The Irish Business and Employers' Confederation has strongly rejected calls by the unions for increases in employers' PRSI to fund extra childcare and other facilities for workers.
In a presentation to the plenary session of the Programme for Prosperity and Fairness, the IBEC director of economic affairs, Mr Brian Geoghegan, also reminded unions of the commitments given by them to industrial peace in the new agreement.
The organisation was "dismayed" by some of the industrial action being undertaken by workers in both the private and public sectors.
However, he joined with the ICTU in seeking full consultation with the Government on the next budget. He also supported the idea of a reduction in some VAT and excise duties, provided this was done as part of a "stabilising" tax reform package.
He called for innovative measures to encourage private savings and dampen demand.
The labour shortages should be tackled by continuing to focus on bringing women, older workers and unemployed into the labour market, increased childcare facilities and "moves to improve the supply of labour from abroad", including "development of a sensible and relevant immigration policy".
The group also proposes "fast-action" retraining programmes and the speeding up of existing programmes, including those on apprentices.
Affordable housing was identified as "one of the most pressing needs". The organisation called for an increase in the supply of building land as the key priority.
On the National Development Plan it called for the establishment of a number of co-ordinating bodies to oversee major projects, such as Luas. When this had been done for the development of Temple Bar and the docklands in Dublin it had "brought focus and momentum to project implementation".
The IBEC said the Government was right to focus on competition to combat inflation. While it differed "sharply" with the Competition Authority in relation to the effectiveness of the groceries order, it said it would encourage "all actions leading to fair competition in the sale of goods and delivery of services".