The rail worker pay offer of 4 per cent will not impact the government's current wage policy, the Minister for Transport's office has said.
On Wednesday, Sydney and NSW Train management presented the various rail unions including the Rail, Tram and Bus Union with a new pay rise offer of 3 per cent per year, with other measures taking the total package value to 4 per cent.
The latest offer includes previous offers of a one-off payment of $1000 to each employee and extended free Opal card travel, and arrangements to keep 64 weeks paid redundancy.
The new offer comes after a weeks-long standoff between unions, and Sydney Rail and the state government.
At the end of January the Fair Work Commission ordered rail workers to abandon their 24-hour strike, planned for January 29, as well as their indefinite ban on overtime as workers campaigned for better pay and conditions.
The RTBU has been pushing for a pay rise of 6 per cent per year, but state secretary Alex Claassens said the Fair Work ruling meant their "right to strike was gone" and weakened their ability to negotiate.
Last week, the RTBU rejected the latest deal that had a total package value of 3.45 per cent.
At the time Mr Claassens said workers were "very very annoyed" they had not been presented with an over that had "some real words about our future conditions.
The state government's cap on public sector wages is 2.5 per cent.
While the current offer is 4 per cent per year, a spokeswoman for Transport Minister Andrew Constance said the union's claim they've busted the wages cap is incorrect.
"Any agreement reached will be within the NSW government wages policy," the spokeswoman said.
"In coming weeks it is hoped that the enterprise agreement will be finalised once consultation occurs with the 11,500 Sydney Trains employees."
The spokeswoman said to keep the sum cost of the pay offer at 2.5 per cent, savings would have to be found in other employee-related areas.
Those savings include a reform of medical certificate requirements: workers will now be required to have a medical certificate if they are absent for two or more consecutive days, whereas the current agreement requires a medical certificate after three days.
In a statement, Mr Claassens said the amended offer would be put to workers for consideration in coming weeks before it was accepted.
"We're talking about people's livelihoods and working conditions here," he said.
"It is important workers are given every opportunity to discuss the offer on the table and decide for themselves whether this latest offer is good enough."
With Matt O'Sullivan