Prime Minister Julia Gillard has adopted a hands-off policy in dealing with the Craig Thomson affair, insisting that the matter should be resolved by following the due course of the law.

Fair Work Australia (FWA) has concluded last week its probe on allegations that Thomson and other Health Services Union (HSU) misused funds entrusted to them by the group and passed on its findings to federal prosecutors.

Thomson served as one of HSU's ranking official prior to his run as a member of the Parliament.

He and other HSU officers have been the subject of an FWA probe, which lasted more than three years, that looked into accusations that he used his union-issued credit card to pay for the services of prostitutes.

Thomson denied the charges but vowed his full cooperation with authorities.

Ms Gillard said in an interview with ABC on Tuesday that since prosecutors were now tasked to handle the HSU case, they should be allowed to complete their works independent of intervention from any parties.

"Proper processes should be worked through," the Prime Minister told ABC.

"I'm taking the same approach as (former) Prime Minister John Howard took in comparable circumstances," Ms Gillard added, citing the practice then of the Coalition government to refer cases of erring MPs to federal prosecutors.

"What's good enough then should apply now," the Labor leader stressed.

Yet accusations linger that 'invisible hands' may be working for the likely exoneration of Thomson, who has consistently insisted on his innocence, as the Coalition hopes that the embattled Labor MP's eventual prosecution before a court could lead to the downfall of the Gillard government.

Meanwhile, the rift within the HSU ranks appeared to be worsening as HSU national secretary Kathy Jackson called for an overhaul of the group's national leadership once the national executive meets in late April.

Jackson also demanded for the resignation of incumbent HSU officers to clear the way for a fresh batch of officials that she said would bring in a fresh start for the scandal-plagued union.

"At the next national executive meeting I'll be proposing that the union's rules be urgently changed to provide that the entire national executive, including president and secretary, be directly elected by the membership, and that the entire national executive resign together after that change to allow new elections," Jackson was reported by the Australian Associated Press (AAP) as saying on Tuesday.

But the proposal was flatly rejected by HSU acting president Chris Brown, who has been the group's provisional head since its president, Michael Williamson, was suspended October last year for allegedly embezzling union funds.

Brown stressed that the proposed mass exit of HSU was unnecessary as "national union is in shape."

"There's no justification for the whole of the leadership resigning. It would be a disaster - it would put the trade union in entire disarray," Brown told AAP.

Brown, at the same time, has accused Jackson of politicking amidst the challenges that HSU currently faces.

He further explained that replacing Williamson may not happen so soon as "the process for getting rid of him is a fairly long process," and surely that will not be achieved during the HSU's scheduled national executive meet on April 27.