Ontario HR Compliance in 2026: Your Employer Checklist
Four employment law changes took effect in Ontario on January 1, 2026 under the Working for Workers Four Act, 2024 and Working for Workers Five Act, 2024. ESA violation fines are now the highest individual penalty in Canada. This checklist covers what each rule requires, who it applies to, and how Payworks HR addresses it.
Here's what changed:
- ESA Violation Fines: Maximum individual fine doubled from $50,000 to $100,000. Personal liability applies to managers and HR professionals.
- Pay Transparency: Employers with 25+ employees must post salary ranges. Ranges cannot span more than $50,000 annually. "Canadian experience" cannot be required.
- AI Disclosure: Any employer using AI to screen or rank applicants must disclose this in the job posting, no headcount minimum.
- Candidate Notification: Employers with 25+ employees must notify every interviewed candidate of a hiring decision within 45 days. Records are required to be retained for three years.
- Payworks HR handles documentation, compensation consistency, and candidate notifications, on the same platform as your payroll.
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About Payworks
Doing business to business, person to person. Since 2001, Payworks has been proudly Canadian — with offices and employees across the country dedicated to building and supporting solutions for Canadian businesses. Today, we’re recognized leaders in total workforce management, delivering payroll, HR, time and attendance, and analytics tools backed by industry-leading service. We’re honoured to have been named one of Canada’s Best Managed Companies every year since 2012, and to be a three-time designee of Canada’s Top Small & Medium Employers.