The Trade Union Congress of Nigeria (TUC) has rejected the Federal Government's proposed N70,000 transport palliative, citing that temporary wage awards are unsustainable. Instead, the TUC is pushing for an immediate salary increase and full implementation of the outstanding agreement with health workers to address the rising cost of living. The TUC's position was communicated to the Federal Government in a demand letter dated October 8, 2026.
However, the National Secretary of the Joint National Public Service Negotiating Council (JNPSNC), Gbenga Olowoyo, has accepted the N70,000 wage award while reaffirming labour's demand for a N500,000 minimum wage. Olowoyo stated that labour remained committed to the proposed wage but was open to reasonable negotiations with the Federal Government. He described the government's agreement to provide workers with N70,000 transport support monthly for six months as a positive outcome of negotiations.
ActionAid Nigeria and the Nigeria Labour Congress (NLC) have expressed concerns over the poor implementation of the N70,000 minimum wage in some states. A recent assessment put compliance at 67 per cent at the state level and 48 per cent at the local council level. The organisations have called for immediate negotiations for a new minimum wage and a minimum pension, warning that rising inflation, fuel prices, and the declining value of the naira have continued to erode workers' purchasing power.
The NLC President, Joe Ajaero, has urged the government to begin negotiations for a new minimum wage immediately to allow sufficient time for discussions before the next review becomes due in April. He noted that the 2024 National Minimum Wage Act increased the minimum wage from N30,000 to N70,000 and reduced the review cycle from five years to three years without changing the implementation date.
According to the TUC, the statutory minimum wage sets a wage floor, not a ceiling, allowing the government to improve workers' earnings without waiting for a new minimum wage agreement. The TUC argued that some states have already raised their minimum wages above N100,000 and that the government could immediately raise the pay of its lowest-paid workers to N300,000, with appropriate consequential adjustments for other salary levels.
ActionAid Nigeria Country Director, Andrew Mamedu, stated that poor implementation remains one of the major challenges associated with minimum wage adjustments in the country. Mamedu said the organisation collaborated with the NLC to assess compliance across states and local councils and examine lessons from the 2024 wage adjustment ahead of the next negotiations.
The report by ActionAid and NLC also revealed that compliance with the Contributory Pension Scheme (CPS) remained inadequate, particularly in the organised private sector (OPS) and private schools. The report further revealed that although the 36 states and the Federal Capital Territory (FCT) received N5.36 trillion in 2024, many were unable to offset their pension and gratuity liabilities, estimated at N626.8 billion.
Key points
- The Trade Union Congress of Nigeria (TUC) has rejected the Federal Government's proposed N70,000 transport palliative.
- Labour unions are pushing for a N500,000 minimum wage.
- Compliance with the N70,000 minimum wage is at 67 per cent at the state level and 48 per cent at the local council level.
