The Taoiseach has told the Dáil that any solution to the problems facing the economy can be found only in the context of partnership.
Mr Cowen also said that legislation to allow the Government to proceed with its plan to recapitalise the banks will not be tabled until January. Earlier he briefed the social partners on his plans for the economy.
The Taoiseach also told the Dáil that there would have to be greater flexibility from workers in the public service over the next 'couple of months' if further cuts in services are to be avoided. Brian Cowen also said that 'under-performance' was a big problem in the public service.
Answering opposition questions on public service reform, Mr Cowen insisted that changes had to be negotiated with those who would be affected and not imposed on them. Labour leader Eamon Gilmore claimed there were more reports on public service reform than reform itself.
Employers, unions clash on minimum wage
Earlier, the Taoiseach told the social partners that Government income had fallen to 2005 levels while spending was at 2009 levels.
At a two-hour meeting at Government Buildings, Brian Cowen invited employers, unions, farming and social organisations to make submissions on how the economic crisis can best be tackled within the partnership model.
It is understood that no specifics of a Government recovery plan were outlined. But the social partners are expected to reconvene shortly, possibly within days.
Earlier, employers' group IBEC warned against any move to increase the national minimum wage in the short term.
Arriving for the meeting with the Taoiseach, director general Turlough O'Sullivan said the national minimum wage should be put on the back burner in the current economic climate.
But SIPTU president Jack O'Connor rejected the suggestion, saying it would mean asking the most vulnerable to carry the burden for the downturn in the economy.
Mr O'Sullivan predicted significant job losses in 2009. He warned that the Government must get its own spending in order, given that its income had fallen through the floor.
Like other social partners, he called for an economic stimulus package through investment in the national development plan.
Fr Seán Healy of the Conference of Religious in Ireland also urged protection of the vulnerable. Asked whether the public sector pay increases should be paid next year, he said it was essential to preserve as many jobs as possible.
