The religious orders responsible for running the Magdalene Laundries have told the Government they will not contribute to the fund set-up for survivors.
The Mercy Sisters, the Sisters of Our Lady of Charity, the Sisters of Charity, and the Good Shepherd Sisters have told the Minister for Justice they will not pay into the scheme, which could cost up to €58m.
It is believed the orders will assist in the assembly of records ,and looking after former residents who remain in their care.
Chief Executive of Barnardos, Fergus Finlay, said the Government should insist that the orders pay compensation.
"I don't think it's adequate for the government to say 'we're very disappointed'," he said.
"I think these religious orders have to be called in - if necessary, publicly - and they have to be told that the government and the people of Ireland expect them to make a contribution."