Mr Little insisted on Monday that he was not giving up on the election, and would be working twice as hard to get Labour into government.
In a surprise admission on Sunday, Mr Little said he met with senior colleagues last week to discuss whether he should stand down.
His caucus colleagues told him to stay on. It came as a new One News Colmar Brunton poll showed Labour at 24% - its lowest-ever result - just eight weeks out from the September 23 election.
Mr Little told Newstalk ZB on Monday morning that he publicly revealed his proposal to the Labour caucus because he wanted "to be honest about it''.
"It's an inevitable question that comes up. I'm the type of guy who does take responsibility.
"I felt honour bound to raise that as a valid option.''
Now that he had his caucus' backing, Mr Little said he would "stepping up'' his campaign and "spending even more time'' on the road over the next two months than initially planned.
"I'm in this fight. And I'm going at it hammer and tongs because there is too much at stake for far too many New Zealanders.''
Asked whether 24% was Labour's low point, he replied: "It better be. I'm not planning on an alternative, I'm getting absolutely stuck into the campaign that we've got.''
Mr Little on Sunday told The New Zealand Herald he raised the leadership issue late last week with senior colleagues.
"We all realise we are in this fight together. We're satisfied with the priorities we are campaigning on and the campaign strategy. I remain totally determined to fight.''
Mr Little told One News that after consulting colleagues, they told him they believed he should stay on. He would not reveal who the colleagues were, but it is likely they included deputy Jacinda Ardern, Phil Twyford and Grant Robertson.
Labour's Dunedin MPs, David Clark and Claire Curran, could not be contacted for comment last night.
Mr Little's leadership has come under intense scrutiny after he failed to get traction in the polls. He has also faced comparisons with Ms Ardern, who has overtaken him in the preferred prime minister stakes.
However, there has been little appetite to replace Mr Little so close to an election.
Labour's leadership rules allow caucus to elect a new leader itself rather than put it to the membership vote if the job comes up within three months of an election.
In other poll results, National was holding steady on 47% and New Zealand First was steady on 11%. The Opportunities Party had made further gains - up 1% to 2% - and the Maori Party was on 1%.
Mr Little referred to the party's polling at the launch of Labour's campaign for the Maori seats in Mangere yesterday, telling supporters it had had been "a bit rough''.
He admitted there would be a credibility issue if Labour's election-night result was that low, even if it could form a Government with the Green Party and NZ First. He told the Herald he was not giving up.
"The result is naturally disappointing. A tough fight just got tougher.''
He said the things Labour stood for could not happen unless the government changed "and only one party can guarantee that, and that's Labour''.
In the preferred prime minister stakes, Bill English was up two to 28%, Winston Peters was down one on 10% and Mr Little up one to 6%, level with Ms Ardern. The poll of just over 1000 eligible voters was taken from July 22-27 and has a margin of error of plus or minus 3.1%.
Prime Minister Bill English did not celebrate the new poll, saying that National could still lose the election despite Mr Little and Labour's woes.
"Even with the Labour Party doing badly, the Greens on their policy problems over welfare, and NZ First promising everything to everybody, they could form a government,'' he told Newstalk ZB on Monday.
"On that poll last night, the Government could lose the election. So we've got a lot of hard work to do over the next two months because we have to get our support up.''
He warned National supporters against complacency, repeatedly saying that National needed to lift its vote if it wanted a "strong, stable government'' which did not depend on New Zealand First.
Mr English rejected suggestions that New Zealand First could overtake Labour, saying that Labour remained a "strong brand''.
