Four officials have agreed to give a total of €5,000 to charity over a champagne party at the Department of Foreign Affairs.
A review has found there was a 'serious breach' of COVID-19 guidelines at the gathering in June 2020.
Some 20 staff celebrated Ireland winning a seat on the United Nations Security Council, and alcohol was provided.
The former secretary-general of the department has agreed to donate €2,000 to charity, while three other officials are donating €1,000 each.
They will face no further action.
A review found the then secretary-general Niall Burgess - now Ireland's ambassador to France - provided alcohol and asked 20 officials to gather for a celebratory photo.
Senator Gerard Craughwell from the Oireachtas Foreign Affairs Committee believes there should be greater sanctions.
"With respect to the request for a donation of €2,000 from Mr Naill Burgess - the ambassador to France - and €1,000 from each of the other senior managers, I find that just obnoxious.
"I don't think the €2,000 will do much for the people who have suffered, and particularly for 1,700 or 1,800 people that suffered fines during the COVID period.
"A serious breach is exactly what it says on the tin, and allowing somebody to walk away from a serious breach on the basis of a donation of €2,000 from their salary to me is repugnant, an insult to those who paid fines from lesser salaries.
"And it is an insult to those who suffered burying loves ones".