The Government is reported to have put forward plans to hit public servants earning more than €60,000 a year with paycuts.
The Irish Independent reports that sources close to the talks say unions and the Government are locked in a battle over the plans.
Both sides are understood to be attempting to hammer out a threshold figure for wage reduction, believed to be around €65,000.
The Government wants to make savings of €1bn through cuts to the public sector pay roll and changes to work practices.