Editorial staff at the North London and Herts division of Tindle, calling themselves the "Enfield nine", carried out strike action in April in protest against a lack of staff and the impact on the quality of content produced.
Following a ballot this month staff voted unanimously in favour of striking again after a lack of response from management.
But today the NUJ announced the dispute has been resolved after negotiations with management.
Father of the chapel Jonathan Lovett told Journalism.co.uk Tindle has agreed to reverse its policy of non-replacement for a period of six months.
He said it has also been agreed that an extra reporter will be brought in for half of the week over this six month period. After this time the situation will be reviewed.
Lovett also claimed Tindle has also withdrawn redundancy consultation notices which were issued on the eve of its previous strike.
"I wouldn't say we're jumping up and down for joy but we are certainly satisfied," he said.
"We are looking forward now to working with them to ensure the papers are returned to the quality publications they used to be. I am very pleased."
While strike action is now off the cards Lovett said he is unsure whether a planned meeting between Sir Ray Tindle and the NUJ parliamentary group, due to take place next week, will remain in place.
He added that a national campaign to save local newspapers, which is due to be launched in Enfield on 4 July, will continue.
In a statement the NUJ's head of publishing Barry Fitzpatrick added he was pleased the union had been able to hold "genuinely positive discussions" with management.
"Both sides recognise that producing newspapers which serve local communities properly is a business requiring commitment from everybody involved. Happily, that commitment exists at North London and Herts Newspapers, helping us to resolve our dispute.
"We look forward to engaging in further discussions with management at an early date to consider ways to advance the interests of our members and the newspapers and communities they serve."
Tindle Newspapers had not responded to a request for comment at the time of writing.
Update: Brian Doel, vice chairman and group managing director of Tindle Newspapers, has issued the following statement:
"We are delighted that this potentially damaging dispute has been resolved thanks to talks between chapel, the NUJ and management.
"Tindle Newspapers has always been committed to publishing good local community newspapers and we will continue to do so in Enfield, Barnet and Haringey.
"We will be meeting our editorial staff regularly to discuss ways of increasing revenues in these newspapers to ensure their future."
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