By Megan Finley
As of January 1, 2026, Ontario will introduce significant new requirements governing job postings and pay transparency under amendments to the Employment Standards Act, 2000 (ESA). These changes, enacted through the Working for Workers Four Act, 2024 and related regulations, will affect employers with 25 or more employees who publicly advertise job opportunities.
For many organizations, these changes represent one of the most substantial shifts in recruitment compliance in years. Employers that prepare now will reduce compliance risk, strengthen recruitment practices, and demonstrate leadership in fair and transparent hiring.
Who Is Affected and What Is a “Publicly Advertised Job Posting”?
The new pay transparency and job posting requirements apply currently only to employers that employ 25 or more employees in Ontario on the date a job is posted publicly. Smaller employers are exempt from these obligations.
A publicly advertised job posting is defined as an external job advertisement that is made available to the general public in any form or medium. This definition excludes:
- General recruitment campaigns without specific job roles,
- Internal postings limited to current employees, and
- Postings for positions where all the work is outside Ontario.
Understanding this scope is the first step in ensuring compliance with the new regime.
New Requirements Effective January 1, 2026
These requirements fall into three main areas: job posting content, hiring process transparency, and record-keeping obligations.
1. Compensation Disclosure
Employers must include either:
- The expected compensation for the position, or
- A compensation range in every publicly advertised job posting.
If a compensation range is provided, the difference between the minimum and maximum cannot exceed $50,000 annually. However, this limit does not apply to positions where the expected compensation or the top of the reported range is above $200,000 per year.
For the purposes of these requirements, “compensation” means wages as defined under the ESA, generally encompassing salary, hourly pay, commissions, and non-discretionary bonuses.
2. Disclosure of Vacancy Status: Every job posting must clearly state whether the position being advertised is for an existing vacancy. This promotes clarity for candidates and discourages ambiguous job postings designed primarily to build future candidate pools.
3. Artificial Intelligence (AI) Disclosure: If an employer uses artificial intelligence to screen, assess, or select applicants for a position, this fact must be disclosed in the job posting. The regulation defines AI broadly to capture machine-based systems that generate outputs (such as candidate rankings or recommendations) based on input data.
4. Prohibition on Canadian Experience Requirements: Employers are prohibited from including any requirement related to “Canadian experience” in their job postings or associated application forms unless it can be demonstrated to be a bona fide occupational requirement. This restriction is intended to reduce barriers to employment for internationally trained professionals and other applicants.
5. Candidate Notification After Interviews: Under the new rules, employers that interview candidates for a publicly advertised job must notify each candidate whether a hiring decision has been made within 45 days of their interview or, if multiple interviews occur, within 45 days of the last interview. Notification may be provided in person, in writing, or using electronic communication.
6. Record Retention: Employers must retain copies of all publicly advertised job postings and associated application forms for a minimum of three years after the posting is removed. This record-keeping obligation is intended to support compliance audits and investigations.
Why These Changes Matter
Ontario’s new pay transparency and job posting regime is part of a broader legislative effort to promote fairness and accountability in hiring practices. Transparent job postings help candidates understand compensation expectations upfront, reduce information asymmetry in negotiations, and support efforts to address systemic wage disparities.
From a compliance perspective, failure to meet these requirements may expose employers to complaints or inspections. Early preparation reduces legal risk and positions employers as credible and competitive in the labour market.
Practical Steps for Ontario Employers
To ensure readiness, employers should take the following actions:
- Review Compensation Frameworks: Establish and document compensation ranges for each role where possible. Ensure that ranges are defensible and align with market data.
- Update Job Posting Templates and Systems: Revise templates and applicant tracking systems to include compensation disclosure, vacancy status, and AI use declarations.
- Audit Recruitment Policies: Remove prohibited Canadian experience requirements and ensure that all job postings comply with the new rules.
- Train HR and Hiring Managers: Educate HR professionals, recruiters, and hiring managers on the new requirements to ensure consistent application across the organization.
- Implement Record-Keeping Processes: Establish systems to retain job postings and recruitment documentation for at least three years, in compliance with record retention obligations.
The introduction of pay transparency and job posting requirements represents a major shift in Ontario’s employment standards landscape. Employers with 25 or more employees must prepare now to ensure that job postings are compliant and that recruitment practices reflect the new standards.
At Pivot HR Services, we support organizations with legislative compliance, policy development, recruitment optimization, and compensation strategy. With January 1, 2026, approaching, early planning allows employers to review job posting templates, recruitment systems, and internal processes well before the new requirements take effect.
If you require assistance preparing for these 2026 changes, our team is available to guide you through every step of the transition. Employers who would like an initial discussion on how these requirements may apply to their organization are welcome to contact us for a complimentary consultation.