Ben Packham, Melbourne – East Timorese trade unionists have ended the nation's first-ever strike. The country's aviation workers ended the two-week strike after reaching an interim agreement with air-freight company Timor Aviation Services.

The Australia Council of Trade Unions (ACTU), which helped negotiate the deal, said the interim agreement would deliver workers a 12.5 per cent pay rise as well as penalty payments.

An ACTU spokesman said the agreement would also allow for the arbitration of unfair dismissal claims by two workers, whose case is expected to be the first to be heard under the nation's new industrial laws.

Comment was not immediately available from Timor Aviation Services, which is owned by directors of Harvey World Travel in Darwin.

The company provides customs clearance and handling services to the UN, the Australian Defence Force and freight companies serving Australian oil, gas and mining companies.

It has been in negotiations with the East Timorese Maritime and Transport Workers Union for the past six months.

Meanwhile, the ACTU said Australian unionist Mick Killick was defending assault and other charges laid by UN police after he was arrested on a picket line at Dili Airport.