The Federal Government has agreed to pay workers a transport intervention allowance of N70,000 for six months beginning in November 2026 as part of measures to ease the impact of economic hardship.
The agreement was reached between the Federal Government and the Nigeria Labour Congress (NLC) during a conciliation meeting held at the Federal Ministry of Labour and Employment on Tuesday, October 27, 2026.
The meeting followed an earlier discussion on October 22, after the NLC threatened industrial action over unresolved issues affecting workers’ welfare.
The eight-point resolution covers the transport allowance, minimum wage negotiations, outstanding allowances for health workers, tax relief, hazard allowances for agricultural officers and other labour-related concerns.
The NLC had expressed dissatisfaction with the Federal Government over delays in addressing workers’ demands, particularly the commencement and implementation of discussions on the national minimum wage.
Other concerns raised by organised labour included the need to reduce petrol prices, introduce measures to cushion the effects of economic hardship, address public service welfare issues and resolve outstanding adjustments to the Consolidated Health Salary Structure (CONHESS).
The Federal Government, however, reaffirmed its respect for the NLC’s right to demand improved working conditions, stating that structured interventions were being pursued to address the issues.
The agreement was signed on behalf of the Federal Government by the Director-General of Budget, Tanimu Yakubu, and the Permanent Secretary of the Service Welfare Office in the Office of the Head of the Civil Service of the Federation, Dr. Garba Abdul S.U.
The NLC President, Comrade Joe Ajaero, and the National Secretary of the Joint National Public Service Negotiation Council, Comrade Olowoyo Gbenga, signed on behalf of organised labour.
The Minister of Labour and Employment, Dr. Muhammad Maigari Dingyadi, signed the overall resolution.
FG, Labour Agree to Begin Minimum Wage Negotiations
As part of the agreement, both parties resolved to constitute the minimum wage negotiations committee and begin its meetings immediately.
However, the resolution noted that the government and labour representatives had yet to agree on the effective date for implementing the new minimum wage arrangement.
On the demand for a reduction in petrol prices and additional support to cushion the impact of rising living costs, the parties agreed that the N70,000 transport intervention would be paid across all levels for six months, starting in November 2026.
The measure is expected to provide temporary financial relief to workers struggling with transportation costs and other expenses arising from the current economic situation.
FG Approves Payment of Outstanding Allowances
The meeting also addressed the payment of peculiar allowances for eligible workers.
According to the resolution, the Federal Government has approved the allowance with effect from May 1, 2026, while the payment of outstanding arrears will begin in November 2026.
The arrears will be paid in three equal monthly instalments.
For health workers, the government agreed to settle 19 months of outstanding allowances within three months, beginning in December 2026.
The decision is aimed at addressing longstanding complaints by health sector unions over unpaid entitlements.
Tax Relief, Agricultural Hazard Allowances
On tax relief for workers, the meeting agreed that the matter would be presented to the National Executive Council for consideration because it involves statutory provisions.
Labour leaders had argued that tax relief would increase workers’ disposable income and help them cope with the rising cost of living.
The meeting also considered the payment of hazard allowances to agricultural officers.
It was disclosed that the Federal Ministry of Agriculture and Food Security had submitted the list of beneficiaries, alongside the financial implications, to the National Salaries, Incomes and Wages Commission for verification.
The commission is expected to complete the verification within two weeks, after which it will issue the implementation template.
CONHESS Adjustment for Health Workers
On the adjustment of the Consolidated Health Salary Structure (CONHESS), the National Salaries, Incomes and Wages Commission promised to complete the review of the financial implications within three weeks.
The outcome will enable the Presidential Committee on Salaries to make a decision on the proposed adjustment.
The issue has been a major concern for health sector unions, which have continued to demand improved remuneration and better welfare conditions for their members.
The meeting also urged state and local governments to participate in the intervention process to ensure that workers at the sub-national level benefit from similar measures.
Labour unions were encouraged to engage their respective state and local government authorities to secure the implementation of the agreed interventions.
At the end of the meeting, the Federal Government and the NLC agreed to reconvene after one month to assess the level of implementation of the resolutions.
The agreement is expected to ease tensions between the government and organised labour, although outstanding disagreements, particularly over the effective date of the new minimum wage, remain unresolved.
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