The current standoff between the Papua New Guinea government and the PNG Communication Workers Union is over - for the time being.
Negotiations have begun between the two parties which has led to the withdrawal of a union ultimatum of widespread disruption.
The Union is demanding a pay rise and that Telikom's strategic advisors, KPMG be dumped.
The board of Telikom has now agreed to a four percent wage increase, pending confirmation that Telikom's draft net profit is at least 30 percent.
The Union says its confident that the auditors will show a 30 percent profit when the figures are released in a week's time.
Negotiations over KPMG are about to enter their third day and the General Secretary of the PNG Communications Workers Union, Emmanual Kairu, says they are optimistic of a good outcome.
"We're quietly confident, we're quietly confident. The signals are that they're willing to talk to us and they're willing to reconsider, the indications are they may reconsider the governments position. We will serve notice to the government if we are dissatisfied in a week's time."
The General Secretary of the PNG Communications Workers Union, Emmanual Kairu