The Federal Government has approved a monthly transport allowance of N70,000 for public servants for six months beginning November 2026 to cushion the impact of rising living costs.
The approval was part of key resolutions reached at a conciliation meeting between the Federal Government and the Nigeria Labour Congress (NLC) held at the Federal Ministry of Labour and Employment in Abuja on Tuesday, October 27, 2026.
The meeting was convened to address concerns raised by organised labour over workers’ welfare, outstanding allowances, rising cost of living and implementation of the national minimum wage.
According to a Memorandum of Understanding signed at the end of the meeting, the transport intervention will apply “across all levels” of the federal public service.
The MoU was signed by Director-General of Budget, Timi Yakubu; NLC President, Joe Ajaero; Permanent Secretary, Service Welfare Office in the Office of the Head of Civil Service of the Federation, Dr Garba Abdul S.U; and Minister of Labour and Employment, Dr Muhammad Maigari Dingyadi.
The government also approved payment of outstanding peculiar allowance arrears with effect from May 1, 2026. The arrears will be paid in three equal monthly instalments beginning in November 2026.
In addition, 19 months outstanding allowances owed health workers will be cleared within three months, beginning December 2026.
On hazard allowance for agricultural officers, the Federal Ministry of Agriculture and Food Security has submitted the list of beneficiaries and cost implications to the National Salaries, Incomes and Wages Commission (NSIWC) for verification. The verification is expected to be completed within two weeks.
The parties, however, failed to agree on the effective date for implementing the national minimum wage, but agreed to immediately constitute the Minimum Wage Negotiation Committee to commence work.
Speaking after the meeting, NLC Assistant Secretary-General, Chris Onyeka, described the discussions as productive but said it fell short of labour’s expectations.
