The Federal Government has officially suspended the enforcement of recent circulars that introduced revised allowances for medical, dental, and other healthcare professionals working within the federal public service. This move comes amid growing dissatisfaction and threats of industrial action from medical professionals, who argue that the changes were implemented without adequate consultation.
Finance Minister Chairs High-Level Meeting
The decision to halt implementation emerged from a meeting convened on Monday, July 21, 2025, and chaired by the Minister of Finance and Coordinating Minister of the Economy, who also leads the Presidential Committee on Salaries (PCS). The meeting highlighted the necessity for more inclusive dialogue with key stakeholders in both the health and education sectors.
In a memo signed by Ekpo U. O. Nta, Esq., the Chairman and Chief Executive Officer of the National Salaries, Incomes and Wages Commission (NSIWC), the government cited the need for additional consultation before proceeding with the controversial changes. The suspended circulars include references SWC/S/04/S.218/III/646 and SWC/S/04/S.218/III/651, both issued on June 27, 2025, and SWC/S/04/S.410/VII/658, dated June 30, 2025.
According to the memo, “The circulars will remain suspended to allow further consultation with various professional associations and unions in the health and education sectors.”
Circulars Sent to Key Federal Agencies
The halted circulars had already been circulated to an extensive range of federal bodies, including ministries, agencies, parastatals, and government-owned enterprises. Those who received copies include federal ministers, permanent secretaries, heads of commissions, and directors-general.
This suspension marks a significant development in the federal government’s approach to resolving growing unrest in the health sector. By pausing the implementation of the new pay structure, the government signals a willingness to reevaluate its stance in light of widespread objections from health professionals.
Doctors Push Back: NMA’s 21-Day Ultimatum
This decision comes just weeks after the Nigerian Medical Association (NMA) issued a strong 21-day ultimatum on July 2, 2025, demanding the federal government reverse the circulars and meet several outstanding demands. The NMA criticized the circulars as being unilaterally introduced and as detrimental to the welfare of medical practitioners.
NMA President, Professor Audu Bala, emphasized that the documents contained provisions not mutually agreed upon and insisted that the changes were inconsistent with previously negotiated agreements. According to him, “The provisions in the circular undermine the remuneration and welfare of medical professionals. These were not items that emerged from collective bargaining.”
Nationwide Medical Services at Risk
On the same day the suspension was announced, the NMA doubled down on its warning, threatening to shut down medical services nationwide if their concerns remain unaddressed beyond the July 23 deadline.
Professor Bala said, “We have made our position clear. The ultimatum ends on July 23, and if the Federal Government does not address our demands, we may have no choice but to proceed with a strike.”
This looming strike action has created widespread concern about the potential disruption to healthcare delivery across Nigeria, especially in public hospitals already stretched by resource shortages and staffing gaps.
Implications for Broader Public Sector Wage Reforms
The decision to pause implementation of the revised allowances reflects broader challenges facing the government in reforming the public sector wage structure. With the health and education sectors already under financial and structural pressure, reforms that are not carefully negotiated risk triggering major pushback.
Labor unions and professional associations have long complained about being sidelined in discussions that affect their pay and conditions. As the government continues its attempt to streamline and possibly rationalize public service remuneration, it faces the uphill task of balancing fiscal sustainability with fair and acceptable working conditions.
Next Steps: Dialogue and Resolution
The government has now opened the door for renewed consultations. The suspended circulars will remain inactive until broader consensus is achieved through engagement with professional bodies and labor unions, particularly in the health and education sectors.
With just days left before the NMA’s ultimatum expires, attention now turns to whether the government can reach a workable compromise that prevents a national strike. Stakeholders across the country will be closely watching developments in the coming days, as the outcome could have far-reaching consequences for both healthcare delivery and public service reform in Nigeria.
