SIPTU and management at Forfas, Enterprise Ireland and IDA Ireland are expected to nominate two arbitrators to examine the industrial action at the State agencies next week.

It is understood Mr Derek Hunter, who previously worked for the Federated Union of Employers and the Local Government Staff Negotiations Board, and the former general secretary of SIPTU, Mr Billy Attley, will be nominated by the respective sides.

SIPTU has agreed to postpone industrial action for a month to let the arbitration process take place. The dispute concerns the grading structure at the State agencies.