The Federal Government has approved a monthly transport allowance of N70,000 for public servants for six months, beginning in November 2026, as part of measures to ease the rising cost of living.
The approval was one of the resolutions reached at a conciliation meeting between the government and the Nigeria Labour Congress (NLC) in Abuja on Tuesday, October 27, following renewed discussions on workers’ welfare and outstanding agreements.
The government also approved the payment of outstanding peculiar allowance arrears, effective from May 1, 2026. The arrears will be paid in three equal monthly instalments beginning in November.
However, the parties failed to agree on the effective date for implementing the national minimum wage. They agreed to constitute a tripartite Minimum Wage Negotiation Committee comprising government, labour and employers’ representatives, with meetings to begin immediately.
The resolutions were contained in a memorandum of understanding signed by representatives of the Federal Government and the NLC. Speaking after the meeting, NLC Assistant Secretary-General Chris Onyeka described the discussions as productive but said the outcome fell short of labour’s expectations.
“It was productive, but not as we had expected,” Onyeka said, adding that negotiations often required compromises.
The government also agreed to clear 19 months of outstanding allowances for health workers within three months, beginning in December 2026. Meanwhile, the National Salaries, Incomes and Wages Commission is expected to complete an assessment of the cost implications of a proposed adjustment to the Consolidated Health Salary Structure (CONHESS) within three weeks.
On hazard allowances for agricultural officers, the Ministry of Agriculture and Food Security has submitted the list of beneficiaries and the associated costs to the commission for verification. The exercise is expected to be completed within two weeks, after which an implementation template will be issued.
The question of tax relief for workers will be referred to the National Economic Council (NEC) for consideration because of its statutory implications. The memorandum did not specify the proposed relief measures or when a decision would be reached.
The agreement also urged state and local governments to adopt similar interventions for their workers. The Federal Government and the NLC are scheduled to reconvene after one month to review implementation of the resolutions and assess progress on outstanding issues.
