The Unite union is seeking a £500 bonus for members who work during the Olympics.
Staff working on the DLR, Tube, Cycle Hire and London Overground have all agreed extra Olympic payments.
Although London’s bus services are regulated by Transport for London, the drivers and other staff are employed by private bus companies.
Mayor Boris Johnson has previously called on employers and the union to settle their dispute and secured £8.3m from the Olympic Delivery Authority to fund the bonuses.
Today TfL offered to share additional bus fare revenue generated during the Games with operators provided they then pass it on to their employees.
TFL says the offer means “all London bus staff affected by the London 2012 Games would earn over £700, on top of their existing salaries, if they worked shifts on 24 of the 29 days of the Olympic and Paralympic Games.”
Settlement talks between bus operators and the union will now continue at ACAS.
TfL’s Managing Director Surface Transport, Leon Daniels, said: “We welcome the news that the planned strike action on the bus network has now been suspended.
“Londoners will no doubt be relieved that the two parties – the bus operators and the union – will now be continuing their negotiations and that they will not face disruption tomorrow.”
