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Employers Take Notice: Updates to the Employment Standards Act

October 1, 2024
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What’s The Issue?

Ontario’s employment laws are evolving yet again with Bill 149 receiving royal assent. This bill introduces significant reforms aimed at further improving worker protections, increasing transparency, and modernizing employment practices across the province.

What are the new requirements?

Bill 149 introduces changes to, among others, the Employment Standards Act, 2000 (the “ESA“). Some of the key changes include the following:

  • requirement for employers to have an agreement with employees regarding the method of payment of vacation pay;
  • requirement for employers whose business includes the employer, a director or a shareholder of the employer sharing in tips and gratuities to post its policy regarding same in a conspicuous place in the establishment and to retain that policy for 3 years after it ceases to be in effect;
  • requirement for employers to disclose salary ranges in public job postings;
  • prohibition on employers from asking for “Canadian experience” in job postings;
  • requirement for employers to inform the public if artificial intelligence (“AI“) is being used in its hiring practices to screen, assess or select applicants;
  • requirement for employers to retain certain job postings for 3 years; and
  • requirement for employers to classify work performed during a trial period within the meaning of training.

Takeaways for Employers

Employers should review their job postings, hiring practices and employment paperwork to ensure they are in compliance with these updates. If you require any assistance navigating these issues, please do not hesitate to reach out to any member of our employment team.

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