Kevin Rudd leads his supporters into today's Labor caucus meeting.

''We have a better chance of holding government with Julia Gillard that we would have with Rudd,'' Mr Ludwig said.

Former Premier Peter Beattie has backed Ms Gillard, telling the ABC ''she is a very talented woman''.

Transport Union boss Hughie Williams said Ms Gillard will prevail.

''It's quite obvious they have the numbers. We'll have a new prime minister of Australia,'' Mr Williams said.