FG Sets August Deadline for Payment of Outstanding N35,000 Wage Arrears

(Finance Minister, Taiwo Oyedele. Photo Credit: Daily Trust)

The Federal Government has assured federal civil servants that payment of outstanding N35,000 wage award arrears will commence before mid-August, with the necessary funding approval at its final stage.

Additionally, outstanding promotion arrears are being processed as part of the administration's ongoing efforts to fulfil workers' welfare commitments.

The Finance and Coordinating Minister of the Economy conveyed these assurances during a meeting with leadership of the Joint Public Service Negotiating Council in Abuja on Wednesday.

The minister stated that the administration has already begun addressing several issues raised by organised labour even before formal receipt of their communication, emphasising that President Tinubu's government remains committed to honouring agreements reached with workers.

He underscored that when government makes commitments, it delivers, and that where outstanding issues exist, the administration provides realistic timelines and ensures implementation.

The funding release approval process has reached its concluding stage, and officials expressed confidence that eligible public servants would begin receiving the outstanding wage award before mid-August.

The minister directed ministry officials to immediately review all submissions from the council, engage relevant government agencies, and expedite action on unresolved labour matters.

He acknowledged labour's concerns regarding delays in implementing previous agreements but stated that the government would continue building confidence through transparency and consistent engagement.

The Permanent Secretary of the Finance Ministry pledged closer collaboration with organised labour to ensure approved worker entitlements are processed without unnecessary delays and committed the ministry to ongoing engagement with relevant government institutions to accelerate resolution of outstanding labour issues.

The Permanent Secretary for Special Duties disclosed that Batch 7 promotion arrears, which had been omitted during an earlier payment exercise, is now being processed alongside Batch 9.

He expressed confidence that affected workers would receive their entitlements following processing completion.

The government is additionally working with relevant agencies to resolve issues surrounding payment of the Peculiar Allowance and other outstanding labour-related claims.

A government director overseeing cash management reported that reconciliation of the outstanding wage award has been completed, with the payment release at its final stage.

Eligible workers would begin receiving arrears immediately following the release, whilst processing of promotion arrears would continue according to the approved schedule.

The President of the negotiating council urged the Federal Government to expedite action on pending worker entitlements, identifying the outstanding wage award, promotion arrears, salary relativity for health workers and other unresolved welfare issues as requiring urgent attention.

He stated that timely implementation of outstanding commitments would strengthen industrial harmony and reinforce worker confidence in government commitment to their welfare.

Background context reveals that President Tinubu approved a N35,000 monthly provisional wage award for federal workers in October 2023 as a temporary measure to offset the impact of petrol subsidy removal and rising living costs.

The award, negotiated with organised labour to avert nationwide strike action, was initially approved for six months pending conclusion of negotiations on a new national minimum wage.

Although payments commenced in late 2023, implementation became irregular, leaving several months outstanding.

In April 2025, the Office of the Accountant-General announced that five outstanding months would be paid in instalments of N35,000 each following workers' regular salary payments.

The first tranche was paid in May 2025, followed by a second in August 2025, leaving remaining instalments to be settled in phases.

The new assurance follows recent union communication to the minister requesting an urgent meeting regarding delayed payment of two months' wage award and implementation of a 40 per cent peculiar allowance for federal workers.

The union had sought an audience with the minister on or before August 11, warning that failure to resolve the issues could precipitate unrest among public servants.

The negotiating council expressed disappointment that two previous letters on the matter had received no response, describing the requested meeting as intended to achieve amicable resolution of outstanding welfare demands and avert a "brewing industrial crisis."

Both parties reaffirmed their commitment to sustained dialogue and collaboration to ensure prompt resolution of outstanding labour issues across the federal public service.