Workers at the Jiffy packaging plant in Winsford, Cheshire, have secured a 4% pay increase.
Staff also maintained all existing terms and conditions.
More than 50 members of trade union Unite took 36 days of industrial action in a dispute with their employer.
Staff were originally offered a 1% pay increase or a 3% increase, with reductions in sickness benefits.
Following strike action, the plant workers won an improved offer of 4%, backdated to 1st March.
They also maintained their sick pay at current levels and got Jiffy management to remove the fob system in place that monitored toilet breaks.
Further assurances over redundancies and retraining were also guaranteed.
Sharon Graham, general secretary at Unite, said: “This shows the power of Unite and the power of the union movement.
“We backed our members at Jiffy in their fight for better pay and to protect their terms and conditions and because they fought hard for what was rightfully theirs they won the dispute.
“They should be applauded for standing firm against this household name who tried so hard to short change them.”
Gary Fairclough, regional officer at Unite, added: “This pay deal would not have been possible without the hard work of our reps and the dedication of our members at Jiffy.
“The message from this dispute is clear if workers want a pay rise they should join Unite and ensure their colleagues join too.”