Former federal Labor leader Mark Latham has backed a push to give rank-and-file members more say in party pre-selections, calling the current model "indefensible".
Mr Latham joined party elder John Faulkner on Monday for the NSW launch of Local Labor, a group that will push for greater democratisation within the party.
Senator Faulkner said the "rotten processes" of the current model were what had allowed the corruption exposed in recent Independent Commission Against Corruption inquiries to flourish.
"I want to fix the shameful behaviour and the scandals that have characterised NSW Labor," he said.
"I say, change the system that gave us Eddie Obeid ... change the system that gave us Ian Macdonald."
Mr Latham said the walloping NSW Labor received at the 2011 election should be incentive enough for party reform.
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Speakers at the event in Sydney on Monday foreshadowed a trade union backlash and opposition from factional bosses.
