Employment Standards Act (ESA) changes: What Ontario hiring leaders need to know in 2026
Hiring in Ontario is entering a new era of transparency
Recent amendments to the Employment Standards Act (ESA), introduced under Bill 30, the Working for Workers Seven Act, 2025, move hiring compliance out of policy manuals and into the open, directly affecting job postings, candidate communications, and recruitment workflows.
For hiring leaders, particularly those managing high-volume or technology-driven hiring, these changes represent more than a regulatory update. They introduce new operational expectations that touch recruiters, hiring managers, applicant tracking systems, and employer brand, all at once.
These changes are not revolutionary, and some jurisdictions (including British Columbia, California, and Illinois, have already implemented pay transparency requirements, with more expected to come.
Below is a practical overview of the key ESA changes taking effect in January 2026, along with what they mean for organizations hiring in Ontario. Please note that these do not apply to employers that employ less than 25 employees on the day the posting is posted.
Requirement to include expected compensation (January 2026)
What’s changing
Employers will be required to include expected compensation information in publicly advertised job postings.
Why this matters for hiring teams
While pay transparency is not new, mandating disclosure brings compensation conversations to the very start of the hiring journey. For many organizations, this exposes misalignment between internal pay structures, market rates, and recruiter messaging.
In fast-moving hiring environments, particularly in IT, where contract and permanent roles often coexist, unclear or inconsistent ranges can lead to candidate drop-off, delayed offers, or last-minute renegotiation.
Organizations that prepare early by aligning role definitions, leveling, and recruiter guidance will be better positioned to maintain hiring momentum while meeting compliance expectations.
Requirement to disclose the use of artificial intelligence in hiring (January 2026)
What’s changing
Employers must disclose when artificial intelligence is used in screening, assessing, or selecting candidates.
Why this matters for hiring teams
Many hiring organizations already rely on AI-enabled tools, from résumé screening and skills matching to scheduling and assessment platforms. The challenge is that these tools are not always clearly documented or consistently understood across teams.
Disclosure requirements increase the importance of clarity: knowing where AI is used, how it influences decisions, and ensuring that stated practices match actual workflows. Informal or ad hoc use creates both compliance and reputational risk, particularly in candidate-driven markets.
Prohibition on Canadian experience requirements (January 2026)
What’s changing
Job postings can no longer require “Canadian experience” as a condition of employment.
Why this matters for hiring teams
This change encourages employers to rethink how they define qualifications. Experience-based shortcuts that once felt efficient may now unintentionally exclude qualified candidates and introduce risk.
Hiring teams will need to focus more deliberately on skills, competencies, certifications, and outcomes, a shift that aligns well with modern IT hiring but requires discipline in job design and screening criteria.
Requirement to disclose whether a vacancy exists (January 2026)
What’s changing
Employers must disclose whether a publicly advertised job posting reflects an actual vacancy.
Why this matters for hiring teams
This directly affects organizations that post evergreen roles or build candidate pipelines in advance of confirmed demand. While pipeline hiring remains common, especially in technology, postings must now be positioned with greater clarity.
Clear internal alignment between talent acquisition, hiring managers, and workforce planning becomes essential to ensure postings are accurate, transparent, and defensible.
Requirement to provide information to interviewed applicants (January 2026)
What’s changing
Employers must provide information to an applicant about whether a hiring decision has been made for that posting. The information must be provided within 45 days after the date of the interview or, if the applicant is interviewed more than once, then within 45 days after the date of the last interview.
Why this matters for hiring teams
Many organizations already strive for timely candidate communication, but execution often breaks down during busy hiring cycles or high-volume recruitment.
This requirement formalizes expectations that depend on strong process discipline: tracking interviews, managing timelines, and ensuring follow-up does not fall through. For organizations hiring at scale, consistency, not intent, becomes the determining factor.
Turning ESA compliance into a hiring advantage
Taken together, these ESA changes reflect a broader shift toward transparent, accountable, and candidate-centric hiring practices.
For most organizations, the challenge will not be understanding the regulations, it will be applying them consistently across recruiters, hiring managers, systems, and hiring scenarios without slowing down the business.
This is where execution matters.
Procom works alongside hiring leaders to translate regulatory requirements into practical, repeatable hiring operations, particularly in complex IT and professional services environments. Our role is not to replace legal counsel or define employment policy, but to help organizations operationalize compliance by:
- Introducing consistency across job postings, screening, and onboarding workflows
- Coordinating recruiters, hiring managers, and hiring technologies
- Supporting disciplined candidate communication at scale
- Reducing execution risk while maintaining hiring velocity
- Enabling workforce programs across contract, permanent, and project-based roles
As hiring regulations become more visible and enforceable, organizations that invest in operational clarity, beyond jargon-heavy policy updates, will be better positioned to adapt without disruption.
Procom supports hiring leaders in turning regulatory change into sustainable, compliant hiring practices that scale.
For official guidance on the ESA amendments, visit: Recent changes | Your guide to the Employment Standards Act | ontario.ca
