Employers have to "face up to the fact" that demands for more flexible working arrangements are here to stay, the Minister for Labour Affairs, Tony Killeen, said.
Mr Killeen said he understood the pressures on smaller firms, but that the benefits of flexible working hours for employees outweighed the initial financial costs involved.
"I know a firm where you have to be at work between 10am and 12.30pm and after that there is a huge level of flexibility for people with families," he said.
"Some small companies often have huge pressures at particular times and a lot less pressure at other times.
"It isn't always as difficult for small firms as they think," the Minister said.
He was speaking following the launch of a Government initiative to mark Work-Life Balance Day yesterday.
A number of consultants are to be made available to advise small firms on how to implement flexible working arrangements for their employees without harming their business.
Mr Killeen ruled out a demand from the Irish Congress of Trade Unions and the Equality Authority for workers to have a legal right to demand flexible working arrangements.
