A planned 48-hour pay strike by baggage handlers and check-in staff at 18 airports from Friday has been called off.
Members of Unite employed by Swissport were due to walk out from Friday, threatening disruption for families and other travellers leaving the UK for Christmas.
They had voted for industrial action in protest at a 4.65 per cent pay offer for three years.
However, the strike was called off following talks at the conciliation service Acas.
Unite general secretary Len McCluskey said the strike had been cancelled after an improved pay offer.
"I am delighted to report that we have reached an agreement which our shop stewards will recommend to our members," he said.
Talks are continuing to try to avert strikes by British Airways cabin crew, but Mr McCluskey said progress was "painfully slow".
British Airways cabin crew are due to strike on Christmas Day and Boxing Day in a separate dispute over pay.
The airline said it will run a full service despite the strike.
Strikes could also spread to London Underground (LU) in the New Year because of a long-running dispute over jobs, it was warned.
Thousands of rail and Post Office workers continued to take industrial action on Tuesday, with more walkouts planned.
Members of the Rail, Maritime and Transport union (RMT) at Southern Railway completed a 48-hour stoppage in a long-running row over the role of conductors.
Coupled with a continuing ban on overtime by drivers in Aslef, the action caused fresh chaos for Southern's passengers, with services delayed or cancelled.
Post Office workers in the Communication Workers Union remained on strike in a dispute over jobs, pensions and branch closures.
Additional reporting by Press Association
