An early meeting between the Taoiseach and the Irish Congress of Trade Unions about the Government's plans for CIÉ and Aer Rianta is to be held following a conciliatory address by Mr Ahern to the ICTU conference in Tralee.
Plans by the Minister for Transport, Mr Brennan, to break both companies into separate entities and introduce competition to certain areas have angered union leaders and led to threats of strikes.
A campaign of action, including a "no fares day" for all CIÉ services on July 18th, is already planned in response to his intention to have 25 per cent of the Dublin bus market opened to competition by early next year.
His proposals to break up Aer Rianta and have a privately-run terminal built at Dublin Airport resulted in a threat at the conference this week that workers would close the State's three main airports through actions including switching off the runway lights.
Mr Ahern told the conference yesterday there was "very real concern" in the Government about the increased subsidies being paid to CIÉ, which would amount to €245 million this year, and there was a need to change the way public transport was organised "in order to increase efficiency and give value to customers".
However, he drew applause from the floor when he said: "The Government has no desire for conflict with trade unions. I have no intention of pursuing a policy which would erode the wages and conditions of public transport employees in some sort of race to the bottom to reduce operating costs."
He believed the changes needed could be implemented "in the spirit of partnership".
"There is already a significant measure of agreement through the Public Transport Partnership Forum, for example that new routes should be open to competition, as indeed they are.
"I am sure that the Government will be able to reach a broad consensus with all of the stakeholders, including the CIÉ unions, provided there is a clear understanding that change is unavoidable in order to meet the legitimate expectations of taxpayers and the public. Both Minister Brennan and myself share that view."
The proposal for a second terminal at Dublin Airport, he said, had to be considered in the light of what was best for the airport. There were clear pressures on capacity that had to be faced, and the necessary investments would have to be funded.
"However, I believe that we need to be able to demonstrate that the overall direction and management of the airport will be best served by whatever decision is taken about an independent second terminal."
Responding, the congress general secretary, Mr David Begg, said an early meeting to "stock-take on exactly where we are" would be a good idea. While congress was willing to manage difficulties, it had a view about the role of the State in society, and could not compromise the integrity of its position. "I would just ask you to bear that in mind."