Embattled Fair Work Commission vice-president Michael Lawler has quit.
The partner of former Health Services Union boss Kathy Jackson was the subject of an independent investigation commissioned by Employment Minister Michaelia Cash, after concerns about his long periods of sick leave.
Mr Lawler had tendered his resignation to Governor-General Sir Peter Cosgrove, Senator Cash told the Senate on Thursday.
"Mr Lawler's resignation from the Fair Work Commission commences with immediate effect," she said.
Senator Cash received a report by former Federal Court judge Peter Heerey on February 15 and had given Mr Lawler until Friday to respond to the inquiry's findings.
If he had not decided to quit his $435,000-a-year post, it would have taken a vote by both houses of federal parliament to remove him.
Commission president Iain Ross told a Senate committee last year he had approved more than 200 days of sick leave for his deputy.
But he did not know Mr Lawler was spending that time supporting Ms Jackson to defend herself in court.
Mr Lawler told ABC TV's Four Corners program there was absolutely nothing wrong with taking leave to help your partner defend herself against unjust attacks.
"In fact, I would have thought most Australians would regard that as an honourable and decent thing to do," he said.
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