Concerns about job losses and tourist bed numbers were raised last night after the State purchased a Rosslare hotel for use as a reception and accommodation centre for asylum-seekers arriving at the port.
Travellers and settled people have also begun protesting at a decision to clear a site in Athlone, Co Westmeath, for up to 100 mobile homes for refugees.
The 25-bedroom Devereux Hotel was bought by the Office of Public Works for nearly £2 million and will be used to house up to 60 asylum-seekers.
The hotel was still trading last night but an OPW spokeswoman said its change of use would happen "as soon as possible", after legal formalities were completed.
A Department of Justice spokesman said the move was part of the Government's drive to address the acute shortage of accommodation for the 1,000 asylum-seekers arriving in the State every month.
The Labour deputy leader and local TD, Mr Brendan Howlin, said it was "sensible to have such a facility adjacent to the port". But he said he would seek assurances about the jobs of the 25 employed at the hotel.
The Department said any suggestions regarding the staff would be carefully considered. It is understood no guarantees have been given to staff about their future, however.
Mr Howlin also claimed the Government was going about providing accommodation for asylum-seekers in a haphazard manner.
Wexford County Council had drawn up a strategy on the importance of having of a certain number of tourist beds available, but there was no indication that the Government was taking such factors into account.
At Athlone, Co Westmeath, Travellers and settled people have begun protesting at a decision to clear a site to make way for up to 100 mobile homes for refugees.
It is one of three sites which the OPW began preparing for 1,000 refugees yesterday. Others are located on lands attached to Kildare Barracks, where a number of Kosovan refugees are already housed in mobile homes, and at the FCA barracks in Tralee, Co Kerry.
The Athlone site is located at the rear of Department of Education offices in the town on land owned by the Office of Public Works.
The OPW confirmed it was actively trawling through its portfolio of State-owned land in search of accommodation for refugees. It is understood it will also consider using a number of agricultural colleges which have closed down in recent years.
Up to 100 mobile homes have been ordered for the Athlone and Kildare sites, while 50 will be located in Tralee.
An Athlone UDC member and local FG councillor, Mr Mark Cooney, said last night he was very concerned at the manner in which the development had been sprung on everybody without prior consultation.
A number of Traveller families in a nearby halting site also protested at the decision. They say they have nothing against refugees but are aggrieved that many families in the halting site have been waiting up to 12 years to be provided with toilets and running water, which was now being provided within days for people coming into the State.