The Federal Government has said the ₦70,000 monthly transport support for federal civil servants is a temporary measure to ease the burden of rising living costs and not a salary increase or negotiated wage award.

The Director-General of the Budget Office of the Federation, Tanimu Yakubu, said the intervention was introduced to provide immediate financial relief to workers while preparations are made for negotiations on a sustainable minimum wage settlement.

Under the arrangement approved by President Bola Ahmed Tinubu, each eligible federal civil servant will receive ₦70,000 monthly for six months, bringing the total payment to ₦420,000 per worker, in addition to existing salaries and allowances.

Yakubu explained that the President approved the support without a request from organised labour or negotiations under the collective bargaining process involving the government, employers and workers.

He said the intervention was intended to help civil servants cope with rising transport costs and leave them with more money to meet household expenses, including food.

According to him, workers have faced increasing financial pressure from inflation, driven partly by changes in global energy markets, supply chains and production costs.

Yakubu said the fixed payment would offer greater relief to lower-paid workers because the amount represents a larger share of their earnings.

He, however, explained that temporary financial assistance and a permanent salary increase have different implications for government spending.

While the transport support covers a fixed six-month period, he said a salary increase would require the government to make additional payments year after year, alongside other related financial commitments.

Yakubu said the government must provide immediate relief to workers while ensuring that any long-term wage increase can be sustained without creating financial obligations it may struggle to meet.

He added that the transport allowance was a commitment by the Federal Government to its own employees and did not require private companies or other employers to introduce similar payments.

According to him, employers have different financial capacities and must determine whether they can afford additional wage-related costs.

On the next national minimum wage review, Yakubu said the exercise was due in July 2027 under the existing three-year review cycle.

He, however, disclosed that the Federal Government had accepted a proposal to begin negotiations before the scheduled date.

The negotiations will involve organised labour, employers and the government, while the Budget Office will provide financial analysis to guide discussions and help the parties reach an agreement that improves workers’ welfare and remains affordable.

Yakubu said the transport support was intended to help workers manage current living costs while the forthcoming wage negotiations would address their longer-term earnings and welfare needs.

He said the government wanted to respond to workers’ immediate difficulties while ensuring that future wage commitments were financially sustainable and could be met when due. (The Nation)