The Federal Government has approved a ₦70,000 monthly transport allowance for workers for six months, starting in November 2026. The decision followed renewed discussions with the Nigeria Labour Congress (NLC) over workers’ welfare and the rising cost of living.
The agreement came from a conciliation meeting held in Abuja on Tuesday, October 27. The Federal Ministry of Labour and Employment convened the meeting to address outstanding demands from organised labour.
The intervention will run from November 2026 to April 2027. If the government makes all six payments, each eligible beneficiary will receive a total of ₦420,000 during the period.
However, the agreement has not resolved every issue between the government and labour. Both parties still disagree on the effective date for implementing the national minimum wage, while several other welfare matters require further action.
FG Approves Six Months of Transport Support
The ₦70,000 monthly transport allowance formed part of a memorandum of understanding signed after the meeting. Government officials and labour representatives agreed on temporary support to ease some of the financial pressure facing workers.
The agreement provides for monthly payments over six months, beginning in November. However, the memorandum does not state the exact payment dates or explain how the government will distribute the money.
The intervention comes as many workers contend with rising transportation expenses and higher prices for essential goods. For employees who travel to work daily, additional support could help cover commuting costs and leave more money available for other household needs.
The agreement also covers outstanding peculiar allowance arrears. The government approved these payments with effect from May 1, 2026, and plans to begin disbursement in November. It will spread the arrears across three equal monthly instalments.
Health workers will also benefit from a separate arrangement. The government agreed to settle 19 months of outstanding allowances within three months, beginning in December 2026.
Meanwhile, the parties discussed hazard allowances for agricultural officers. The Federal Ministry of Agriculture and Food Security has submitted beneficiary details and cost estimates for verification by the National Salaries, Incomes and Wages Commission.
The commission is expected to complete the verification within two weeks. It will then provide an implementation template to guide the next steps.
The meeting also addressed a proposed adjustment to the Consolidated Health Salary Structure, known as CONHESS. The commission is expected to complete its cost assessment within three weeks. The Presidential Committee on Salaries will then consider the adjustment.
Minimum Wage Disagreement Continues
Despite the agreement on transport support, the government and the NLC have yet to settle their disagreement over the effective date for implementing the national minimum wage.
Both parties agreed to establish a Minimum Wage Negotiation Committee immediately. The committee will continue discussions and work towards resolving the outstanding issue.
The latest agreement therefore does not mean that the minimum wage dispute has ended. Instead, it provides a framework for further negotiations while the government moves ahead with other welfare commitments.
Tax relief for workers also remains under consideration. The parties agreed to refer the matter to the NLC’s National Executive Council because taxation involves statutory issues.
The government and labour representatives also urged state and local governments to participate in the intervention process. They encouraged unions to push for similar measures within their respective jurisdictions.
However, the agreement does not confirm that every state and local government has adopted the transport support arrangement. Implementation will depend on the relevant authorities and further administrative steps.
Both parties agreed to meet again after one month to review progress on the resolutions. The review will provide an opportunity to assess payment arrangements and examine progress on outstanding welfare issues.
For workers, the immediate focus will be the start of the ₦70,000 monthly transport allowance in November. The government must still clarify the payment process, while labour leaders will continue pressing for action on unresolved demands.
The coming weeks will show how quickly the parties implement the agreement. Progress on the minimum wage dispute will also remain a key issue in the wider negotiations over workers’ welfare.