All buses in Auckland will resume their normal services on Friday after weeks of strike action.
After nearly a month of stalemate, NZ Bus has reached an agreement with First Union and Tramways Union.
Auckland Transport announced on Twitter that all strike action has now been withdrawn.
However FIRST Union says there are still issues to be resolved.
"Serious concerns about wages and conditions have not yet been fully resolved, but with the Council's input and oversight, the process of negotiation now has a fairer and more transparent basis to work from," said FIRST Union secretary for transport Jared Abbott.
"Drivers will be back to their routes from tomorrow, though some major concerns remain about future negotiations with NZ Bus and further industrial action may be possible depending on the tone of negotiations going forward."
Bus drivers have been striking since mid-November over wage disputes and poor work conditions.
Last Friday, FIRST Union and Tramways Union announced close to 800 drivers would not take fares from passengers between December 7 and December 24.
NZ Bus then suspended all drivers who took strike action, leaving Auckland commuters stranded with almost no public transport running.