The federal government has approved the payment of N35,000 as a relief allowance to all federal civil servants, in order to cushion the impact of the recent removal of fuel subsidy.

According to a circular issued by the Chairman of the National Salaries, Incomes and Wages Commission, Ekpo Nta, the N35,000 payment was approved by President Bola Ahmed Tinubu.

The circular stated that the approval follows the memorandum of understanding reached between the federal government, Nigeria Labour Congress (NLC) and Trade Union Congress of Nigeria (TUC) after the dispute over the withdrawal of fuel subsidy.

The N35,000 monthly allowance for federal workers is to take effect from September 1, 2023 pending the enactment of a new national minimum wage.

For treasury-funded MDAs, the payment will come from budgetary provisions. Non-treasury funded agencies are expected to implement it from their internally generated revenues.

The NLC and TUC had threatened nationwide strikes over the fuel subsidy removal before the truce was reached with the federal government.

Labour argued that abolishing the subsidy under current economic realities would impose further hardship on citizens.

The N35,000 relief allowance for civil servants is aimed at cushioning the impact on their income. Analysts say workers in many states may also demand similar payments to augment their earnings.

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