A woman suffered a miscarriage while on a bed in a corridor of St Luke's Hospital, Kilkenny.
The South Eastern Health Board has started an investigation into what it describes as a "serious situation".
A spokesperson for the board apologised for the distress caused to the patient who was treated on the corridor of the gynaecological ward. "The board is setting up an investigation into how an emergency gynaecological patient was not accommodated within the appropriate ward during the emergency," the spokesperson said.
The matter was raised at Monday's meeting of Kilkenny County Council by local TD, Mr John McGuinness. Another TD, Mr Phil Hogan, said the problem had arisen because of the decision to redesignate four beds from the gynaloegical to the surgery unit, reducing the gynaecological ward to 10 beds.
He also blamed the failure of the hospital bed policy to cope with the annual winter crisis.
He said the health board should put pressure on the Minister for Health, Mr Martin, to fast-track a proposal for a stepdown facility at the hospital, part of the Kilkenny hospital plan.
"This would alleviate the pressure on the existing hospital structure," he said.