Earlier this week Brendan McDonagh withdrew his nomination as CEO.
The controversy surrounding the appointment of a new housing chief is said to be causing tension with the Coalition.
Earlier this week Brendan McDonagh withdrew his nomination as CEO of the Housing Activation Office over his reported salary of 430 thousand euro.
It's understood the position will now be put through a public recruitment process.
Political correspondent For the Irish Independent Tabitha Monaghan says this is the first big rift in the government .
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