FG Begins Payment of N35,000 Wage Award Arrears to Workers
By Patience Ikpeme
The Federal Government has commenced the payment of the N35,000 wage award arrears to its employees.
The Office of the Accountant General of the Federation (OAGF) confirmed this development in a statement signed by Mr. Bawa Mokwa, Director (Press and Public Relations).
The OAGF reported that a significant number of federal government employees have already confirmed receiving the payment, with assurances that those who have not yet received it will do so shortly.
The Office also addressed recent online media reports suggesting that the N35,000 wage award had been excluded from the 2025 Budget. The OAGF clarified that the Accountant General of the Federation, Mr. Babatunde Ogunjimi, never made such a statement to the press. The OAGF reassured affected workers that all outstanding arrears would be paid as promised by the government.
The payments are being disbursed in installments, with beneficiaries receiving N35,000 for five months.
Background on the Wage Award
The N35,000 wage award was introduced by the Federal Government in October 2023 as a provisional measure to cushion the economic impact of the removal of fuel subsidy and the unification of the foreign exchange market. This intervention followed extensive negotiations between the government and organized labor unions, including the Nigeria Labour Congress (NLC) and the Trade Union Congress (TUC), to mitigate the rising cost of living.
The agreement initially stipulated that the wage award would be paid for six months. However, payments for several months had been outstanding, leading to concerns and calls from labor groups for the government to fulfill its commitments. This commencement of payment by the OAGF signals the government’s move to address these arrears.
The wage award is distinct from negotiations for a new national minimum wage, which are currently ongoing between the government, labor unions, and the private sector. The wage award was a temporary measure designed to provide immediate relief, while the new minimum wage is intended to be a more permanent adjustment to workers’ basic remuneration. The payment of these arrears is expected to bring some relief to federal civil servants facing economic challenges.
