Former Labor MHA for Denison, now Clark, Madeleine Ogilvie is yet to say whether she will contest the re-count and if she will try to rejoin the Labor Party.

Tasmanian Electoral Commissioner Andrew Hawkey said once he was notified of Mr Bacon's resignation an advertisement would need to placed in newspapers advising of the recount.

"The recount can be held 14 days after that ad is in the paper," he said.

Political analyst Richard Herr said it would be mutually beneficial to Labor and Ms Ogilvie if she was to rejoin the party should she decide to contest the recount.

"They could negotiate an arrangement where she was guaranteed pre-selection if she agrees not to be disruptive in caucus or Parliament," Professor Herr said.

"There's no legal requirement for the person in a countback to represent the party they stood for but for stability it is expected you will replace like with like.

"Political integrity suggests you should stick with whoever brought you to the dance."

Ms Ogilvie was tight-lipped on whether she will contest the recount but former ABC radio presenter Tim Cox already has thrown his hat in the ring.

Mr Bacon's 12,000 votes will be distributed and while Ms Ogilvie is leading by 500 votes pundits say it will be a close with Mr Cox, with Zelinda Sherlock a long way behind.

Ms Ogilvie quit the Labor Party to unsuccessfully contest the seat of Nelson in the Legislative Council.

She can rejoin Labor but like all new members her application would have to be approved by the administrative committee.

Labor leader Rebecca White said she had "reached out" to all the defeated Labor candidates and was confident whoever replaced Mr Bacon would make an excellent contribution.

"I don't have a preference," Ms White said.

Greens leader Cassy O'Connor said if Ms Ogilvie was elected it would cause "huge problems" for Labor.

"I think Madeleine Ogilvie is much better suited to being an independent because of the values she's expressed and she does say 'I' an awful lot," Ms O'Connor said.

"If Madeleine is elected as a notional independent and she sides with the government from time to time that will take some influence from Sue Hickey."

Former Labor Premier Paul Lennon says Scott Bacon's retirement will be a "great loss" for politics and the Labor party.

Mr Lennon, who served with the late Jim Bacon, said while they were different people, there was a lot of the former Premier in his son.

"Like his father Scott was all about helping working people and he had a strong sense of social justice," Mr Lennon said.

"What he cared about was influenced by what he saw in his father and helped to guide him.

"He knew that the way to help people was to have a strong economy and good policy development."

Mr Lennon did not want to be drawn on who should replace Mr Bacon as treasury spokesperson.

"That is a matter for Rebecca, I'm not going to be advising from the sidelines" he said.

"Scott will be a great loss to the Labor Party because he was one of the most senior figures there.

"He was one of the key members for Labor in parliament and a strong parliamentary performer."

Mr Lennon said as he was only 41 Mr Bacon had plenty of time for a new challenge and to move on from politics.

Jim Bacon was Premier from 1998 until 2004 when he died from cancer.

Scott Bacon was elected in 2010.

Premier Will Hodgman said Mr Bacon had been a "strong advocate for many people and organisations in the community he represents".

"Despite our political differences, I have always appreciated Scott's passion, commitment to his values, and his dry sense of humour," Mr Hodgman said.

"I wish him the very best for the next chapter in life."