Senior Government officials and union representatives met this afternoon as part of the negotiations to secure €4bn in savings on public sector spending.
Discussions on costings for various areas of potential savings are continuing amid the threat of industrial action by public sector workers if their pay is cut.
One source said contacts on technical and costing issues had taken place and would continue over the next few days.
Frontline public sector employees, who work 24/7 shifts, are due to march through Dublin on Wednesday, while a one-day public sector strike is scheduled to take place on 24 November.
The Irish Nurses Organisation today voted by 85% in favour of industrial action to defend their pay and conditions. Other public sector unions are due to reveal the result of their ballots over the coming days.
Meanwhile, Minister for Communications, Energy and Natural Resources Eamon Ryan has appealed for unity among public and private sector workers to overcome the economic crisis.
Speaking on RTÉ's Morning Ireland, Minister Ryan said that a fair deal was possible if everyone pulled together and shared the burden.
The Minister denied that the Government has pitched the public sector against the private sector and said it was working with both to get the best deal.
'For the sake of the country, we have to get our Budget through and restore confidence into the country. We need to come out of this fighting, but not fighting against each other,' he said.
Speaking on the same programme, President of the Garda Representative Association Michael O'Boyce said a deal was possible, but believes it will be difficult to achieve.
Mr Boyce added that any cuts in shift allowances for gardaí must be matched by pay cuts in other areas of the public sector.
'Frustration' in sector
Fine Gael leader Enda Kenny has said the Government's failure to bring about public service reform was the fundamental cause of so much frustration in the sector.
He said Brian Cowen had been Minister for Finance for a number of years with direct responsibility for public service reform.
Now, as Taoiseach, he said Mr Cowen had failed on a number of fronts including benchmarking, decentralisation and the streamlining of the health service.
Mr Kenny said the work of public servants had been devalued.
The Fine Gael leader said his party had published a range of activities to bring about a leaner and more efficient public service.
He said jobs would be protected under these new measures being proposed and that fresh economic stimulus would be provided to create new jobs.
The Fine Gael leader was speaking in Galway at the second of a series of countrywide meetings with business people.
Together with the party's main economic spokespersons, he said he will be outlining Fine Gael's policy approach to the current economic crisis and discussing strategies for job protection and job creation.
Retailers call for lower minimum wage
The group representing independent retail grocers has called for a lowering of the minimum wage and other labour costs.
RGDATA say the minimum wage and workers covered by joint labour committee agreements should have pay cuts to reflect the general shift in private sector levels.
In its pre-budget submission, RGDATA has also called on the Minister for Finance Brian Lenihan not to relent in his drive to push the banks to free up credit.
They say there should be no further increases in indirect taxes that impact on consumer spending.
RGDATA is asking Mr Lenihan to take a strong line in controlling public spending, especially pay and pension costs.
They have also sought a Government initiative to cut regulatory charges such as water and waste charges, commercial rates and food hygiene licences.
The group say the social welfare system should work to encourage people to work where employment is available, and that employers should be allowed to hire staff without risk of loss of benefits, where there are a limited number of hours available.
RGDATA is demanding and increase in penalties for the unlawful sale of alcohol, and they want the rigorous enforcement of laws for the illegal importation of tobacco and alcohol.
