Most LGBT teachers, nurses and care workers do not apply for senior management roles, do not teach religion, and do not teach sexuality education for fear of losing their jobs, it has been claimed.
Members of South Dublin County Council said "legal discrimination" enshrined in the Employment Equality Act allowed religious-run schools and hospitals to fire people because of their sexual orientation.
Councillors also heard that LGBT teachers dare not reveal personal relationships in the classroom.
Cllr Francis Timmons (Ind) said 93 per cent of primary schools were of a religious ethos, while more than half of senior schools were, as were many hospitals.
He was responding to a motion tabled by mayor of South Dublin County Council Fintan Warfield, which called on the Government to change section 37 of the Employment Equality Act before next year's proposed referendum on same-sex marriage.
Mr Warfield (Sinn Féin) told councillors the basic human right of living without fear was denied to many LGBT teachers.