It was the first Labor leadership contest to be decided by all party members, not just the ALP's senators and members of parliament.
Bill Shorten,a former education minister and former head of the powerful Australian Workers' Union was elected as leader following a month-long vote by the ALP's 40,000-strong membership, which was combined with the results of a poll of party lawmakers.
Bill Shorten won 64% of the parliamentary vote - securing 55 of the 86 votes.Bill Shorten defeated former deputy prime minister Anthony Albanese with 64% of the caucus vote and 40% of the ordinary membership vote, the party said
Chris Bowen, who acted as interim Labor leader following the defeat of Kevin Rudd in September's election, said he believed Mr Shorten would lead the ALP into power.
"The entire Labor Party has elected an alternative prime minister and I believe the next Labor prime minister of Australia," he said.
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