FG, Labour Reach Breakthrough Deal on Wage Awards After Two Years of Tension, Avert Nationwide Strike
After nearly two years of mounting pressure, threats of industrial action and prolonged negotiations, the Federal Government and organised labour have finally reached a breakthrough agreement on long-outstanding wage awards and deductions owed to federal workers.
The agreement followed intense negotiations held on Monday, March 2, between government officials and representatives of the Trade Union Side of the Joint National Public Service Negotiating Council (JNPSNC), alongside leaders of the Nigeria Labour Congress (NLC).
Representing the Federal Government at the meeting were the Minister of Finance and Coordinating Minister of the Economy, Wale Edun, the Minister of Labour and Employment, Muhammad Maigari Dingyadi, and the Permanent Secretary of the Federal Ministry of Labour and Employment, Dr. Salihu Usman.
Labour representatives included the NLC Deputy President, Kabiru Ado, NLC General Secretary, Emmanuel Ugboaja, JNPSNC National Secretary, Olowoyo Gbenga, and JNPSNC National Treasurer, Roselyn Uba Anarah, among other union leaders.
The breakthrough came days after labour leaders issued a February 27 ultimatum demanding the immediate release of funds for unpaid wage awards and other allowances — a move that heightened tensions across the federal civil service and raised fears of a nationwide strike.
Following what insiders described as a rigorous and frank closed-door meeting, both sides reached a compromise.
The Federal Ministry of Finance approved the payment of a three-month wage award, which will be disbursed sequentially starting with workers’ February salaries.
Another key issue addressed during the meeting was the persistent delay in remitting third-party deductions, including cooperative contributions and other statutory payments.
Confirming the outcome of the meeting, JNPSNC National Secretary Olowoyo Gbenga described the discussions as exhaustive but productive, noting that both parties showed willingness to reach a solution in the interest of workers and national stability.
He disclosed that the Finance Minister acknowledged the urgency of the situation and approved the long-awaited wage award payments.
Gbenga added that the government assured organised labour that third-party deductions would now be remitted simultaneously with monthly salary payments to prevent further hardship for workers.
He also commended the Minister of Labour and Employment for what he described as a fair and proactive role in facilitating the negotiations.
The negotiations also touched on other outstanding demands, including the implementation of the 40 percent peculiar allowance for federal public servants.
While a final decision was not reached on the issue, the government pledged to continue consultations with labour leaders to ensure proper implementation.
The agreement effectively prevented what could have escalated into a nationwide strike, as organised labour had warned it would take decisive action if the government failed to meet its February 27 deadline.
Meanwhile, the Federal Government has begun paying February 2026 salaries to treasury-funded workers nationwide after resolving a technical issue that delayed the payment schedule.
This was disclosed in a statement issued in Abuja by the Director of Press and Public Relations at the Office of the Accountant-General of the Federation, Bawa Mokwa.
According to the statement, salary payments commenced on Monday, March 2, after authorities fixed a system disruption that affected the payroll process.
The Office of the Accountant-General explained that the delay was caused by a technical hitch, which has now been resolved, adding that measures have been put in place to prevent a recurrence.
The office also confirmed that approval had been granted and that process concluded for the payment of one month’s wage award arrears out of the three months owed to workers.
The wage award was introduced as a temporary relief measure to cushion the impact of economic reforms and rising living costs on public sector employees.
For many federal workers, the latest development offers significant relief after months of uncertainty,while the government says the agreement reflects after months of uncertainty, while the government says the agreement reflects its renewed commitment to dialogue and constructive engagement with labour unions.