Pushback over N70,000 allowance – Daily Trust

By Idowu Isamotu, Daniel Adaji, Abuja & Abdullateef Aliyu, Lagos

The management of the Trade Union Congress (TUC) on Wednesday rejected the federal authorities’s proposed six-month N70,000 transportation allowance for staff.

The Congress, which described the federal government’s plan as a “haphazard measure” to cushion the consequences of gasoline subsidy elimination, demanded a right away wage increment for staff.

Daily Trust stories that the federal government had on Tuesday authorised a N70,000 month-to-month transport allowance for public servants, starting in November, to cushion the impression of rising residing prices.

The approval was one of many resolutions reached at a conciliation assembly between the federal authorities and the Nigeria Labour Congress (NLC) in Abuja on Tuesday.

This adopted renewed strain from organised labour over staff’ welfare, the rising price of residing and excellent agreements.

At the assembly, the federal government additionally authorised the fee of excellent peculiar allowance arrears, efficient from May 1, 2026, in three equal month-to-month instalments starting in November.

The assembly, which lasted a number of hours, witnessed a whole lot of disagreements and a collection of back-and-forth, in keeping with a senior labour chief who spoke to Daily Trust on situation of anonymity on Wednesday.

“What we first demanded in the course of the assembly was fast discount of the gasoline worth, however these on the federal government facet opposed it. This led to disagreements for hours earlier than the chief conciliator appealed to everybody.

“After all the back-and-forth, the government side proposed N70,000 transport allowance for six months, not tagged wage award this time, and we reached a consensus on this,” the supply stated.

Although the events agreed to right away represent a Minimum Wage Negotiation Committee, they did not agree on the efficient date for implementing the nationwide minimal wage.

A memorandum of understanding signed on the finish of the assembly, the place the resolutions have been contained, confirmed that management of the TUC was not a part of the choice.

Checks confirmed that the MoU was signed by the Director-General of Budget, Timi Yakubu; NLC President, Joe Ajaero; the Permanent Secretary, Service Welfare Office, Office of the Head of the Civil Service of the Federation, Dr Garba Abdul S.U. and the Minister of Labour and Employment, Maigari Dingyadi.

TUC kicks

The TUC argued that whereas it’s good to barter minimal wage, which can have an effect on different cadres of staff, the federal government should increase the wage stage instantly.

Speaking to journalists in Abuja shortly after rising from its National Administrative Council (NAC) assembly, the President of TUC, Festus Osifo, who was flanked by the General Secretary, Nuhu Toro, stated there aren’t any legal guidelines or historic practices stopping the federal government from doing so.

He maintained that momentary wage awards are usually not sustainable, arguing that the wage award agreed on October 2, 2023 was to be carried out till a minimal wage was mounted in 2024 however was not enforced holistically.

He stated, “How can we return to the identical wage award that by no means benefited all staff? How can staff be anticipated to belief recent guarantees when earlier obligations stay excellent?

“There was irregularity within the fee of the wage award of 2023. Those who even bought as much as 4 months’ wage award of N40,000 by no means bought it each month, however with one or two months’ interval and several other pushes.

“Over 80% of the states and casual sector by no means carried out any type of wage award. From the foregoing, we additional reiterate our demand for a pay rise for all authorities staff, as wage is the one constant and far-reaching pay that staff can depend upon.

“This was our position during the consultative interaction, and it’s still our position today, as we strongly believe that the long sacrifices of Nigerian workers should not be sacrificed on the altar of an ill-conceived temporary measure. Negotiations of a new national minimum wage must not become an excuse for postponing urgent pay increments.”

The labour chief stated in the course of the union’s final interplay with the federal government officers, it additionally maintained that the financial disaster impacts not solely federal staff but in addition state and native authorities workers.

He listed pensioners, personal sector staff and staff within the casual economic system as a part of those that face rising prices of meals, transportation, healthcare and different necessities.

The TUC, nevertheless, referred to as on governments in any respect ranges to implement measurable interventions to cut back the price of important items and companies.

