The Federal Government has approved a monthly transport allowance of ₦70,000 for public service workers for six months, beginning in November 2026, as part of efforts to cushion the impact of rising transportation costs and economic hardship.

The approval followed a conciliation meeting between the Federal Government and the Nigeria Labour Congress (NLC) held in Abuja on Tuesday, October 27, 2026. The meeting addressed concerns over workers’ welfare, rising living costs, outstanding allowances and the implementation of the national minimum wage.

According to the resolutions contained in a memorandum of understanding issued after the meeting, the transport intervention will cover workers across all levels of the public service for six months.

The agreement comes amid continued pressure from organised labour for measures to ease the financial burden on Nigerian workers following increases in petrol prices and the cost of essential goods and services.

FG Approves Payment of Outstanding Allowances

In addition to the transport allowance, the Federal Government approved the payment of outstanding peculiar allowances, effective from May 1, 2026.

The arrears are scheduled to be paid in three equal monthly instalments beginning in November 2026.

The government also agreed to clear 19 months of outstanding allowances owed to health workers within three months, starting in December 2026.

Meanwhile, the National Salaries, Incomes and Wages Commission is expected to complete the review of the cost implications of the proposed adjustment to the Consolidated Health Salary Structure (CONHESS) within three weeks.

The commission is also expected to verify outstanding hazard allowances for agricultural officers before issuing an implementation framework.

Minimum Wage Negotiations Remain Unresolved

Despite the agreement on transport support and outstanding allowances, the Federal Government and the NLC did not reach an agreement on when a new national minimum wage arrangement should take effect.

However, both parties agreed to establish a Minimum Wage Negotiation Committee and commence meetings immediately to address the outstanding issues.

The meeting also resolved that the question of tax relief for workers would be referred to the appropriate authorities for further consideration.

State and local governments were urged to participate in the intervention process, while labour unions were encouraged to pursue implementation within their respective jurisdictions.

The Federal Government and the NLC are expected to reconvene after one month to assess progress on the implementation of the resolutions.

The six-month transport allowance is expected to provide temporary financial relief to eligible public service workers as negotiations continue over wages and other welfare concerns.