Redundancies at Wilko have been suspended while rescue bids for the business are considered.
The GMB union, which represents more than 3,000 of Wilko’s 12,500 staff, said it met with PwC, which is overseeing the sale of the retailer, today.
Andy Prendergast, GMB national secretary, warned Wilko was "not out of the woods yet by any means".
Mr Prendergast said that while pausing any potential job losses was a "positive development", it remains "a time of incredible stress and worry" for staff.
All redundancies at Wilko have been suspended while the administrator considers further bids, GMB union said
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He said: “All redundancies at Wilko have been suspended while the administrator considers further bids.
“Whilst this is a positive development, Wilko is not out of the woods by any means and this is a time of incredible stress and worry for the 12,500 workers who face losing their jobs.”
It follows reports of fresh last-minute bids to potentially buy Wilko.
Restructuring specialist M2 Capital is reported to have made a bid worth £90million, according to the Guardian.
It comes after Canadian businessman Doug Putman made a bid intended to preserve the majority of Wilko’s stores.
Administrators said today: “Since our appointment as administrators of wilko we have worked relentlessly to secure a sale of the business. We are actively engaging with all interested parties and assessing the deliverability of all bids made.
“As administrators we’re intent on achieving the best outcome for everyone involved while preserving as many jobs as possible and adhering to our statutory duty to act in the best interests of the creditors as a whole.
“It would be inappropriate to comment on individual bidders or interested parties at this stage in the process.”
PwC said on Monday it was working "relentlessly" to secure a sale and "talks are continuing with a number of parties".
Administrators last week denied the majority of its stores would be closed this week, but said redundancies and store closures "in the future" were "likely".
The statement from Jane Steer, Zelf Hussain and Edward Williams of PwC, joint administrators of Wilkinson Hardware Stores Ltd, Wilko Ltd and Wilko.com Ltd, said: “Since our appointment as administrators of Wilko, we have held extensive discussions with parties who expressed an interest in buying all or part of the business.
“While discussions continue with those interested in buying parts of the business, it’s clear that the nature of this interest is not focused on the whole group.
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Wilko has suspended its home delivery and click and collect options
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“Sadly, it is therefore likely that there will be redundancies and store closures in the future, and it has today been necessary to update employee representatives.
“We know this will further add to the uncertainty felt by workers.
“We will be supporting staff through this deeply unsettling time, working closely with the Government, JobCentre plus, unions and large employers to maximise possibilities for a rapid return to work for employees in the event of redundancies.”
Wilko suspended its home delivery and click and collect options after it entered administration earlier this month.
The retailer launched an administration sale in its stores, and it is currently advertising up to 30 per cent off marked prices in stores.