Pat Rabbitte has promised to put Labour at the heart of the next Government.
In his address to the party's annual conference in Tralee, Mr Rabbitte ruled out tax increases for hard working families and outlined policy priorities in childcare, health, education and anti-social behaviour.
After receiving strong backing from his party for his strategy of forming a pre-election pact with Fine Gael, Pat Rabbitte used his televised leaders' address to set out what he wants Labour to achieve.
His aim is to put Labour at the heart of an alternative Government - not just making up the numbers, or taking the easy choice to get into office - but driving its vision of a fair society.
Mr Rabbitte outlined a number of policy priorities in areas such as childcare, health and education.
He said Labour would not rule out Anti-Social Behaviour Orders as a last resort, saying they were dedicated to the rights of the individual, but must also stand for the common good.
And he urged delegates to return to their constituencies, to begin the task of making Labour the driving force in the next Government.
Earlier, the Labour Party overwhelmingly voted in favour of forming a pre-election pact with Fine Gael.
The party leader, Pat Rabbitte, had urged delegates to support his strategy of coalescing with the centre-right party.
Mr Rabbitte said the party had two aims - to maximise its own seats and to replace the current Government.
He said calls for Labour to maintain an independent stance really meant leaving the door open to Fianna Fáil, which he said would be the wrong decision for the party, and the wrong decision for the country.
Opposing the motion, Tommy Broughan TD said a pre-election pact with Fine Gael was dangerous and reckless because it would open ground to the left of the party for Sinn Féin.
The Fine Gael leader, Enda Kenny, has welcomed the Labour Party's backing for a pre-election pact.
In a statement, Mr Kenny said the strategy offered the best hope of replacing the current Government.
He said they were two distinct parties with their own policies and priorities, but they had demonstrated in the past they can work effectively for the benefit of the country.
No compromise on values, says Higgins
The party's president Michael D Higgins told the conference last night that Labour would not compromise on what he called its 'bedrock values' to get into Government.
Senator Kathleen O'Meara said that the party's childcare policy would have to be accepted as part of any pact.
The policy includes a year's paid parental leave and a free pre-school place for all three-year-olds.
Penrose condemns rates of poverty
Labour TD Willie Penrose has condemned poverty rates in Ireland as a 'national disgrace' after 15 years of undreamt of prosperity.
Outlining a ten-point plan to reform the welfare system at his party’s Annual Conference, Deputy Penrose claimed Ireland has the highest poverty level in the 15 established members of the EU, and is second only to the US in the proportion of people living in poverty.
He said a more effective social welfare system can be funded by fiscal buoyancy, and avoiding wasteful policies like electronic voting and SSIAs.