Rookie leader Nathan Rees will face the first big test of his premiership today when he selects a new-look team of ministers he expects to work their guts out.
Embattled Health Minister Reba Meagher made his job easier last night when she announced she would resign from cabinet, but stay on as the member for Cabramatta.
"I have devoted more than 20 years to the ALP and I have always done what's in the best interests of the ALP and Government," she said. "I won't be seeking a position in the new cabinet and wish my colleagues all the best in the lead-up to the next election."
Ms Meagher was one of five ministers earmarked for sacking by former premier Morris Iemma, and her spectacular recent blunders were the final straw for many of her backers.
Just last week she was accused of trying to cover up unfavourable hospital performance data. Later that night she failed to get on the front foot to announce rescue service changes, leading to a public relations shambles.
Her replacement is most likely to be the rising star from the ascendant Left, Environment Minister Verity Firth.
Like Prime Minister Kevin Rudd, Mr Rees will have carte blanche to install the team he wants, with the Labor caucus acceding to his demand for a fresh start with new faces.
"What Nathan wants, Nathan will get," was the consensus view of Labor sources who are pinning their hopes on the former garbo and greenkeeper to reverse abysmal poll results and position them for an historic fifth term win in 2011.
Two others on Mr Iemma's list also face an uncertain future. Graham West (Gaming and Racing) and Kevin Greene (Community Services) are seen as underperformers. Another in serious trouble is Juvenile Justice Minister Barbara Perry, widely regarded as nice but not making an impact.
Mr West committed the cardinal political sin of dropping the former premier in the deep end when he told a budget estimates committee it was Mr Iemma who asked him to look at allowing Betfair into NSW; Mr Greene embarrassed his colleagues when he appeared to fall asleep in Parliament.
The dumping of Ms Meagher, Mr West, Mr Greene, Ms Perry and former treasurer Michael Costa opens up five frontbench spots for the right wing which is in desperate need of reinvigoration. The big winner is expected to be parliamentary newcomer Jodi McKay, a former newsreader elected last year, who will almost certainly replace Mr Costa as Minister for the Hunter.
Other frontbench favourites are Parramatta MP Tanya Gadiel, Maroubra's Michael Daley, and Steve Whan, whose slim grip on Monaro would be enhanced by a ministerial profile.
The fifth spot is expected to be fought out by Heathcote's Paul McLeay and Strathfield's Virginia Judge, with Ms Judge last night emerging as favourite.
Big promotions are in store for Police Minister David Campbell, almost certain to replace the retiring John Watkins as Transport Minister, and Ageing and Disability Services Minister Kristina Keneally who will likely be the new Roads Minister when Eric Roozendaal is shoved sideways.
Tourism and Housing Minister Matt Brown is certain to be substantially promoted, possibly to finance. Attorney-General John Hatzistergos is slated for the Treasury but may face a challenge from John Della Bosca, back in the fold after the Iguana's crisis.
And the left's David Borger will be confirmed as a minister after his faction backed him last week to fill the front-bench spot vacated by Phil Koperberg.
Today's caucus meeting, to be held at State Parliament at 10am, will run like a well-oiled machine after, to use the new Premier's words, phones went into "meltdown" yesterday as deals were made and support was sought.
Yesterday Mr Rees said: "You can imagine the internal discussions that are going on. I have made my criteria for entry to the frontbench crystal clear - talent, courage and hard work.
"[Picking the right team] is absolutely essential. The people of NSW have been disappointed in us and this is our last chance to get it right. You will see a new team."
While ministers will be picked today, portfolios may not be known until tomorrow.
Opposition Leader Barry O'Farrell said yesterday: "Labor's arrogant culture is ingrained. The elevation of Nathan Rees is the NSW ALP's second, cynical attempt to dupe the public into believing that, after more than 13 years, the State Labor Government is finally going to focus on the problems faced by families.
"Nathan Rees, like Morris Iemma, is promising a fresh start. He's promising change; he's promising to front up; he's promising fiscal responsibility. All this hollow rhetoric sounds eerily familiar."
Mr O'Farrell said the Ryde byelection would give that community the chance to send a "strong mid-term reprimand to the State Labor Government."
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