Papua New Guinea's Industrial Registrar Helen Saleu says more dialogue is needed between the union and management of the PNG Power corporation.
The Energy Workers Association issued an ultimatum last week, threatening strike action unless the Government removed the board chair and reconsidered hiring a foreigner to head the government company.
The union workers also want the contract with consultancy firm, Korda Mentha, terminated.
The union has asked the Industrial Registrar to grant the union a ballot to enable workers to legally begin strike action, but Helen Saleu says not yet.
"I will allow and encourage the parties to have social dialogue and if they can exhaust all these avenues to try to reach an amicable solution. Until and when all these avenues are exhausted and the matter is not resolved, then they can exercise the right to have a ballot for strike action."
PNG's Industrial registrar, Helen Saleu