The TUC transport allowance dispute has intensified after the Trade Union Congress rejected the Federal Government’s approved ₦70,000 monthly payment for public service workers, insisting that a permanent salary increase would provide more reliable relief from Nigeria’s rising cost of living.
The congress announced its position on Wednesday, October 28, 2026, calling on the government to review workers’ earnings instead of relying on temporary financial support that may not adequately address their economic difficulties.
The disagreement followed an announcement by the Federal Government on Tuesday, October 27, after a conciliation meeting with the Nigeria Labour Congress (NLC) in Abuja. Under the agreement, eligible public service workers are expected to receive the transport allowance for six months, beginning in November 2026.
However, the TUC maintains that workers need lasting improvements in their earnings, particularly as food prices, transportation expenses, healthcare costs and other essential bills continue to place pressure on household budgets.
TUC Transport Allowance Rejection Comes With Salary Demand
The TUC has called for an immediate salary review, arguing that the government should not wait for negotiations on a new national minimum wage before improving workers’ pay.
In its statement, signed by President Festus Osifo and Secretary-General Nuhu Toro, the congress said the proposed allowance would not provide the consistent financial support workers need to manage their daily expenses.
The union also proposed raising the salary of the lowest-paid federal worker from the current ₦70,000 minimum wage to ₦300,000, alongside appropriate adjustments to other salary levels.
However, the ₦300,000 figure represents the TUC’s proposal and has not been approved by the Federal Government.
The congress argues that salary increases and negotiations over a new minimum wage are separate matters that the government can address independently. It believes an immediate pay review would help workers cope with rising expenses while broader wage discussions continue.
The union also expressed concerns about the implementation of the 2023 wage award, claiming that some workers did not receive their full entitlements. It cited these experiences as a reason to question whether another temporary intervention would reach all eligible beneficiaries consistently.
Government Plans Transport Payments From November
Despite the TUC’s objections, the Federal Government’s agreement with the NLC provides for a monthly transport allowance of ₦70,000 over six months, starting in November 2026.
The measure aims to cushion the effects of rising living costs on public service workers. However, the agreement does not mean the government has accepted the TUC’s separate demand for a permanent salary increase.
The government and the NLC also agreed on the payment of outstanding peculiar allowance arrears dating from May 1, 2026. The payments are scheduled to come in three equal monthly instalments beginning in November.
The discussions covered other workers’ welfare issues, including minimum wage negotiations and outstanding matters affecting health sector employees. Although the parties agreed to establish a Minimum Wage Negotiation Committee, they did not settle the effective date for implementing the national minimum wage.
The distinction matters because the transport allowance offers temporary support, while a salary increase would change workers’ regular earnings. The TUC wants the government to pursue the latter alongside the fulfilment of existing agreements.
TUC Calls for Better Workers’ Welfare
Beyond its objection to the transport allowance, the congress has urged the government to implement outstanding commitments involving the Joint Health Sector Unions (JOHESU), particularly the adjustment of the Consolidated Health Salary Structure.
The TUC argues that authorities must honour agreements with health workers and address unresolved remuneration issues rather than offer further assurances without concrete action.
It has also called for measures to reduce the cost of essential goods and services, improve workers’ welfare and ensure timely payment of salaries and pensions.
The congress maintains that economic hardship affects more than federal employees, as state and local government workers, pensioners, private sector employees and informal workers also face increasing living expenses.
For now, the Federal Government’s six-month transport allowance remains separate from the TUC’s proposed salary increase, with no approval announced for the union’s ₦300,000 salary proposal.
The coming weeks will show how the government implements the agreed transport support and responds to labour’s outstanding demands as discussions over workers’ pay and welfare continue.