Stop work action by race day officials has been averted on the final day of the Melbourne Cup carnival at Flemington.

The Australian Workers Union, which represents some race day attendants, had threatened to take action amid stalled negotiations with Racing Victoria over a new enterprise bargaining agreement.

The AWU has argued the workers should be paid extra because of the increase in twilight and night race meetings.

RV said on Friday the negotiations were ongoing and the governing body had been advised the planned industrial action for Saturday had been suspended.

The meeting at Flemington is the last of four Melbourne Cup carnival days over the week and features two Group One races, the Mackinnon Stakes and VRC Sprint Classic.