Canada Soccer has confirmed an interim funding agreement has been reached with its women's national team players to settle their pay dispute.

Canada's national women's team planned a strike in February over equal pay in line with the men's side but backtracked following the threat of legal action.

After playing "under protest", the players discussed the possibility of boycotting their next camp in April if an agreement had still not been reached by then.

However, three days after Nick Bontis resigned as president of Canada Soccer, it was announced that terms have been agreed over a new payment structure.

The terms of the interim agreement mirror a similar deal with the men's side that includes per-game incentives and results-based compensation.

Canada Soccer and the Women’s National Team Players agree on interim funding agreement
— Canada Soccer (@CanadaSoccerEN) March 2, 2023

Canada Soccer's general secretary Earl Cochrane said: "This is about respect, this is about dignity, and this is about equalising the competitive environment in a world that is fundamentally unequal.

"We have been consistent and public about the need to have fairness and equal pay be pillars of any new agreements with our players, and we are delivering on that today.

"While this is an important step forward, and it signals progress, there is still more work to do to ensure both of our national programs are given the necessary resources and supports to prepare and compete.”

A final collective bargaining agreement with the men's and women's national teams is still being negotiated.

Canada's men's side gave their "wholehearted support" to the women's team, having themselves gone on strike in June – five months before their first World Cup appearance in 36 years – over a dispute regarding prize money for Qatar 2022.