It appears a strike by Canada Post workers has been averted, at least for now.

The union representing urban postal workers presented a new contract proposal Sunday and decided not to give the 72 hour notice needed to take job action.

The Canadian Union of Postal Workers says its proposal includes important compromises.

It says the proposal covers all unresolved issues at the bargaining table, which include wages and benefits, staffing levels and working conditions.

Canada Post will only say negotiations continue and it's focused on reaching a settlement.

The union had threatened job action if a deal wasn't reached by this week. The lack of a 72-hour notice effectively means the earliest the union could strike would be Friday.

An earlier agreement covering some 50,000 employees expired on Jan. 31, and talks on a new deal began last fall.

Last week, Canada Post reached an agreement with the union to bring in volunteer postal workers to deliver cheques to pensioners and those on social assistance should a labour disruption occur.

Federal Labour Minister Lisa Raitt urged both sides to reach a deal to avert a potential disruption of the country's mail service.