Members of the Mandate trade union have been invited to emergency talks this evening to try to resolve the dispute at Tescos in Douglas, Cork.
The move follows a day of strike action at the outlet, which has seen few customers despite selling all stock at half price.
Cllr. Dominick Donnelly, the Green Party member of Passage West Town Council welcomed the move from Tesco.
Cllr. Donnelly said: "I do not understand why Tesco did not try to talk properly to their workers before now. The strike notice was served to them a week ago.
"However I welcome that they now seem to want to negotiate, and I hope there is a satisfactory outcome to their negotiations tonight, and that this needless dispute can be resolved quickly. If not, their long-standing employees in Douglas are technically out of a job as of tomorrow evening."
"The level of support for the strike was amazing in Douglas today. The workers were overwhelmed with the support they received, with many individuals and local businesses giving them gifts, and showing them tremendous support.
"It was surely this level of support from the general public, and the business community around Douglas, that has brought Tesco to their senses."