TUC rejects FG’s N70,000 transport allowance, demands immediate salary increase

The Trade Union Congress of Nigeria (TUC) has rejected the Federal Government’s N70,000 transportation allowance for workers for six months, demanding an immediate salary increase and full implementation of the agreement with the Joint Health Sector Unions (JOHESU).

The union, on Wednesday, argued that permanent salary increases would provide more reliable relief to workers facing rising living costs than temporary interventions, which it said had failed to reach all eligible workers in the past.

The FG had announced the six-month transportation allowance on Tuesday, with implementation scheduled to begin in November 2026, following a conciliation meeting with the leadership of the Nigeria Labour Congress (NLC).

TUC proposes N300,000 salary for lowest-paid federal workers

The TUC said its position followed a demand letter submitted to the Federal Government on October 8, 2026, through the Office of the Secretary to the Government of the Federation, calling for urgent measures to address the economic hardship facing workers and the wider population.

• “In the said letter, our position was very clear, Federal Government should review increase salaries of workers. This was hinged on the fact that government does not require minimum wage to be negotiated before increasing workers’ pay as there is no maximum wage law in the country,” the Union said.

The labour union argued that the Federal Government could raise the salary of its lowest-paid workers from the current N70,000 minimum wage to N300,000, citing state governments that have introduced minimum wages above N100,000.

• “Some states today have raised their minimum wage above N100,000 such that federal government can raise the pay of the lowest worker to N300,000 for example from the current N70,000 and then apply the applicable consequential adjustment,” the union said.
• “While it is good to negotiate minimum wage which will affect other cadre of workers, FGN must raise wage level immediately as there are no law or historical practices stopping it from doing so,” it added.

It rejected the proposed transportation allowance, citing concerns over the implementation of a similar wage award agreed upon by the Federal Government and organised labour in October 2023.

According to the union, the previous wage award was intended to remain in effect until a new minimum wage was agreed in 2024, but its implementation was inconsistent.

• The TUC said some workers were still owed one or two months of the allowance, while others never received it.
• It added that some workers who received up to four months of the N40,000 wage award experienced irregular payments, with one- or two-month intervals and repeated follow-ups required.

The union further claimed that more than 80% of states and the informal sector did not implement any form of wage award.

TUC calls for measures to reduce cost of living

Beyond salary increases, the TUC called on governments at all levels to introduce measures to reduce the cost of essential goods and services and protect workers and other vulnerable Nigerians from rising living costs.

• The union said the economic hardship extends beyond federal government employees to state and local government workers, pensioners, private-sector employees and people working in the informal economy.
• It identified rising costs of food, transportation, healthcare and other essential services as pressures affecting households across the country.

The TUC urged governments to ensure the timely payment of salaries and pensions, protect existing jobs, curb exploitative labour practices and revitalise the productive sector to create decent employment.

Workers’ wage demands

The TUC’s rejection comes amid continued pressure from organised labour over workers’ purchasing power, rising living costs and compliance with existing wage agreements.

• In October 2026, Nairametrics reported that 77.2% of Nigerian households perceived inflation as high in September, up from 67.2% in August, according to the Central Bank of Nigeria’s inflation expectations survey. Households earning below N70,000 recorded the highest inflation perception at 80%.
• In October 2026, the Nigeria Labour Congress (NLC) gave the Federal Government a two-week ultimatum to reduce petrol prices, begin minimum wage renegotiations and address outstanding workers’ demands, citing rising living costs and declining purchasing power.

The demands also included implementation of outstanding agreements with public-sector and health-sector workers, including the February 2026 settlement with JOHESU.