Minister for the Environment John Gormley has called for the resignation of the board members of State training agency FÁS.
A report published yesterday by the Comptroller and Auditor General said there had been a 'substantial and prolonged breakdown in budgetary control' at the agency.
Read the Comptroller and General's report
Among other things, the report revealed that FÁS had spent €600,000 on a television advertisement that was never broadcast.
Tánaiste Mary Coughlan said that if the board members were to offer their resignations, she would accept.
However, on Morning Ireland her Cabinet colleague said the board members should step down. The Green Party leader stressed that he believed there needed to be accountability.
Mr Gormley said the board was responsible for a level of wastage that was not acceptable.
Speaking in Mitchelstown in Cork, Taoiseach Brian Cowen said changes are to be made in relation to the governance of FÁS.
A spokesperson for Department of Enterprise, Trade and Employment said tonight that the legislation to reconstitute the board would be published in three weeks' time.
FÁS board member Owen Wills has told RTÉ News he had no comment to make in relation to his position on the board.
Mr Wills said it was a matter the board will have to consider in due course.
Separately, a spokesperson for the FÁS Executive said it could not comment directly on matters related to the board.
The next ordinary meeting of the board is on 1 October, but it is due to appear before the Public Accounts Committee on 24 September.