By Elizabeth Hill, Chief Executive Officer
What’s Happening?
Starting January 1, 2026, Ontario employers will face significant amendments to the Employment Standards Act, 2000 (ESA) stemming from Bill 149 and Bill 190.
The changes will impact multiple aspects of your HR programs, including how you post jobs, pay transparency, employee communications, and record-keeping. Below are the key changes coming to Ontario workplaces in January and what you need to do to comply.
Job postings
Under Bill 149 (and complementary parts of Bill 190), HR should prepare for the following posting requirements:
• Include expected compensation or compensation range in publicly advertised job ads – for roles below roughly $200,000. The range cannot exceed $50,000.
• Disclose when you use artificial intelligence (AI) to screen, assess or select applicants.
• State clearly whether the posting is for an existing vacancy as opposed to a future/planned opening.
• Remove any “Canadian experience required” language from publicly advertised job postings or application forms.
Record keeping + applicant communication duties
• Retain copies of every publicly advertised job posting (and associated applicant documentation) for three years after removal from public access.
• You will be required to notify all candidates that you interview of the hiring decision within 45 days of their final interview.
• Fines or enforcement may increase under Bill 190 for non compliance.
Washroom maintenance
• Employers and constructors must post washroom cleaning records in a visible place in or near the washroom facility where it is likely to come to be seen by workers; or, post the records electronically where it can be easily accessed by workers, and workers are provided with direction on where and how to access the record.
• Washroom cleaning records must include the date and time of the two most recent cleanings.
Next Steps for Employers
With these upcoming requirements coming into effect January 1, 2026, employers will need to be doing the following to prepare:
• Revise job posting templates: Update standard job ad templates to include fields for compensation (or range), AI disclosure, vacancy statement, and strip out any “Canadian experience” requirement.
• Set compensation bands / salary structures: If you don’t already have structured pay bands or salary grids, now is a good time to develop them. This will make it easier to pick appropriate ranges or expected compensation for postings.
• Evaluate your recruiting / applicant screening technologies: Review all tools used now (or planned) — e.g. resume-screening software, AI-based ranking tools, assessments — to see whether they meet the regulation’s definition of “AI.” If so, ensure you can document and disclose usage.
• Ensure record-keeping systems are in place: Establish a process / repository to save all job postings, application forms (for publicly advertised roles), and interview decision communications, for a period of at least 3 years.
• Policy / process documentation: Update your internal recruitment / hiring policy manuals to reflect the new rules (how to choose ranges, how to notify interviewees, AI disclosures).
• Communicate with third-party recruiters / agencies: If you outsource some recruiting or use job boards / agencies, ensure that they understand your new obligations (e.g. including compensation, AI disclosures).
• Review historical pay / salary equity: Since you’ll be disclosing compensation more openly, ensure your pay practices are defensible, internally consistent, and equity-justified.
• Communicate internally: Let your employees / hiring managers know about the new transparency rules, why you have them, and how you’ll comply. Consider that your compensation is now going to be public, meaning your staff will also see them. If in the past you have not shared your salaries and salary structure internally, consider doing so pre-emptively so your current staff do not learn about your compensation from job postings.
Please reach out if you need any help updating your policies and procedures to comply with the new requirements. The Pesce & Associates team would be happy to serve you.
