qwerty Ontario Employment Law Changes 2026 Key Updates

Ontario Employment Law Changes Effective January 1, 2026: What Employers Need to Know

by | Mar 25, 2025

Legislative changes to Ontario’s Employment Standards Act, 2000 (ESA) are set to take effect on January 1, 2026, impacting how employers post job opportunities, communicate with candidates, and maintain hiring records. These amendments, introduced through the Working for Workers Four Act, 2024 and Working for Workers Five Act, 2024, are designed to increase transparency and fairness in the hiring process.

At TDS Personnel, a leading staffing agency in Toronto, we specialize in connecting employers with top talent. While we help businesses stay informed on industry trends, legal matters should be addressed with an employment lawyer. Here’s what you need to know about the upcoming changes and how to prepare.

Key Changes Effective January 1, 2026

1. Compensation Disclosure in Job Postings

    • New Requirement: Employers must include the expected compensation or a salary range in any publicly advertised job posting.
    • Important Details: If listing a compensation range, it cannot exceed $50,000 annually. This rule does not apply to roles with a salary over $200,000 per year.

This change promotes pay transparency, helping candidates make informed decisions before applying.

2. Ban on Canadian Experience Requirements

    • New Requirement: Employers can no longer require Canadian work experience in publicly advertised job postings or job application forms.
    • Why It Matters: This update removes hiring barriers for internationally trained professionals, making recruitment more inclusive.

This is particularly relevant for industries like finance recruitment, where global experience is often just as valuable as Canadian credentials.

3. AI Disclosure in Hiring

    • New Requirement: If artificial intelligence (AI) is used to screen, assess, or select job applicants, employers must disclose this in the job posting.
    • AI Definition: The legislation defines AI as a machine-based system that generates outputs influencing hiring decisions.

With AI tools becoming more common in admin staffing and executive hiring, this requirement ensures transparency in the recruitment process.

4. Clarification on Job Vacancy Status

    • New Requirement: Job postings must explicitly state whether the posting is for an existing vacancy or a future hiring opportunity.

This prevents misleading job advertisements and sets clear expectations for applicants.

5. Mandatory Communication with Interviewed Candidates

    • New Requirement: Employers must inform all interviewed candidates whether a hiring decision has been made within 45 days of their interview.
    • How to Notify Candidates: This notification can be done in writing, in person, or via technology.

This change improves the candidate experience and aligns with best practices for executive assistant staffing and other professional roles.

6. Record-Keeping Obligations for Job Postings

    • New Requirement: Employers must retain copies of all publicly advertised job postings and associated application forms for three years after the posting is removed.
    • Purpose: This ensures compliance and allows for audit verification if necessary.

For businesses that frequently hire through employment agencies in Toronto, maintaining accurate records will be essential to avoid legal pitfalls.

Action Steps for Employers

With the January 1, 2026 deadline approaching, employers should take proactive steps to ensure compliance:

    • Review and Update Job Posting Templates – Ensure all future postings include compensation details and omit Canadian experience requirements.
    • Assess AI Usage in Hiring – If using AI for resume screening or candidate selection, be prepared to disclose this in job postings.
    • Develop a Candidate Communication Plan – Implement a system to notify interviewed candidates about hiring decisions within 45 days.
    • Strengthen Record-Keeping Practices – Retain job postings and application forms for at least three years.

For businesses that rely on external hiring support, partnering with staffing agencies in Toronto can streamline compliance with these new regulations.

Conclusion

The upcoming Ontario employment law changes emphasize transparency, fairness, and accountability in recruitment. Employers must adapt their hiring processes to meet these new legal standards while ensuring a positive candidate experience.

At TDS Personnel, we specialize in admin staffing, executive assistant staffing, and finance recruitment. We help employers stay informed on industry trends and hire top talent.

If you need guidance on hiring strategies or compliance with Ontario’s employment law changes, contact us today!

Lisa de Jong
Latest posts by Lisa de Jong (see all)