FG approves N70,000 monthly transport support for workers for six months

The Federal Government has granted a N70,000 monthly transport aid to public service workers nationwide for six months, starting in November 2026, to alleviate the strain of increasing living costs. This decision was reached during a conciliation meeting held in Abuja on Tuesday, following ongoing pressure from labour organisations regarding the cost of living, worker welfare, and unresolved agreements.

The Nigerian Labour Congress (NLC) has also received approval for the payment of overdue allowances, to commence on May 1, 2026, in three equal monthly instalments, beginning in November. However, disagreements persist over the implementation date of the national minimum wage, with the two parties agreeing that the Minimum Wage Negotiation Committee would convene immediately, though a definitive start date has not been established.

The resolutions were documented in a memorandum of understanding signed by the Director-General of Budget, Timi Yakubu, NLC President Joe Ajaero, and the Minister of Labour and Employment, Dr Muhammad Maigari Dingyadi. The agreement included arrangements for transport support, outstanding payments, health workers' remuneration, tax relief, and hazard allowances for agricultural workers.

The meeting followed another conciliation session on October 22, 2026, aimed at resolving disputes between the government and organised labour. The transport grant, amounting to N70,000 per month, is set to be disbursed across all levels of public service for six months from November 2026. However, specifics regarding the exact payment date within each month or the administrative procedures for disbursing the funds were not detailed in the agreement.

The move comes as the country continues to grapple with high transportation expenses and the costs associated with essential goods, following the removal of the petrol subsidy in May 2023, which significantly contributed to heightened living costs across Nigeria. Labour groups have consistently called for measures to mitigate the economic hardships faced by workers, including adjustments in petrol prices, wage increases, and the fulfilment of outstanding welfare agreements.

The government and labour forces are engaged once again in discussions about wage negotiations and the economic crisis surrounding fuel prices. Additionally, health workers have threatened to go on strike due to unpaid allowances. The NLC expressed dissatisfaction with the government's response to their demands, stating that they "expressed concern over the Federal Government’s attitude towards the above issues."

The government, in turn, acknowledged respecting the NLC's right to advocate for better working conditions for Nigerian workers and is actively working to address these concerns through a structured intervention. Regarding the national minimum wage, while the parties agreed that the Minimum Wage Negotiation Committee would be formed and begin meetings, the precise timing for implementation remains undecided.

The memorandum of understanding, titled "Resolutions Reached at a Conciliation Meeting Held at Federal Ministry of Labour and Employment Between the Federal Government and the Leadership of Nigeria Labour Congress on Tuesday, 27th October, 2026," outlines the commitments and disagreements between the two parties. Despite acknowledging the importance of the national minimum wage issue, which was previously addressed in 2024 when the wage was increased from N30,000 to N70,000, the agreement does not provide further details on the current proposal or the expected resolution date.

This indicates that while certain financial interventions have been approved, other demands of organised labour remain pending further negotiations, administrative approval, or decision-making by relevant government bodies.