FG approves ₦70,000 monthly transport allowance for six months: 10 key facts for workers

The Federal Government has approved a monthly transport allowance of ₦70,000 for public servants for six months, beginning in November 2026, following a meeting with the Nigeria Labour Congress (NLC) in Abuja.

The agreement was reached on October 27, 2026, during a conciliation meeting convened to address workers’ welfare concerns, rising living costs and outstanding agreements between the government and organised labour. The resolutions were recorded in a memorandum of understanding signed by representatives of both parties.

The following are 10 important things public servants should know about the new transport allowance and related decisions.

First, the approved transport allowance is ₦70,000 per month. It is intended to provide temporary financial support to workers facing rising transportation costs and other living expenses.

Second, the intervention is scheduled to begin in November 2026. However, the agreement does not specify the exact date on which workers will receive their first payment or whether the allowance will be paid alongside their regular salaries.

Third, the allowance will run for six months. If implemented for the entire approved period, the intervention will cover November 2026 through April 2027.

Fourth, an eligible beneficiary could receive a total of ₦420,000 over the six-month period. This amount represents six monthly payments of ₦70,000, not a single lump-sum payment.

Fifth, the transport allowance is separate from the national minimum wage. Although Nigeria introduced a statutory minimum wage of ₦70,000 in 2024, the latest meeting did not resolve the disagreement between the government and labour over the effective date of the minimum wage arrangements currently under discussion. Both parties agreed to establish a Minimum Wage Negotiation Committee and begin discussions immediately.

Sixth, the payment procedure has not been fully explained. The agreement confirms the amount, starting month and duration but does not provide detailed information about the payment channel, any application process or the precise administrative arrangements. Workers should rely on official circulars and announcements from their relevant authorities for further guidance.

Seventh, state and local governments have been urged to participate in the intervention. The agreement encourages them to adopt the measures, but it does not confirm that every state and local government has approved or begun implementing the payment. Workers employed by state and local authorities should therefore seek clarification from their respective governments and service commissions.

Eighth, the government has also approved outstanding peculiar allowance arrears, effective from May 1, 2026. Payments are scheduled to begin in November in three equal monthly instalments. However, the total amount owed and the individual payments due to eligible workers have not been specified in the agreement.

Ninth, health workers are covered by a separate arrangement concerning outstanding allowances. The government agreed to settle 19 months of arrears within three months, beginning in December 2026. A separate assessment of the proposed adjustment to the Consolidated Health Salary Structure is also expected, but no final decision on that adjustment has yet been announced.

Tenth, several other workers’ welfare issues remain under consideration. These include hazard allowances for agricultural officers and proposed tax relief for workers. The agricultural officers’ beneficiary list and associated costs are undergoing verification, while the tax relief issue is to be referred to the relevant council for consideration. The government and the NLC are expected to meet again after one month to review implementation of the resolutions.

The agreement represents a temporary intervention aimed at easing the financial pressure on public servants. Nevertheless, workers should distinguish between measures formally approved in the agreement and proposals or issues that still require clarification, verification or further decisions.

For now, the key details of the transport allowance are clear: ₦70,000 monthly for six months, beginning in November 2026. The actual payment process and the extent to which state and local governments implement the intervention will need to be confirmed through further official announcements.

 

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