A deal appears to be close between medical organisations and health service management which would allow the HSE to begin recruiting some new consultants on revised terms and conditions on an interim basis.
It is understood that under new proposals, the medical organisations would agree to a recruitment process for a limited number of consultants getting under way on the assumption that negotiations on a new overall agreed contract would be successfully concluded before the new doctors were appointed.
The medical organisations are insisting that the new consultants would have to be appointed on the terms of an agreed contract.
Sources said the Irish Hospital Consultants Association (IHCA) had agreed in broad terms to these proposals in recent days while the Irish Medical Organisation (IMO) is expected to agree in the week ahead.
Health service management is anxious to begin implementing its plans for recruiting 68 consultants in a variety of medical specialties which were announced earlier this year. In addition, the HSE wants to appoint five new consultant radiation oncologists as a matter of urgency.
IMO director of industrial relations Fintan Hourihan said he was hopeful that a way forward could be found to deal with the situation.
The HSE advertised last spring for 68 new consultant posts on revised terms and conditions without the agreement of the medical bodies.
However, the IMO and IHCA put in place a boycott of the positions and refused to assist in the recruitment process by shortlisting candidates or serving on interview panels.
HSE management subsequently agreed not to set a final deadline for applications or to begin appointing candidates to give time for final negotiations aimed at reaching an agreed consultant contract.
Earlier this month hospital consultants and health service management agreed to the main thrust of proposals for a new contract put forward by independent chairman Mark Connaughton.
Under this proposal, consultants would work 37 hours a week (they are currently contracted to work 33), be rostered over an expanded day to work on site in hospitals between 8am and 8pm, Monday to Friday, and for five hours on Saturdays and Sundays.
Management has offered salaries of up to €216,000 for consultants opting for the new contract.
However, talks between medical organisations and health service management on outstanding issues such as pay, a proposed cap of 20 per cent on private work carried out by consultants, private practice rights in A&E, and new weekend working arrangements are ongoing.
Minister for Health Mary Harney signalled in recent weeks that she wanted to proceed to recruit new consultants.
It is understood the IHCA met Mr Connaughton last week to discuss issues it wanted to be considered as part of any new proposals on pay. It is understood the IHCA indicated that any new pay offer would have to consider the longer working week and more unsocial hours which consultants would be expected to work under the proposed new contract.
A new dynamic which has been introduced to the process in recent days is the new pay deal for High Court judges set out in the review of top level pay in the public service which the Government agreed last week.
Consultants have historically linked their pay to that of High Court judges and are expected to seek the continuation of that link.