Aircraft maintenance engineers work in the hangar at airports and in workshops to carry out maintenance, identify defects, undertake modifications, repair and service.

Air New Zealand says three days of strike action planned for next week has been called off.

"Three days of mediated negotiations concluded this [Wednesday] evening with the parties reaching an agreement that the unions will now take to their members to vote on," it said in a statement.

Bill Newson, the national secretary of E Tū, told Stuff on Wednesday night that the union had reached settlement with the airline and that "did include lifting the strike action".

Air New Zealand and unions Aviation and Marine Engineers Association (AMEA) and E tū were arguing over conditions for aircraft maintenance and logistics workers.

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The unions had served two sets of strike notices covering December 21, 22 and 23, three of the busiest days of the year for travel.

Air New Zealand chief ground operations officer Carrie Hurihanganui said the airline was focused on achieving resolution on behalf of its customers.

"We know how important it is to our customers to get where they need to be, particularly at this special time of the year and the negotiating teams have been working diligently to achieve this result."