Labor must reach beyond social media hysteria and develop a new narrative on the economy, next-generation frontbencher Clare O'Neil says, claiming the traditional Right and Left battle is no longer a defining political division.

Ahead of the opposition's review into its election loss, to be handed down next Thursday, the 39-year-old Victorian MP will warn her party there are "tectonic plates" in global politics and "parties that survive look alive".

Clare O'Neil. Credit:Alex Ellinghausen

Ms O'Neil, who briefly considering running as Labor's deputy leader in the fall-out from its May election defeat, will also urge in a speech on Thursday night for the party to engage in a conversation about political correctness.

She will tell the John Curtin Research Institute that too many of the party's base believed progressives were "talking down to them" at the election.