A Labor senator who accused Israel of carrying out genocide on the Palestinian people has resigned from her position on two parliamentary foreign affairs committees.

Fatima Payman broke ranks from her party earlier this month, demanding her own government to sanction and cease trade with Israel.

Senator Payman urged her colleagues, including the prime minister, to "stand for what is right" and said that her conscience had been "uneasy for far too long" as she watched the war in Gaza from afar.

"This is a genocide, and we need to stop pretending otherwise," the senator said.

During her statement, she referenced the chant "from the river to the sea". Her comments were described as "inappropriate" by Prime Minister Anthony Albanese, and were seized upon by the federal opposition as evidence of a split within Labor on foreign policy.

A government spokesperson has confirmed on Thursday the first-term senator from Western Australia has resigned from her position on two committees.

"Senator Payman has resigned from the Joint Standing Committee on Foreign Affairs, Defence and Trade and the Senate Foreign Affairs, Defence and Trade Legislation Committee," the spokesperson said.

"The government's policy is clear – we support a two-state solution."

The two committees scrutinise government policy in defence and foreign affairs.

In recent days, Senator Payman had again reiterated her calls on social media, following Israeli air strikes on the city of Rafah.

"We must demand an end to this genocide, stop all trade, divest and recognise a Palestinian state," she said on X, formerly known as Twitter.

Government frontbencher Bill Shorten suggested earlier this month he would step down from the foreign affairs committee if he held the same view as his Labor colleague.

"If I was on it and I had that much disagreement I probably would decide to make a contribution in some other way," he said.

Before Senator Payman's resignation from the two committees, fellow Labor backbencher Josh Burns spoke in support of her.

"Fatima is a friend, and I know this whole conflict is really hard," the Jewish MP told the ABC. 

"I don't pretend for one second that the experiences of her and her community have been anything other than devastating.

"We can have a great concern for the innocent lives of the Israelis as well as the Palestinians."

There have been calls from the Coalition for the senator to not only resign from her committee positions, but to resign from parliament altogether over her comments.

Opposition Leader Peter Dutton was asked on 3AW whether she should be "kicked out of the federal parliament", to which he responded "There's no question she should be".