The federal senator said NSW Labor needed to take stock following damning evidence at an anti-corruption inquiry into a $100,000 donation to the party.

Kaila Murnain was dumped as the party's general secretary after she admitted to the Independent Commission Against Corruption she had been told the money had come from Chinese billionaire and banned donor Huang Xiangmo.

Senator Keneally said she was "angry and disturbed" by the evidence that had been presented to the ICAC and agreed with the decision to suspend Ms Murnain.

"The party needs to take this opportunity ... to take a step back to review its structure, its focus, its purpose, the roles," she told Sky News on Friday.

"I also have a view that it might be a time to look at changing the physical location of head office. Sometimes to change culture you have to change environment."

NSW Labor's HQ on Sussex Street is in the same building that houses the long-standing headquarters of NSW's trade union movement.

"I don't want to divorce from that but I do think it's worth considering whether (to) remain in Sussex Street with all the associations of the past," Senator Keneally said.

The former NSW Labor leader acknowledged that Ms Murnain had made some significant changes to improve governance and representation within the party "but clearly has fallen short".

Former Labor powerbroker and senator Sam Dastyari on Thursday called for the state branch to seriously look at a "proper, full statewide ban on private donations" following his testimony before ICAC.

"We've been through this rubbish enough and as someone who's seen the end of my own political career as a result of it, I think it's something that is well overdue," Mr Dastyari told reporters.

Australian Associated Press