NLC challenges TUC over rejection of ₦70,000 transport allowance agreement

The Nigeria Labour Congress (NLC) has challenged the Trade Union Congress of Nigeria (TUC) over its rejection of the Federal Government’s ₦70,000 monthly transport allowance agreement, arguing that the TUC was not involved in the negotiations that produced the deal.

NLC President Joe Ajaero expressed his position during an interview on Channels Television’s Morning Brief on Thursday, October 29, 2026. He said the NLC had negotiated independently with the Federal Government and therefore found it surprising that the TUC was criticising an agreement it had not signed.

Ajaero maintained that the TUC had previously made it clear that it would not participate in the negotiations. He argued that rather than rejecting the outcome, the congress could have pursued its own negotiations with the government to seek better benefits for workers.

The NLC president suggested that a stronger demand from the TUC might have encouraged the government to consider a more favourable arrangement for Nigerian workers. He maintained that the two labour organisations could have negotiated separately and worked towards a common position.

The disagreement follows the Federal Government’s agreement with the NLC to provide a monthly transport allowance of ₦70,000 to eligible federal public servants for six months, beginning in November 2026. The measure is intended to provide temporary relief from rising transportation costs and the wider cost-of-living pressures facing workers.

However, the TUC has rejected the arrangement, arguing that temporary financial support is not a sustainable solution to workers’ economic difficulties. Under the leadership of its president, Festus Osifo, the congress has called for an immediate salary review and a substantial increase in workers’ earnings.

The TUC has argued that the government should not wait for another minimum wage negotiation before increasing salaries. It has proposed raising the salary of the lowest-paid federal worker to ₦300,000, alongside appropriate adjustments to other salary levels.

The congress has also raised concerns about outstanding obligations from an earlier wage award and the implementation of an agreement involving the Joint Health Sector Unions. It maintains that previous commitments must be fulfilled before workers can have confidence in another temporary relief arrangement.

The dispute has exposed differences within organised labour over how best to respond to the rising cost of living. While the NLC has defended the negotiated allowance as an immediate intervention, the TUC insists that workers need more sustainable improvements in their earnings and stronger implementation of existing agreements.

The disagreement also raises questions about how the two labour centres will coordinate their positions in future negotiations with the Federal Government. Although their approaches differ, both organisations have presented their positions as responses to the economic pressures confronting Nigerian workers.

As the allowance is expected to begin in November, attention will turn to its implementation and the government's response to the TUC's demand for higher salaries. The extent to which the measure provides meaningful relief will depend on its coverage, timely payment and the continuing cost of transportation and other essential expenses.

 

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