Aer Arann pilots have withdrawn a strike threat after an agreement was reached between the airline and the Irish Airline Pilots’ Association.

The association served strike notice on the company on Friday over a row relating to rosters and pay, which was due to take effect on 27 July.

However both the airline and IALPA today announced that this strike notice had been terminated.

The pilots’ association said “procedural agreements” were now in place to address the issues at the centre of the dispute.

Aer Arann’s Interim Chief Executive Sean Brogan said he was pleased that a “speedy and comprehensive outcome to this matter has been achieved.”

Aer Arann operates the regional network for Aer Lingus - mainly to Britain - and industrial action would likely have had a serious effect on Aer Lingus passengers to regional airports at a time when customers may be seeking to go to the Olympics in London.