Former Birmingham mayor hopeful Liam Byrne could face the sack from his top national job as a Shadow Minister.
Mr Byrne, MP for Birmingham Hodge Hill, has returned to his role as a member of Labour's Shadow Cabinet after Birmingham voters rejected proposals to create a city mayor in a referendum last week.
He had previously announced plans to quit his national role if the city did vote for a mayor, allowing him to concentrate on his campaign to become the city’s leader.
But there have been reports that he could be sacked from his national job as Labour’s Shadow Secretary of State for Work and Pensions.
Labour leader Ed Miliband is said to be planning a reshuffle of his top team, which will be announced on Monday.
The changes would also mean Mr Byrne losing his job as head of Labour’s policy review, which is helping draw up the party’s next election manifesto.
A Labour spokesman said: “We don’t comment on reshuffle speculation.”
Mr Byrne is said to have clashed with Mr Miliband over policy. He has angered some Labour activists by pushing for regional caps on benefits and other reforms to welfare.
In Birmingham, 57.8 per cent of voters opposed a mayor with 42.2 per cent in favour, while 63.6 per cent voted against the idea in Coventry with just 36.4 per cent in favour.