Talks on a new national pay agreement resume at Government Buildings today with the focus on pensions and the wider social aspects of a new deal.
The basic pay elements of the deal have been finalised, with union negotiators reacting favourably to the 10 per cent increase over 27 months.
The pay deal was hailed as "among the best ever" by Irish Congress of Trade Unions president Peter McLoone, who led the Ictu delegation in talks with the Government and employers.
However, Ictu general secretary David Begg has warned that unions want pensions safeguards to be strengthened before agreeing to put an overall deal to their members for ratification.
Ibec warned that the pay recommendations are at the very limit of what the country can afford.
"Our ability to trade successfully has taken a battering in recent years as business costs have increased so much faster here than in other countries," said Ibec's Turlough O'Sullivan.
"We are entering very uncertain economic conditions and the somewhat shorter duration of the proposed agreement recognises this reality."