The ABC understands Prime Minister Julia Gillard has lost significant support in the Labor caucus.
It comes after a week in which Labor disunity was on full display in Canberra and former prime minister Kevin Rudd re-emerged very publicly.
ABC Insiders presenter Barrie Cassidy says Mr Rudd is the only figure being considered as an alternative prime minister.
Rudd is like rust. No matter how many times he says he is not seeking the leadership, he continues to do everything he can to get it back.
He spoke about the tensions within the party on Insiders this morning.
“I am now very strongly of the view that Julia Gillard will not lead Labor into the next election,” he said.
“I think there will be a change either by her own hand or the actions of others. And I’m not relying entirely on guesswork here.”
That sounds definite.
The week of turmoil for Labor began with disastrous polling showing the party could be left with as few as 40 seats in the Federal Parliament.
That is rather unsporting of them, as the election is still three months away. They could start packing up a week before and still have time.