The pay dispute among drivers working for Hovis in Bristol has been resolved after they accepted an improved offer from their company.
Around 60 drivers in Avonmouth were threatening to go out on strike after they were offered a 3% pay rise.
The Unite union said that with RPI standing at 3.4%, Hovis had effectively handed the drivers a pay cut.
The union said thousands of loaves of bread were made at the site each hour and industrial action would lead to shortages in supermarkets and retail outlets throughout the South West and as far as the West Midlands.
However, following further negotiations, the company put forward a renewed offer that has now been accepted, although the terms of the deal have not been released.
A Hovis spokesperson said: “After six months of constructive pay negotiations with drivers at the Avonmouth site, we are pleased that our offer has been accepted.
“We would like to thank the union representatives for their collaboration and willingness to work constructively with us to reach this agreement. We look forward to continuing to work positively with them in the future.
“We remain committed to ensuring wages stay competitive, despite the well-publicised economic challenges facing the UK bakery sector.”
Unite regional officer John Sweeney said: “Our members at Hovis Avonmouth have accepted an improved offer from their employer. We are pleased to say the dispute has now been resolved.”
