Canadian National Railway Co. announced it has reached a tentative agreement with the union that represents about 750 signals and communication employees across Canada.
The railway had encountered a potential strike by the workers represented by the International Brotherhood of Electric Workers.
Details of the tentative four-year agreement, which must still be ratified, were not available immediately.
Workers had voted 95 percent in favour of a strike if a deal could not be reached.
The union had said it was demandingr better work-life balance and higher pay.
The current collective agreement between the union and the railway expired on December 31.
