Hong Kong - The threat of strike action by baggage handlers at Hong Kong International Airport was lifted Tuesday as management reached a deal with workers over their end-of-year bonuses.

Thousands of passengers were hit when 1,000 ground workers staged a three-hour strike between Christmas and the New Year top protest over the axing of their bonuses.

They threatened to take further action but the dispute ended Tuesday after management agreed to pay a bonus equivalent to 18 days' pay as well as a separate Chinese New Year bonus.

The dispute was settled after talks between union representatives and management that began Monday and ended Tuesday morning. Union officials said strike action would be taken if the talks failed.

Ground workers in Hong Kong earn an average of about 900 US dollars a month and were not consulted before an announcement that their bonuses were to be cut because of the economic slowdown, union representatives said.

Hong Kong International Airport is the fifth-busiest airport in the world in terms of passenger numbers. In 2007, it handled 47.8 million passengers and 3.74 million tonnes of cargo.//dpa