The Federal Government has approved a N70,000 monthly transport allowance for public servants for six months, beginning in November 2026, as part of measures to cushion the effect of rising living costs.
The approval was among the resolutions reached at a conciliation meeting between the Federal Government and the Nigeria Labour Congress in Abuja on October 27, 2026. The agreement also covers outstanding allowances, health workers’ arrears, minimum wage negotiations and other welfare issues.
Under the memorandum, the allowance will apply to workers at all levels. Payment is scheduled to start in November 2026 and run through April 2027, subject to implementation of the agreement. The memorandum does not give an exact payment date or say whether the money will be paid alongside salaries. Over the six months, each beneficiary stands to receive N420,000 in total, paid in monthly instalments rather than as a lump sum.
The allowance is separate from the national minimum wage. Although the statutory minimum wage was raised from N30,000 to N70,000 in 2024, the latest meeting did not resolve the disagreement over the effective date for the minimum wage arrangements now under discussion. The government and labour leaders agreed to set up a Minimum Wage Negotiation Committee, which will begin meeting immediately.
Several practical questions remain open. Although the memorandum confirms the amount, duration and start month, it does not explain the administrative process for payment, whether workers must apply, which payment channel will be used, or exactly which categories of public servants are covered. Further clarification from the relevant authorities will be needed.
The memorandum also urges state and local governments to take part in the intervention and calls on unions to press for implementation. It does not, however, establish that every state and local government has already approved payment, so workers outside federal service are advised to seek clarity from their own authorities.
On other issues, the government approved payment of outstanding peculiar allowance arrears, effective from May 1, 2026. Payment is due to begin in November 2026 in three equal monthly instalments, though the total arrears and individual amounts were not disclosed.
For health workers, the government agreed to clear 19 months of outstanding allowances within three months, starting in December 2026. The National Salaries, Incomes and Wages Commission is expected to finish assessing the cost of adjusting the Consolidated Health Salary Structure within three weeks, and no final decision on the adjustment has been announced.
Other welfare matters remain unresolved. The agreement also addresses hazard allowances for agricultural officers, whose beneficiaries and associated costs are being verified, a process expected to end within two weeks. A proposed tax relief for workers will be referred to the National Executive Council for consideration. The government and the NLC are expected to reconvene in a month to review how the resolutions are being implemented.
In all, the N70,000 monthly transport support is a temporary, six-month relief measure. Questions about which workers qualify, how payments will be made and how state and local governments will respond remain open, so the relief workers actually receive will depend on implementation and further administrative clarification.
