Bangkok  - Thailand's train service resumed Tuesday after the state enterprise's labour union ended a nationwide strike in protest against plans to restructure the money-losing public firm.

Thai Vice Prime Minister Sanan Kajornprasart negotiated an agreement between the State Railways of Thailand's board of directors and the labour union, which had halted all train services nationwide Monday to pressure the government to stop plans to restructure the enterprise.

"Both sides are satisfied," Sanan said. "The SRT board has agreed to include labour union representatives in making a new restructuring plan."

SRT labour union chief Sawit Keowwaan said the trains will resume service at 6 pm Tuesday.

The labour union was opposed to a restructuring plan approved by Parliament that would have split the state enterprise into two separate units, one overseeing rail services and the other managing its vast assets.

Although both units would have been 100 per cent owned by the SRT, the union feared the move was a step towards privatization.

The SRT has lost money since its inception in 1951. Its overall debt is now 69 billion baht (2 billion dollars).

Third-class fares, which have not been raised in 24 years and are currently free, make train travel the favourite public transport of the poor.

Second- and first-class seats with sleeping cars are popular among foreign tourists, as they are more comfortable and less risky than tour buses.(dpa)