It additionally charged the federal government to make sure well timed fee of salaries and pensions, defend present jobs, curb exploitative labour practices and revitalise the productive sector to create first rate employment.

The Congress additionally reiterated that these interventions have to be inclusive, adequately funded and supported by clear implementation timelines.

Osifo additionally charged the federal government to maneuver past coverage bulletins and exhibit tangible enhancements within the residing circumstances of Nigerians.

Pensioners protest exclusion from transport allowance

Meanwhile, members of the Nigeria Union of Pensioners (NUP) have condemned their exclusion from the N70,000 month-to-month transport allowance authorised for serving public servants.

At a press briefing in Abuja on Wednesday, they referred to as on President Bola Ahmed Tinubu to intervene and be sure that pensioners are given honest consideration.

The NUP President, Godwin Abumisi, described the exclusion as “unjust”, saying retired staff have been additionally grappling with rising transportation prices, meals costs and healthcare bills.

Abumisi, who was represented by the union’s Deputy President, Abdullahi Usman, argued that pensioners, who devoted their productive years to nationwide service, shouldn’t be uncared for in authorities measures designed to cushion the consequences of rising residing prices.

The NUP famous that retirees rely upon public transportation to entry hospitals, attend medical appointments, buy meals and meet different important wants, including that many pensioners wrestle to outlive on insufficient pensions.

The union additionally faulted organised labour for allegedly failing to adequately defend the pursuits of pensioners throughout negotiations over the transport allowance.

It described the state of affairs as a mirrored image of the “insensitivity of civil servants to the plight of their former colleagues, whom they will eventually join in the retirement ship.”

Beyond the transport allowance, the NUP expressed considerations over the non-payment of the N25,000 month-to-month palliative promised by the federal authorities to susceptible households, together with pensioners, beneath its October 2, 2023, Memorandum of Understanding with the NLC and the TUC.

Under the settlement, the federal authorities dedicated to paying N25,000 month-to-month for 3 months, amounting to N75,000 per eligible beneficiary.

The union lamented that the dedication remained unfulfilled for eligible pensioners and referred to as on the Federal Ministry of Humanitarian Affairs and Poverty Reduction, led by Dr Bernard Doro, to elucidate the standing of the programme, determine obstacles to fee, and supply a particular implementation timeline.

It demanded that the federal government both prolong the N70,000 month-to-month allowance to eligible retirees or introduce an equal assist measure to handle their transportation bills.

The union additionally referred to as for significant session with pensioners’ representatives each time the federal government and organised labour negotiate welfare insurance policies that would have an effect on retirees.

The NUP stated it might proceed to pursue all professional and lawful means to guard the rights and welfare of its members if the federal government failed to handle its considerations.

Relief measures and implementation questions

The newest announcement provides to a rising checklist of interventions launched by the President Tinubu administration to cushion the consequences of financial reforms, rising meals costs and better transportation prices.

Approved in October 2023, the federal authorities launched a N35,000 month-to-month wage award for federal staff as a brief measure following the elimination of the petrol subsidy. However, funds of the related arrears skilled delays.

The Office of the Accountant-General of the Federation introduced funds of arrears in May 2025, however subsequent instalments reportedly slipped past their preliminary schedules. In August 2026, the Minister of Finance and Coordinating Minister of the Economy directed that the excellent wage awards be paid earlier than the center of the month.

The authorities has additionally carried out the N70,000 nationwide minimal wage for federal staff, changing the earlier N30,000 statutory minimal wage. The National Youth Service Corps (NYSC) month-to-month allowance was additionally elevated from N33,000 to N77,000.

However, the newest settlement with organised labour reveals that staff’ welfare considerations stay unresolved amid the rising price of residing.

The Presidential Compressed Natural Gas Initiative is one other main element of the federal government’s technique to cut back transportation prices following the elimination of the petrol subsidy.

The programme seeks to decrease the price of transportation by selling compressed pure fuel (CNG) in its place gasoline, deploying buses, offering vehicle-conversion kits and increasing refuelling infrastructure.

