Bega Cheese has said it is "pleased" to have reached an in principal agreement with the company's Bega workers following the threat of industrial action by unions last week.
The strike, which was planned for 24 hours last Friday, was set to be the first worker's strike in the company's history.
Bega Cheese released a statement on Thursday surrounding this week's negotiations with the Australian Manufacturing Workers' Union, the Australasian Meat Industry Employees Union and the Electrical Trades Union over a new three-year enterprise bargain agreement.
"It was pleasing that this outcome was achieved without any industrial action and due process is now underway to finalise the agreement," the company said.
"We look forward to continuing the good working relationship we have with our employees at the home of Bega Cheese."
The three unions said workers had sent a "strong message" to investors that "they can't take advantage of regional workers, funneling profits away from the local community into the pockets of CEOs and board members".
They said the latest offer from company management, which includes improved wages and conditions including a base increase on wages and payments and allowances satisfying their push for a three per cent increase, comes after "sustained pressure by union members".
It also includes improvements in casual worker rights and new domestic violence support for employees.
Union members said the new offer will be put to workers for a formal vote in coming weeks.