The Psychiatric Nurses Association has announced that it is suspending its ban on overtime working with immediate effect.
The overtime ban has been in place since Thursday in a dispute over staffing.
The PNA said the move follows intensive talks with the Health Service Executive at which the PNA received assurances on a number of issues at the centre of the action.
The associaiton, which represents around 6,000 psychiatric nurses, said there had been significant progress in relation to proceeding with the recruitment of mental health nursing approved posts.
In addition, it said, it has advised the employer that it will be pursuing its demand on the applicability of an existing allowance to a wider cohort of mental health nurses.
The PNA said it will meet the HSE again early next week to finalise what has been agreed at Friday's talks.
The associaiton's Officer Board will then meet on Thursday to review the progress of the engagement with the HSE against the background of the suspended withdrawal of overtime.
In a statement, HSE said it welcomed the PNA's decision to defer industrial action, and it "looks forward to engaging with the PNA in the coming week with a view to resolving the issues under discussion".