N70,000 transport rebate deal sets labour unions on war path

The Federal Government and the Trade Union Congress of Nigeria (TUC) are scheduled to meet on Thursday following a dispute over measures to ease the economic hardship confronting Nigerian workers.

The meeting was scheduled for October 29, 2026, at the Office of the Secretary to the Government of the Federation (OSGF) in Abuja.

This development follows the congress’s request for urgent discussions on pressing economic, security and labour issues.

Meanwhile, the President of Nigeria Labour Congress,  NLC, Joe Ajaerohas questioned the TUC’s rejection of the Federal Government’s proposed ₦70,000 transport allowance, saying the union was not involved in negotiations with the government.

The federal government confirmed the meeting in a letter dated October 27, 2026, addressed to the TUC President-General.

Signed by Ibrahim Abdulkadir, Deputy Director of the General Services Office, on behalf of the Secretary to the Government of the Federation, the letter conveyed the approval for a roundtable discussion with the union’s representatives.

The meeting comes after the Federal Government approved a N70,000 monthly transport allowance for workers for six months, beginning in November, an arrangement the TUC has rejected as inadequate.

The allowance was approved following a conciliation meeting between the government and NLC at the Federal Ministry of Labour and Employment on Tuesday, October 27.

The resolutions were signed by the Minister of Labour and Employment, Dr Muhammad Maigari Dingyadi; NLC President, Director-General of the Budget Office of the Federation, Tanimu Yakubu; and other government and labour representatives.

However, the TUC said temporary financial relief would not resolve workers’ persistent financial difficulties, insisting that the government should prioritise salary increases.

In a statement issued on Wednesday, the congress’s President, Festus Osifo, and Secretary-General, Nuhu Toro, questioned the sustainability of allowances that would expire after six months.

The union argued that the government could increase workers’ earnings without waiting for another minimum wage negotiation, pointing out that there was no legal ceiling preventing employers from paying above the statutory minimum wage.

“Government does not require minimum wage to be negotiated before increasing workers’ pay as there is no maximum wage law in the country.

“Temporary wage awards are not sustainable and far-reaching. How do we go back to the same wage award that never benefited all workers?

“How can workers be expected to trust fresh promises when previous obligations remain outstanding?” the TUC asked.

The congress proposed a N300,000 salary for the lowest-paid government worker, alongside corresponding increases for other categories of workers.

It maintained that regular salary payments would offer workers more dependable financial support than temporary interventions that expire without addressing their long-term needs.

The TUC also cited the wage award agreed upon by the Federal Government and organised labour on October 2, 2023, which was introduced to cushion economic hardship pending the conclusion of minimum wage negotiations in 2024.

According to the congress, some workers were still owed one or two months of the previous award, while others did not receive any payment.

It further alleged that more than 80 per cent of states and the informal sector failed to implement any form of wage award.

Reiterating its position, the union called for salary increases for government workers, describing regular pay as the most dependable means of improving their living conditions.

“From the foregoing we further reiterate our demand for a pay raise for all government workers as salary is the only consistent and far-reaching pay that workers could rely upon.

“Government must move beyond policy announcements and demonstrate tangible improvements in the living conditions of Nigerians,” it said.

Beyond remuneration, the TUC urged the government to ensure prompt payment of salaries and pensions, protect jobs, tackle exploitative labour practices and reduce the cost of essential goods and services.

It also called for the revival of the productive sector and the creation of decent employment opportunities, stressing the need for adequate funding and clear timelines for implementing government policies.

Speaking in an interview on Channels Television’s Morning Brief on Thursday, Ajaero said the TUC did not sign the agreement and argued that the union should not oppose an arrangement it did not negotiate.

“Why is TUC challenging what was gotten for the workers when we stated clearly that NLC was acting alone?” Ajaero asked.

“The agreement was not signed by TUC, and you don’t kick against something that you didn’t negotiate, you never asked for,” he added.

He added that he would have preferred the TUC to demand a higher allowance so that both unions could negotiate with the government towards a common position.

“I would have preferred a situation whereby if NLC was asking for one naira, TUC would be asking for 10 naira, and probably the government would harmonise it,” Ajaero said.

The NLC president recalled that the disagreement began after the TUC president reportedly said the minimum wage would be due for negotiation in August 2027.

Ajaero said the NLC disagreed with that position, insisting that it was inconsistent with the law, and proceeded with its own engagement with the government.

He said the TUC had also distanced itself from the process after reports emerged that both labour centres were jointly meeting with the government.

“When we started the first meeting, the media reported that NLC and TUC had a meeting. They threatened us and said they are not part of it,” he said.

Ajaero added that the NLC subsequently issued a statement clarifying that it was acting alone in the negotiations.

“We came out with a statement that NLC is on this alone; we are not with TUC. So I would be surprised why TUC would be challenging what was gotten for the workers,” he said.

On calls for a wage increase, Ajaero argued that such an adjustment could not be granted without a formal process involving the relevant stakeholders.

“Does the government dash wage increase? There must be a process put in place,” he said.

He noted that the same TUC had called for the process to begin in August 2027, adding that the NLC had advocated that the relevant committee commence work immediately.

Ajaero said he remained concerned about the TUC’s position on the transport allowance, questioning why the union would reject an arrangement it had not negotiated or secured.

“I have been worried for some time now; why you say you reject something that was not given to you,” he said.