Malcolm Turnbull has announced both houses of parliament will be recalled on April 18 to discuss the Australia Building and Construction Commission legislation.
Mr Turnbull announced the move in a press conference in Canberra on Monday morning.
He said if the senate fails to pass the legislation in the three sitting weeks he has called there will be a double dissolution election.
"The go-slows and obstruction by Labor and the Greens on this key legislation must end," Mr Turnbull said.
"This is an opportunity for the Senate to do its job of legislating rather than filibustering."
The budget has been moved forward to May 3 to allow for the potential double dissolution election.
If there is a double dissolution election it will be on July 2.
"I make no apology for interrupting senators' seven-week break to bring them back to deal with this legislation," Mr Turnbull said.
Mr Turnbull said he made the decision to recall parliament on Sunday night.
If the Senate passed the ABCC bill and another imposing tougher governance measures on trade unions, there would be no double-dissolution election, Mr Turnbull said.
"What we are doing here is giving the Senate ample time - this is three weeks - this is plenty of time to consider the bills, and pass them," he said.
"If they don't want to pass the bills then they should resolve to reject them and then the decision will be left to the Australian people."
Changes to Senate voting practices passed the upper house last week following a marathon 28 hours of debate.
The reforms, which will change the way the voters elect senators, effectively restrict minor parties from picking up seats through complicated preference deals.
The changes will be in place if there is a double dissolution election in July.
