Australia's most famous New Year celebration will still be a cracker but there are warnings commuter chaos has merely been "kicked down the road".
Revellers and businesses had been nervous about the threatened cancellation of Sydney Harbour's midnight fireworks show because of a bitter battle between rail workers and train operators.
The fireworks are watched by up to 1.5 million in Sydney and another 400 million people globally, delivering the city an economic benefit of $280 million, according to organisers.
But faced with planned industrial action potentially being ruled unlawful, rail unions withdrew the most significant threats on Tuesday.
The withdrawal was matched with a wide-ranging promise to the Fair Work Commission that no further industrial action would be taken that posed a risk to New Year's celebrations.
Government leaders welcomed the move to allow families to travel with confidence as they ring in the new year.
But how long into 2025 that confidence sticks around is anyone's guess.
"I don't have a crystal ball here," Transport Minister Jo Haylen told reporters.
"I don't know when negotiations will recommence.
"Our focus has been on making sure that we can provide the transport services that people need this time of the year and I'm pleased that I'm able to confirm that today."
The unresolved pay battle meant potential disruptions during the summer school holidays, Australia Day and even Easter, the opposition warned.
"This is just another rinse-and-repeat mess from (Premier) Chris Minns - chaos kicked down the road," Opposition Leader Mark Speakman said.
"You've got a greedy, militant union who treats the public with disrespect and you've got a weak government that has signalled to the union repeatedly that it is open to giving these people large pay claims."
Tuesday's long-heralded face-off at the Fair Work Commission ended up a fizzer after the state's largest rail union dropped eight major work bans before the hearing.
The retreat by the Rail, Tram and Bus Union was followed by the Electrical Trades Union dropping its bans after a meeting with Sydney Trains on the sidelines of the commission.
Rail, Tram and Bus Union state secretary Toby Warnes called the government back to the negotiating table.
"There was never going to be any rail shutdown or major disruptions on New Year's Eve and now there certainly won't be," he said.
"(They need to) stop talking to their lawyers and start talking to their workers."
Workers continue to demand four annual wage increases of eight per cent but that's been dismissed by the Minns government as unaffordable.
The government has not formally budged from its original offer of 11 per cent over three years including superannuation increases.
The Fair Work Commission cannot be asked to settle the substantive dispute - pay and conditions - until February.
Pub and bar operators, a casino, Luna Park and the NSW Labor government had planned to argue on Tuesday train driver work bans planned for New Year's Eve would cause significant harm to third parties and potentially endanger life.
The commission hearing came after NSW Police warned of "grave concerns" for public safety if the one million people expected to line Sydney Harbour on the night struggled to leave after the fireworks.
New Year's Eve also doubles as the busiest day on Australia's largest rail network with rare all-night running and about 1000 extra services shuttling people across the state.
