On January 1, 2026, the province of Ontario introduces landmark changes to recruitment and job-posting legislation under the Working for Workers Four Act (via Bill 149) and the Working for Workers Five Act (via Bill 190). These changes reshape employer obligations under the Employment Standards Act, 2000 (ESA) and introduce significant transparency requirements for job postings.
The new requirements apply to publicly advertised job postings by employerswho have 25 or more employees on the day the posting goes live.
What are the key new requirements?
Here are the major changes that will impact job postings and recruitment processes as of January 1, 2026:
- Salary disclosure: Every externally-advertised job must include either the expected compensation or a range of expected compensation. The range cannot exceed a spread of CAD $50,000 unless the upper limit of the range, or expected compensation, is above CAD $200,000 (in which case the salary-disclosure requirement is waived).
- Prohibition of “Canadian experience” requirement: Job-postings must not include any requirement that applicants have Canadian work experience. This is a significant shift aimed at opening doors for internationally-trained professionals.
- Disclosure of Artificial Intelligence (AI): If an employer uses AI—defined as “a machine-based system that, for explicit or implicit objectives, infers from the input it receives in order to generate outputs …” — to screen, assess or select applicants, that must be disclosed in the job posting.
- Vacancy statement: The posting must include a statement indicating whether the job is for an existing vacancy (i.e., a role that is open today) or some future/anticipated role.
- Candidate communication obligation: If an applicant is interviewed, the employer must inform the interviewee whether a hiring decision has been made within 45 days of the interview (or, if multiple interviews, within 45 days of the last interview).
- Record-keeping: Employers must retain copies of each publicly advertised job posting and the associated application form for three years after public access to the posting is removed. They must also retain the record of the information provided to interviewed applicants for three years.
Small business owners should begin preparing now for the new Transparency Law, which is set to take effect in January 2026. Start by reviewing your job postings to make sure they include clear pay information, mention if any AI tools are used to screen candidates, and explain whether the job is an existing or future position. Remove any phrases like “Canadian experience required,” which will no longer be allowed.
Next, take a look at how you set pay across your company. Since you’ll soon be sharing salary ranges publicly, it’s important that your pay structure is fair and makes sense. Update your hiring policies and make sure your records are kept for at least three years after a job posting closes. Train your managers and anyone involved in hiring so they understand the new rules, and make a plan to follow up with applicants within 45 days after interviews.
Finally, be open with your team about why job postings will start showing pay ranges and what that means. Taking these steps early will help your business stay compliant, avoid last-minute stress, and show that you value honesty and fairness in how you hire.
Peak Performance HR (PPHR) makes navigating Ontario’s new Pay Transparency requirements simple and stress-free. With our deep HR expertise and practical, business-minded approach, we help organizations confidently adapt to these changes without disruption. Our team understands the challenges small and mid-sized businesses face and provides the clarity, guidance, and reassurance needed to stay compliant while maintaining trust with employees and candidates. Partnering with PPHR means turning a complex legislative change into a smooth, manageable transition that strengthens your culture of transparency and fairness.
Book a free consultation with Peak Performance HR to learn more about our fractional Human Resources and recruitment solutions.