President Tinubu had stated in late August that governors had agreed to take a collection of measures to cut back the price of transportation throughout the nation via the adoption of CNG and electrical automobiles within the public transport system by October 1.

Findings by this paper confirmed that many states have only one CNG station, some have two or three, whereas others have none amid a dearth of CNG conversion services in most states. Checks revealed that transport fares stay excessive throughout the nation.

Meanwhile, the federal authorities stated about 670 Compressed Natural Gas (CNG) buses have been deployed nationwide, whereas its cleaner cooking programme targets 5 million households by 2030 as a part of efforts to develop entry to inexpensive power.

The figures have been disclosed throughout a media engagement organised by the Decade of Gas Secretariat in collaboration with the Presidential Initiative on Compressed Natural Gas and Electric Vehicles (PI-CNG & EV) in Kano State not too long ago.

Reacting to the federal authorities’s approval of a N70,000 month-to-month transport allowance for public servants, Comrade Omenazu Jackson, Chancellor of the International Society for Social Justice and Human Rights (ISSJHR), referred to as for extra inclusive financial aid measures to handle the hardship dealing with tens of millions of Nigerians outdoors the general public service.

Jackson stated the federal government should prolong its social safety measures to casual sector staff, together with petty merchants, artisans, unemployed graduates, pensioners, farmers and different susceptible teams struggling to afford requirements.

He stated though civil servants deserved improved welfare, the federal government should additionally take into account Nigerians who had no assured month-to-month revenue, employment advantages or reliable social safety.

“The federal government’s announcement of a N70,000 monthly transportation allowance for eligible public servants raises an important question of social justice: What relief is available to the millions of Nigerians who are equally hungry but are neither civil servants nor beneficiaries of comparable welfare arrangements?” He requested.

Jackson acknowledged that the allowance may present momentary aid to eligible staff however argued that its effectiveness ought to be assessed based mostly on implementation, precise advantages to recipients and its contribution to addressing the broader cost-of-living disaster.

He urged the federal government to publish clear stories detailing the allowance’s eligibility standards, funding preparations, fee schedules and implementation outcomes, stressing that public bulletins should translate into measurable enhancements in folks’s lives.

The ISSJHR chancellor additionally urged the federal government to prioritise meals affordability, strengthen agricultural manufacturing, develop employment alternatives and cut back the price of important items and companies.

He stated the transport allowance ought to complement, relatively than change, a broader financial technique addressing starvation, poverty and declining family buying energy.

“The welfare of civil servants is important, but it must not be mistaken for the welfare of the entire Nigerian population,” Jackson stated.

Also reacting to the difficulty, the Country Director of Accountability Lab Nigeria, Friday Odeh, stated the intervention was inadequate to handle the nation’s wider cost-of-living disaster.

Odeh stated Nigerians have been justified in expressing frustration, arguing {that a} six-month transport fee to a fraction of the inhabitants couldn’t resolve widespread starvation.

“Nigerians are right to be frustrated: hunger is not and cannot be solved by a six-month transport payment to a fraction of the population,” he stated.

He described the allowance as a concession to labour strain relatively than a complete hunger-relief programme, including that its momentary nature and restricted protection raised questions on its potential to ease financial hardship.

The Accountability Lab director referred to as for clear fee data, impartial monitoring and broader aid measures for Nigerians excluded from the allowance, together with informal-sector staff, unemployed folks, rural households and low-income households.

He advisable verified money transfers, meals assist and subsidised transport as a part of a wider response to the financial challenges dealing with households.

“Until payments arrive on time and coverage widens beyond April 2027, citizens are justified in treating this as a partial stopgap,” he stated.

An financial professional, Dr. Marcel Okeke, stated measures launched by the federal government to convey aid to Nigerians had largely remained efficient as a result of there was no construction in place to make them work.

Okeke stated Nigeria seems to be dealing with “a cul de sac,” saying the federal government is simply “beating about the bush.”

He stated, “What the federal government is doing now could be too little, too late. For a authorities that has 4 years to be doing what it’s doing now, why is it introducing these measures about 40 months after its inauguration, when it has only some months left earlier than the subsequent election cycle gathers momentum?

