FG approves N70,000 monthly transport allowance for workers amid NLC threat

The Federal Government has approved a monthly transport allowance of N70,000 for public service workers across all levels for six months, following negotiations with the Nigeria Labour Congress (NLC) over rising living costs, fuel prices and the national minimum wage.

The agreement was reached on Tuesday after a meeting between the Minister of Labour and Employment, Muhammad Maigari Dingyadi, and the NLC leadership led by its President, Joe Ajaero.

The development came as the four-day ultimatum issued by the labour union, threatening to shut down economic activities over the rising cost of petrol and the N70,000 minimum wage, expired on October 27.

According to the Federal Government, the transport support is scheduled to commence in November 2026 and will run for six months to ease the financial burden on workers.

The government stated: “That transport intervention of seventy thousand naira (N70,000), commencing from November 2026, would be paid across all levels for a period of six months.”

In addition to the transport allowance, the government approved the payment of outstanding peculiar allowance arrears owed to eligible workers, effective from May 1, 2026.

The arrears will be paid in three equal monthly instalments, beginning in November 2026.

The agreement also provides for the establishment of a joint negotiation committee comprising representatives of the Federal Government and the NLC.

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The committee is expected to commence meetings immediately to determine an effective date for implementing a new national minimum wage.

The latest intervention follows mounting concerns from organised labour over the impact of rising petrol prices and the cost of living on workers’ purchasing power.

The NLC had issued a four-day ultimatum to the Federal Government, demanding a reduction in fuel prices and a review of the N70,000 monthly minimum wage, warning that failure to address its demands could lead to a nationwide shutdown.

The union has argued that the existing minimum wage has come under pressure from rising transportation, food and other household expenses.

Although the newly approved transport support offers temporary relief, its six-month duration means workers will continue to await the outcome of negotiations on a new minimum wage and other measures to address the cost of living.

The proposed joint committee is expected to provide a platform for further discussions between the government and organised labour on wage implementation and workers’ welfare.