A number of unions representing workers at Eircom are to ballot for industrial action in a dispute over a 2% pay increase.
The unions claim that Eircom's owner, Babcock and Brown, is refusing to pay a 2% pay increase due under the Towards 2016 national wage deal until staff agree new terms and conditions.
The Communications Workers Union, which represents 5,000 Eircom staff, says it is prepared to enter talks with the company but will not agree to talks with pre-conditions.
Eircom has not had a strike since 1978. The ballot is expected to take place over the next two weeks.
Eircom chief executive Rex Comb told RTÉ Radio the company fully supported the national pay deal and did not want a strike.
Mr Comb said Eircom wanted to sit down and talk about a document it had put forward on proposed 'change agenda', which covered productivity and customer service.
Steve Fitzpatrick of the CWU said that if the company behaved sensibly the dispute could be settled quickly. He also accused Eircom of using the national wage agreement to justify a recent increase in line rental charges.
