TUC Rejects FG’s ₦70,000 Allowance, Demands Salary Increase
The Trade Union Congress (TUC) has rejected the Federal Government’s proposed ₦70,000 monthly transport allowance for public servants, demanding a permanent salary increase instead.
TUC President Festus Osifo said the government does not need to wait for negotiations on a new national minimum wage before increasing workers’ salaries.
Speaking on Channels Television’s Politics Today on Wednesday, October 28, 2026, Osifo argued that salary adjustments and minimum wage negotiations are separate matters.
https://twitter.com/channelstv/status/2115512657784562105/video/1?s=46
He maintained that the government could improve workers’ earnings immediately without reopening negotiations on the national minimum wage.
Why TUC Rejected the ₦70,000 Allowance
The Federal Government approved a ₦70,000 monthly transport allowance for public servants across all levels for six months, beginning in November 2026.
The agreement followed a conciliation meeting between government representatives and the Nigeria Labour Congress (NLC) in Abuja on Tuesday, October 27.
However, the TUC described the arrangement as temporary and insufficient to address the economic challenges facing Nigerian workers.
Osifo explained that the union preferred a lasting salary adjustment rather than another short-term intervention.
He argued that increasing salaries would provide workers with more reliable financial support amid rising living costs.
TUC Demands ₦300,000 Salary for Lowest-Paid Workers
The TUC also proposed that the Federal Government could raise the salary of its lowest-paid worker from ₦70,000 to ₦300,000.
The union said there is no law preventing the government from increasing salaries above the national minimum wage.
It cited state governments that have approved minimum wages exceeding ₦100,000 as examples of higher wage levels.
According to Osifo, the minimum wage establishes a legal wage floor but does not prevent employers from reviewing salaries upward.
The TUC therefore urged the government to implement immediate salary increases alongside appropriate adjustments for other categories of workers.
The proposed ₦300,000 salary remains a union demand and has not been approved by the Federal Government.
TUC Raises Concerns Over Unpaid 2023 Wage Awards
The union also questioned the government’s decision to introduce another temporary payment arrangement.
It recalled that the Federal Government agreed to a ₦40,000 wage award in October 2023 to support workers pending the introduction of a new minimum wage.
However, the TUC alleged that the arrangement was not fully implemented.
According to the union, some workers were owed outstanding payments, while others did not receive the allowance.
It also claimed that some beneficiaries experienced irregular payments, with delays lasting several months.
The TUC argued that these experiences had weakened workers’ confidence in temporary government interventions.
FG’s ₦70,000 Allowance Could Cost ₦465.7bn
A report by Punch on Thursday, October 29, estimated that the six-month transport allowance could cost the Federal Government approximately ₦465.7 billion.
The estimate assumes that all 1.1 million employee records on the federal payroll system qualify for the payment.
However, the agreement did not specify the total number of eligible beneficiaries or the final budget for the intervention.
The projected cost has raised questions about the financial sustainability of temporary allowances and whether permanent salary adjustments would provide better long-term support.
TUC Demands Implementation of Health Workers’ Agreement
Beyond the transport allowance, the TUC called on the Federal Government to implement its outstanding agreement with the Joint Health Sector Unions (JOHESU).
The union said the government had failed to complete the agreed adjustment to the Consolidated Health Salary Structure .
According to the TUC, the agreement helped bring an earlier industrial dispute to an end.
However, the union alleged that the outstanding salary adjustment remained unimplemented seven months later.
It called for a clear implementation timetable, adequate budgetary provisions and the settlement of outstanding obligations to health workers.
What Happens Next?
The TUC said it would await the outcome of its scheduled meeting with the Federal Government before deciding on further action.
The union also demanded measures to reduce the cost of living, protect jobs and ensure timely payment of salaries and pensions.
Meanwhile, the proposed ₦70,000 transport allowance is expected to begin in November under the agreement reached with the NLC.
The disagreement highlights differing approaches within organised labour over how the government should address workers’ financial difficulties.
Whether the Federal Government will reconsider the temporary allowance or negotiate a permanent salary increase remains uncertain.
Discover more from LN247
Subscribe to get the latest posts sent to your email.
