Berlin: Strike action by German rail workers has been called off at the last minute after union bosses and officials from rail operator Deutsche Bahn cut a deal on a wage contract.

The German train drivers’ union GDL had threatened strikes from midnight Monday, which would have meant a protracted dispute over pay conditions – as well as misery for thousands of commuters.

"It's a good day today, and what we had planned from tonight ... will not happen," the head of GDL, Manfred Schell, told reporters after talks with Deutsche Bahn representatives. "And I think it won't be necessary for some time."