“These are panic measures being launched right here and there, virtually as if the federal government is making an attempt to construct a manifesto forward of one other election. There is a whole lot of movement with out motion as a result of not one of the measures you may have talked about is really addressing the plight of the folks.

“The main problem is the variety of Nigerians that the financial reforms have pushed into poverty over the previous three years. The price of residing has risen considerably, and the federal government must introduce measures that may genuinely enhance folks’s buying energy. The most necessary factor is to give you measures that may add extra weight to the cash within the pocket of Nigerians.

“For occasion, the federal government is speaking a few N70,000 transport allowance and wage will increase. But we should ask what N70,000 can obtain within the current financial state of affairs, that cash will be exhausted inside one or two weeks.

“What happens after that? Where is the money for food, healthcare, housing and taking care of the family? People have other essential expenses to meet. So, the entire intervention is too little and too late.”

Okeke additionally lamented that the petrol low cost introduced by the Nigerian National Petroleum Company Limited (NNPC) on petrol didn’t work.

He added, “The authorities additionally introduced that transportation prices would crash nationwide from October 1. Has that occurred? Consider the push for compressed pure fuel (CNG). The infrastructure wanted to assist the transition isn’t accessible in lots of areas. How do you anticipate folks to modify to gas-powered automobiles when the required services are usually not accessible?

“The authorities says precedence ought to be given to public transport automobiles, however what number of of those automobiles have been offered throughout the states? They stay few and much between. These interventions are being introduced with out enough buildings to make them work. It is as if the federal government is sprinkling measures in all places whereas participating in propaganda.

“My question is: are these initiatives part of an established economic blueprint, or do government officials simply wake up and decide what to announce next? The best way to describe the situation is ad-hocism. Everything appears to be done on an ad hoc basis. You cannot manage a government or an economy that way. Every day, there is a new pronouncement, but the public is left wondering how the policies fit together.”

FG urged to chop gasoline prices

Professor Mufutau Ijaiya, a monetary and financial analyst, urged the federal authorities to discover an settlement with Dangote Refinery to cut back the price of petroleum merchandise, saying decrease gasoline costs may present widespread aid to Nigerians grappling with the rising price of residing.

The professor questioned the effectiveness of wage awards and different monetary interventions, arguing that rising costs may erode their advantages earlier than staff acquired the funds.

“Once an increase in wages or allowances is announced, some traders and service providers may adjust their prices in anticipation, leaving workers with little or no real improvement in their purchasing power,” he stated.

Ijaiya stated the federal government wanted to sort out inflation and tackle the underlying components driving up the costs of important items and companies relatively than relying solely on wage awards, transport allowances and different monetary help to staff.

“The government needs to find a way to bring inflation down because it remains very high,” he stated, noting that world developments, together with the Middle East disaster and the Russia-Ukraine battle, had contributed to rising costs.

According to him, gasoline costs have important implications for the broader economic system due to their results on transportation, meals manufacturing and the distribution of products.

“Whenever oil prices rise, the effects are felt across the economy, including transportation, food production and the cost of delivering goods and services,” he stated.

“I think the government should explore an agreement with Dangote Refinery to reduce the cost of fuel. It should look at the cost of production and consider whether crude oil can be supplied to the refinery at an agreed price, with a corresponding commitment to sell refined products at a price that provides relief to Nigerians,” he stated.

The analyst acknowledged that supplying crude oil at a decreased worth may have an effect on authorities income however argued that the potential advantages to shoppers must also be thought-about.

“If crude oil is equipped at a decreased worth, the federal government could earn much less from the transaction. However, the query is whether or not the nation can afford to proceed with the current state of affairs when Nigerians are battling the excessive price of residing.

“I believe that 70 per cent of the petroleum products consumed in Nigeria are now refined locally by Dangote Refinery. The government should take advantage of this development to develop a solution that will benefit Nigerians,” he stated.

According to him, the state of affairs differs from the earlier gasoline subsidy regime, when the federal government confronted the burden of supporting the costs of imported petroleum merchandise.