Strike action at First Cymru has been suspended while bus workers consider a fresh pay offer.
The two-month walkout, which was due to begin on Thursday, is now on hold while the Unite union holds a ballot among its members next week.
Services to and from Llantwit Major have been hit by two four-day strikes in the last month.
The union previously accused the operator of low pay rates and attempts to withhold back-pay.
Alan McCarthy, Unite's regional organiser in Wales, said: "Following the announcement of a winter of strike action, First Cymru has finally come forward with an improved pay offer."
"As an act of goodwill, Unite has agreed to suspend strike action while a ballot of our members takes place."
First Cymru's managing director said constructive talks have been held with Unite and the conciliation service ACAS.
Doug Claringbold added: "As a result, Unite have agreed to suspend planned industrial action, pending a ballot to members on a revised pay offer."
"This has been an extensive negotiation process where we have listened to Unite member feedback and made several offers in order to try and reach an agreement."
"Our services will continue to run as planned, which is great news for customers who rely on us to get to work, school and other important events and appointments."
Unite said the ballot will close on 28th November - but if the latest offer is rejected, strike action will begin on Sunday 7th December and continue until Sunday 21st January.

Barry’s Own Daniel White to Walk 190 Miles Back to Where His Round Table Story Began
1,300 people attend Flying Start Family Fun Day
Dispersal order put in place to tackle anti-social behaviour
Interim Chief Executive Appointed at Cardiff and Vale University Health Board
Cardiff Theatre Marks 50 Years of Service for Long‑Standing Staff Member
Council to review use of GP letters as evidence for disability claims
Plans have been put in place to redevelop a complex with more than 20 flats
Vale Council Reaccredited Under White Ribbon Scheme as Part of Ongoing Work to Tackle Violence Against Women and Girls
Two Vale Restaurants Among Those Set to Close as Whitbread Shuts Brewers Fayre and Beefeater Chains
Vale Council Issues Safety Warning After Gas Canisters Found in Household Recycling
Cogan Primary School Praised for its Inclusive Culture and Strong Leadership in Estyn Inspection
Senedd Members Call to Tackle Substance Use Stigma
Calls for Welsh Government to Match England's Pub Business Rates Cut
Caerdydd Penarth MS backs campaign to make rail station more accessible
Barry Waterfront Regeneration Project Moves a Step Closer
Age Cymru Responds to VAT cut to household electricity bills
Old Post Office in St Brides Major could be converted into a new house and set of flats
Kanishka Narayan retains AI Minister role as Burnham Signals Early Priorities
Victorian Building on Broad Street could become a new daycare centre