Embattled MP Emma Husar put her party first by deciding to quit federal politics at the next election, Labor frontbencher Joel Fitzgibbon says.

Key points: Joel Fitzgibbon says Emma Husar's reputation had taken a major hit

Joel Fitzgibbon says Emma Husar's reputation had taken a major hit He said Emma Husar had "so much potential"

He said Emma Husar had "so much potential" Labor's Jim Chalmers says he hopes Labor can move on from the saga

Ms Husar has been under intense pressure since it was revealed the New South Wales branch of the ALP was investigating bullying and misconduct claims levelled against her by former staff.

She again denied what she called "malicious allegations" but announced she would not re-contest her marginal western Sydney seat of Lindsay, saying her reputation had been "completely shredded".

Mr Fitzgibbon said the first-term MP had "so much potential", but agreed her reputation had taken a major hit.

"She's obviously decided that her reputation has been now so badly tarnished that it's not sustainable for her," he said.

"She's put the party first really by deciding that the damage is so extensive, it's best that she go, best for the party.

"She'll be a sad loss to the local community."

Another Opposition frontbencher, Jim Chalmers, said he hoped Labor could now move on from the saga.

Joel Fitzgibbon says Emma Husar's reputation has been tarnished. ( ABC News: Ross Nerdal )

"I think the whole episode has been very unfortunate on all sides," he said.

"I hope that all of the matters around this can be resolved properly now.

"All of the stuff that's happened, that we've read about in the newspapers in the last little while shouldn't diminish the fact that Emma has made a contribution to her community."

The ALP's investigation, carried out by lawyer John Whelan, is expected to be completed by Friday.

Ms Husar said while she had previously stayed silent to uphold the confidentiality of that process, "enough is enough".

"I kept quiet in the face of vicious and baseless smears and sensational clickbait headlines with no basis in fact," she said in a statement on Wednesday.

"Given my reputation has been completely shredded by nameless, faceless people, I see no point in waiting for this report."

Ms Husar holds the seat of Lindsay with a margin of just 1 per cent.