The City of Toronto and CUPE Local 79, which represents thousands of municipal workers, say they have reached a tentative agreement.
The deal came just before the 12:01 a.m.ET Saturday deadline for a strike or lockout, which would have caused the shutdown of city-run child-care and recreation centres.
The union says in a news release that it secured wage increases and an end to minimum-wage jobs for the duration of the agreement, should it be ratified.
Earlier this week, the city tabled what it described as a final offer to the union, which included a 14.65 per cent wage increase for all positions.
Union leadership said at the time it was preparing a counter-proposal and workers planned to strike starting on Monday if a deal couldn’t be reached.
A city statement says details of the agreement will stay confidential until union members and city council review and ratify it.
