A threat by more than 100 publicans to close their TAB outlets on Melbourne Cup day in protest at reduced commissions is off, Hospitality Association chief executive Bruce Robertson says.
However, some individual publicans might still close their outlets, he said.
The TAB cut bar owners' commission from about 2.5% to between 0.5 and 1% in early August for 112 of the 397 hotels and clubs with betting facilities.
Mr Robertson said in September the 112 affected were seriously considering boycotting tomorrow's Melbourne Cup.
The race is Australasia's biggest of the year and raked in a turnover of $7.6 million for the TAB last year, with many people making their only bet of the year.
Mr Robertson said today the industrial action had been put on hold as discussions with the TAB were ongoing.
A boycott on Melbourne Cup day was a serious thing for publicans to consider because it would breach their contract with the TAB, he said in September.
New Zealand Lotteries was also a monopoly gambling provider in New Zealand and paid its outlets 7 percent commission.
When announcing the cuts, New Zealand Racing Board chief executive Andrew Brown said the number of races on the TAB offered betting had almost doubled from about 17,000 in 2003 to 33,000 in 2009 and this had provided hotels and clubs with higher turnover and therefore more commission.
The new measures enabled outlets to achieve an increase in commission through improved performance, he said.