution beyond the
federal public service may depend on decisions by those tiers of government.
The government and the NLC agreed to reconvene after one month to assess
implementation.
Until then, the transport intervention and arrears commitments represent short- term relief, while the deeper disputes over petrol prices, minimum- wage renegotiation and broader workers’ welfare remain open.
