Football Federation Australia (FFA) has withdrawn its recognition of Professional Footballers Australia (PFA), making a players' strike a possibility.
Discussions over a new collective bargaining agreement (CBA) have been ongoing without success and, according to a statement from PFA, FFA withdrew the recognition of the body, which has represented Australian players since 1993.
FFA terminated the 2007 Memorandum of Understanding, which has been in place for eight years.
PFA chief executive Adam Vivian told PFA members on Sunday in a meeting attended by 177 players.
The players and the game's governing body were still seemingly a long way from agreeing a new CBA, with a salary cap freeze and payments to the national teams among the sticking points.
Despite the expiry of the CBA, FFA made changes to salary cap rules on Tuesday.
"Yesterday's media announcement by FFA about changes to the A-League Player Contract Regulations was made without the knowledge of the PFA and introduces overdue reforms to the cap tabled by the PFA as early as 2013 to promote greater development and stability in the league," Vivian said.
"However, the announcement unilaterally imposes the salary cap freeze rejected by the players in the CBA negotiations which will largely undermine the reforms and place even greater pressure on the A-League's core player group.
"The PFA has a long track record of supporting and building the game. It is clear that FFA's CBA proposals and its decision to withdraw recognition of the PFA are very damaging to both.
"FFA has left the PFA and the players with no option but to take the necessary steps to secure the rights and wellbeing of Socceroos, Matildas and A-League players under Australian industrial law."