On January 1, 2026, Ontario will implement a transformative set of reforms to the Employment Standards Act (ESA), reforms that place diversity, equity, inclusion, and accessibility (DEIA) at the heart of the hiring process. These changes aim to dismantle systemic barriers and promote fairer access to employment through greater transparency, accountability, and inclusivity in publicly advertised job postings. Employers will face new obligations around disclosure, prohibitions, and record-keeping, while job seekers, especially those from equity-deserving or marginalized communities, will gain new rights that support equitable hiring practices. This blog post breaks down what’s changing, why it matters from a DEIA perspective, how both employers and applicants can prepare, and practical steps to lead with inclusion.
Key ESA changes supporting DEIA
Here are the key new obligations under the ESA for employers that apply as of January 1, 2026. These apply only to employers that have at least 25 employees on the day the publicly advertised job posting is posted.
1. Removing barriers: The ban on Canadian experience requirements
Although this was already part of the Ontario Human Rights Code, one of the most impactful changes to Ontario’s ESA is the prohibition of “Canadian experience” requirements in publicly advertised job postings and application forms. This change directly addresses a long-standing barrier faced by internationally-trained professionals, many of whom are newcomers to Canada. This change recognizes the value of global experience and helps newcomers contribute their full potential to the workforce. By eliminating this criterion, the legislation promotes fairer access to employment opportunities. It’s a meaningful step toward dismantling systemic bias in hiring and fostering a more inclusive labour market.
Call to action for employers
- Review and revise all job postings to ensure they do not reference Canadian experience as a requirement, directly or indirectly.
- Educate hiring managers and teams on inclusive evaluation practices that value diverse professional backgrounds and competencies.
2. Advancing pay equity: Mandatory compensation disclosure
As of January 1, 2026, Ontario employers will be required to include either the expected compensation or a salary range (with a maximum range spread of $50,000) in all publicly advertised job postings. This change is a required step toward pay transparency, helping to close wage gaps and support equitable compensation practices across sectors. By making salary expectations clear upfront, job seekers – particularly women, racialized individuals, and other equity-deserving communities – are better positioned to advocate for fair pay and make informed career decisions.
Call to action for employers
- Standardize salary bands across roles to ensure consistency and fairness.
- Audit compensation policies to identify and address any biases or inequities in pay structures and job families.
3. Ensuring fairness in tech-driven hiring: AI use disclosure
Under the new ESA requirements effective January 1, 2026, employers in Ontario must disclose when artificial intelligence (AI) is used to screen or assess job applicants. This change is a critical step toward increasing transparency and accountability in recruitment processes that rely on technology. AI tools, while efficient, can unintentionally reinforce biases if not properly designed or monitored, potentially disadvantaging equity-deserving groups such as Indigenous Peoples, racialized candidates, persons with disabilities, or newcomers. By mandating disclosure, the legislation empowers applicants to understand how their data is being used and encourages employers to take responsibility for the fairness of their hiring systems.
Call to action for employers
- Conduct a thorough audit of all AI-based recruitment tools to assess for bias, fairness, and compliance with human rights standards.
- When applicable, include a clear and visible statement in job postings that has been used in the screening or assessment process, specifying how and at what stage it is applied.
- Engage diverse parties in evaluating AI tools to ensure inclusive design and implementation.
4. Respecting candidate dignity: Timely communication after interviews
Starting January 1, 2026, Ontario employers will be required to notify all candidates who were interviewed of the final hiring decision within 45 days. This change is more than procedural; it’s a recognition of the emotional and professional investment candidates make during the hiring process. Timely and respectful communication is especially important for equity-deserving groups, who may already face systemic barriers and uncertainty in employment. By formalizing this requirement, the ESA promotes a more inclusive and transparent candidate experience, helping to build trust and reduce the stress associated with prolonged silence or unclear outcomes.
Call to action for employers
- Establish structured follow-up protocols that ensure every interviewed candidate receives a timely update, regardless of the outcome.
- Craft inclusive and respectful communication templates that acknowledge the candidate’s effort and provide closure, while maintaining a positive employer brand.
Final thoughts
The upcoming January 2026 ESA changes represent a positive step forward for fairness and inclusion in Ontario’s workplaces. By being transparent about pay, open about technology, and welcoming to diverse experiences, employers can help create a labour market that truly reflects Ontario’s and Canada’s , resulting in a stronger, more equitable workplaces for everyone.
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