Workers at BlueScope's Port Kembla steelworks voted to accept a pay freeze that would keep the gates open.
The vote was the final piece in the puzzle that was dubbed the "steel crisis" after former CEO Paul O'Malley said the company had to find $200 million in savings or the steelworks would close.
In secret ballot voting on Monday and Tuesday this week, steelworkers voted in favour of the revised agreement that included a pay freeze for three years and no bonuses for the same time frame.
The workers had agreed in principle agreement to the new enterprise agreement at a mass meeting at the Fraternity Club last month, but the secret ballot had to be held to formally accept the offer.
"This was a vote to determine whether the steelworks stayed open or not, and I'm bloody relieved to see that the tough decision has been made to keep the local industry alive," the Australian Workers Union's Wayne Phillips said.
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