The Senate voted to approve the extension as Sen. Jim Bunning, R-Ky., Tuesday dropped his one-man blockade against extending unemployment benefits.

The Washington Post reported that after the standoff was resolved -- following bipartisan pressure from Bunning's Senate colleagues -- the Senate voted in favor of the measure, which extends unemployment benefits, highway funds and other federal programs for 30 days.

It also further reported that Sen. Susan Collins, R-Maine, joined Democrats in urging Bunning to relent.

She said," When I was home this weekend, I talked to constituents who expressed their utter bafflement that Congress could not proceed on something that has widespread support."

The agreement allows Bunning to offer his own proposal on how the bill should be paid for, said NBC News.

Sen. Patty Murray, D-Wash., said on the Senate floor," One single Republican senator is standing in the way of unemployment benefits for 400,000 Americans." Bunning's stand also blocks COBRA health insurance benefits and forced doctors to take a 21 percent cut on Medicare reimbursement rates, she further added .

According to The Post, hundreds of thousands of jobless Americans lost their jobless benefits Monday, and the federal government furloughed about 2,000 employees without pay because of Bunning's efforts. (With input from agencies)