The Federal Government has approved a monthly transport allowance of ₦70,000 for public service workers for six months, beginning in November 2026, as part of measures to cushion the impact of rising living costs.
The approval followed a conciliation meeting between the Federal Government and the Nigeria Labour Congress (NLC), held on October 27 at the Federal Ministry of Labour and Employment in Abuja.
The intervention comes amid continuing concerns over transport expenses and the cost of essential goods. The government has also pursued measures to expand access to alternative vehicle fuels, including plans for additional compressed natural gas (CNG) refuelling stations, as reported in TheDailyNewsHub’s coverage of Kano’s CNG expansion and the planned 127 new stations.
Under the resolutions reached at the meeting, outstanding peculiar allowance arrears, effective from May 1, 2026, will be paid in three equal monthly instalments beginning in November.
The agreement also provides for the settlement of 19 months of outstanding allowances owed to health workers within three months, starting in December 2026.
On the national minimum wage, both parties agreed that a Minimum Wage Negotiation Committee would be constituted and begin meetings immediately. However, they did not reach an agreement on the effective date for implementing the proposed minimum wage arrangements.
The meeting also considered tax relief for workers, but the parties agreed to refer the matter to the NLC’s National Executive Council for consideration, noting that taxation is a statutory matter.
Other issues discussed included the proposed adjustment to the Consolidated Health Salary Structure (CONHESS) and hazard allowances for agricultural workers. Relevant government agencies are expected to complete cost assessments and verification processes before further decisions are made.
The government and labour representatives also called on state and local governments to participate in the intervention process. Both parties agreed to reconvene after one month to review progress in implementing the resolutions.