Labor leader Bill Shorten has headed off a factional brawl, deciding to reappoint veteran senator Kim Carr to his frontbench.
Labor's Left faction was due to kick Senator Carr off its list of 14 names to go forward for Mr Shorten's 30-member frontbench at a meeting which began in Canberra at 1pm (AEST) on Friday.
But a Labor source told AAP Mr Shorten's Right faction has agreed to accommodate Senator Carr.
The Australian Financial Review reported ACT MP Andrew Leigh, who is factionally unaligned but counted as one of the Right's numbers, would be relegated to save Senator Carr.
Dr Leigh will remain in the outer shadow ministry in a 31st position but because the maximum number of shadow ministers allowed is 30 he will be paid a backbencher's salary.
Mr Shorten will allocate portfolios which are expected to be announced at the weekend.
Most of Labor's Left faction conveners had agreed the name of veteran Senator Carr would not be in the mix, making way for NSW MP Linda Burney.
Tasmanian senator Carol Brown will also be a Left nominee for the shadow ministry.
Senator Carr's Victorian Socialist Left faction fought a rearguard action to keep the former minister on the front bench.
Right faction powerbroker Joel Fitzgibbon said the frontbench needed experienced people.
"It is hard to beat experience but, of course, we have to be constantly rejuvenating our frontbench and bringing forward new talent and I think we'll do both of those things today," he told ABC TV.
He said the party also needed to embrace gender, ethnic and religious diversity.
"This will be a highly representative frontbench team," he said.
The parliament's first Muslim MP Ed Husic, from the Right, is expected to replace Sharon Bird in the senior line-up.
There are suggestions Catherine King, Penny Wong, Tony Burke, Kate Ellis, Jim Chalmers and Richard Marles could change portfolios.
Senator Carr confirmed he's staying put on the frontbench with a social media message to his backers.
"Honoured to be re-elected to Labor's frontbench. Thank you for the support from citizens, Trade Unionists across Australia, party members & particularly those comrades in VIC," he tweeted.
