More than 400 workers at Co Donegal firm Abbotts Ireland have voted against strike action in pursuit of a pay claim.
Following a 24-hour ballot, the 420 workers, who are members of SIPTU, voted by a significant majority against industrial action.
The US-owned firm produces equipment for the healthcare sector. The dispute is part of the workers bid to secure a new two-year wage agreement.
Management and unions went to the Labour Court which recommended a 15.6 per cent pay rise over two years. This offer was initially rejected by both the workers and the company. However, local SIPTU representative Mr Séan Reilly said the Labour Court proposal remains "on the table" following the workers' decision not to strike.
It is understood the company has now accepted the Labour Court proposal.