A deal on new contracts for consultants should be in place by the autumn, Minister for Health Mary Harney said today.
Talks between the Government and the Irish Hospital Consultants' Association (IHCA) collapsed in April amid a row over recruitment.
Ms Harney had advertised 68 consultants' posts in hospitals throughout the State without agreement from the IHCA on the new terms and conditions of the contracts on offer.
In a statement today, the Ministers said she was confident both sides would work intensively to reach an agreement.
The IHCA confirmed to chairman of the negotiations Mark Connaughton SC today that its members are willing to resume talks.
Mr Connaughton recommended bi-lateral talks begin immediately.
Ms Harney said his "proactive approach" offered the prospect of bringing the contract talks to a successful conclusion by early autumn.
"Contractual arrangements into the future must be geared to a modernised, reformed health service. My major concern is that patients receive a high standard of consultant-delivered care. We also need more flexibility to provide a more responsive service."
"A lot of progress has already been achieved in the talks. Mr Connaughton brought forward a very useful framework document in April. It is time now to build on that progress. I expect that both sides to the negotiations will now work intensively to resolve outstanding issues," Ms Harney added.
The Health Service Executive (HSE) also welcomed the proposals.
A HSE spokesman said: "We look forward to pursuing these discussions to an early and successful conclusion."
The long-running dispute escalated after 93 per cent of IHCA members - more than 1,000 consultants - voted in favour of industrial action.
For eight weeks, senior doctors boycotted meetings with health service employers, and stopped providing cover for colleagues on leave, except in emergencies. They also refused to be involved in the recruitment of the new consultants.
The action was called off a fortnight ago after the Government and Ms Harney returned to power after the general election.
Additional reporting: PA