Anne Rabbitte has described the news as "disappointing".
A proposal to transfer St. John of God's services to the HSE would be a "serious blow" to people with mental health issues and intellectual disabilities.
That's according to the Minister of State for Disability, after the organisation proposed to complete the transfer by August.
Anne Rabbitte has described the news as "disappointing" and says it was proposed because of "long-standing debt" that the organisation attributes to low State funding.
She said meetings were held over the weekend to discuss not pursuing the plan.
The organisation employs 3,000 staff and volunteers in 300 locations across Kildare, Wicklow, Dublin, Meath, Louth and Kerry.
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