Mr Albanese says it won't be about politics, but instead how and why it occurred, and who knew about it.

"We need to have transparency in the process because our system of parliamentary democracy relies upon conventions, relies upon the Westminster system of checks and balances."

Mr Albanese says the inquiry will look at Mr Morrison's appointment to administer the departments of health, finance, industry, science, energy and resources, treasury, and home affairs.

It will also examine the implications arising from these appointments.

"For the functioning of departments, government business enterprises and statutory bodies, and for accountability and public confidence in our system of government.

"The terms of reference also require the inquiry to examine and report on practices and processes applying to ministerial appointments, including the public disclosure of these appointments."

The inquiry will make recommendations to the government on any changes which could provide greater transparency and accountability to ensure that it can't occur again.