RTÉ has deferred a decision to move its Lyric FM radio station from Limerick.
The State broadcaster says this move followed a request by the Government.
The change was part of a plan to reduce costs at the company by 60 million euro over three years.
It had also planned to sell off the RTÉ Guide - but this has since been shelved.
The latest row back comes a day after the Government announced €50m in extra funding for RTÉ over five years.
The broadcaster has also sought to reduce salaries paid to its top contracted on-air presenters by 15%.
Limerick Fianna Fáil TD Niall Collins has welcomed the news.
"This is clearly the correct decision.
"The decision to close and relocate Lyric FM from its Limerick base and studios was not the correct decision by the RTÉ governing authority.
"The savings which were supposed to be accrued by this decision were not at all clear".