The Canadian Union of Public Employees announced the tentative deal via news release Sunday.
“Details of the agreement will be made public once members have had a chance to vote on it,” Jean-Pierre Proulx of the CUPE states in the release.
The statement said a general assembly will be organized immediately.
Intensive negotiations between the two parties began last week.
The dealers have been without a contract since March 2013.
The dispute has centred around salaries and hours for casual employees. The union was seeking a two per cent a year increase over five years.
The tentative agreement puts an end to the threat of a possible strike and other pressure tactics.