The Communications Workers Union is set to serve a week's strike notice on Eircom following the collapse of talks this morning aimed at averting industrial action.
Workers have voted overwhelmingly in favour of industrial action for the first time in 30 years following the company's refusal to implement a 2% pay increase due under the social partnership process.
Management at the company wants to link the pay increase to work-practice changes.
Unions had agreed to hold off on serving strike notice pending today's talks with management.
The CWU said the company would have to commit to paying the 2% increase without preconditions if industrial action were to be averted.
Eircom said it would put forward a new proposal, but that does not appear to have been acceptable to the union, which is now set to press ahead with its strike plans.