As part of our mandate to keep you informed about important regulatory changes, we want to bring your attention to proposed amendments to Ontario’s Employment Standards Act (ESA) that could impact your business. The Ontario government is currently seeking feedback from businesses and other stakeholders on these proposed changes, and this is your chance to help shape the future of employment regulations in our province.

Overview of the Proposed Changes

The Ontario government has introduced a series of amendments under the Working for Workers Four Act, 2024, and the proposed Working for Workers Five Act, 2024 (Bill 190). These changes focus on increasing transparency and fairness in the hiring process, with a particular emphasis on job postings. Below is a summary of the key areas of change:

  1. Disclosure of Compensation and AI Use: The new Part III.1 (Job Postings) of the ESA requires employers to include the following in all publicly advertised job postings:
    • Expected Compensation: Employers must provide information on the expected salary or range of salaries for the position.
    • Use of Artificial Intelligence (AI): If AI tools are used in the hiring process, this must be disclosed in the job posting.
  2. Prohibition of Canadian Experience Requirements: To reduce barriers for newcomers entering the workforce, the amendments prohibit employers from requiring Canadian work experience in job postings and associated application forms.
  3. Transparency in Job Vacancies (Bill 190): Proposed under Bill 190, these changes would require employers to disclose whether a job vacancy actually exists when posting job advertisements. This measure addresses concerns about job postings being used to create a talent pool without the intention of immediate hiring. Additionally, employers would be required to communicate the outcome of interviews to candidates within a specified timeframe.
  4. Definitions and Regulatory Details: The consultation also seeks input on the definitions of key terms such as “artificial intelligence” and “publicly advertised job posting.” The proposed definitions would impact the scope of the regulations, influencing which job postings and AI tools are subject to the new rules.
  5. Information Required by Start Date: Another amendment introduced by the Working for Workers Act, 2023, involves ensuring that new employees receive essential employment-related information—such as work location, salary, and expected hours of work—before their first day on the job.

Why Your Feedback Matters

These changes could introduce new requirements for your hiring processes, potentially impacting how you attract and manage talent. It’s essential for businesses to understand these proposed regulations and consider how they might affect operations. The consultation process is a critical opportunity to ensure that your voice is heard, and that the final regulations are practical and supportive of business needs while also protecting job seekers.

Key Issues for Discussion

The Ontario government is seeking your feedback on several important questions, including:

  • Do you agree with the proposed definitions of “artificial intelligence” and “publicly advertised job posting”?
  • Should higher-paying positions be exempt from the requirement to disclose compensation? If so, what should the threshold be?
  • Should there be exceptions to the prohibition on Canadian experience requirements?
  • Are there circumstances under which AI use should not need to be disclosed in job postings?
  • Is a 30-day period sufficient for employers to inform interviewees of hiring decisions?

These are just a few of the areas where your input can make a difference.

How to Participate in the Consultation

We encourage all members to review the full consultation paper and provide your feedback to the Ministry of Labour, Immigration, Training, and Skills Development by Friday, September 20, 2024. Your contributions will help shape the final regulations, ensuring they are fair and effective for both employers and employees.

You can submit your feedback via email at ESA-Regs-Consultation@ontario.ca or by mail to:

ESA Regs Consultation
Employment, Labour, and Corporate Policy Branch
Ministry of Labour, Training and Skills Development
400 University Avenue, 15th Floor
Toronto ON M7A 1T7

At the Huron Chamber of Commerce, we are committed to supporting our members through these changes by providing timely updates and resources. If you have any questions about how these proposed changes might affect your business, or if you need assistance with the consultation process, please don’t hesitate to reach out to us.