Hiring rules a big part of compliance in 2026

With the dawning of a new year, it can be the start of new strategies for many organizations. And, as is often the case, there is a new slate of compliance requirements.  

For multiple jurisdictions, the focus of new rules seems to revolve around transparency and hiring. 

In Ontario, a big issue for organizations in 2026 is how fast compliance risk is rising on basic hiring practices, according to Michelle Cook, an associate lawyer at Aird & Berlis in Toronto. 

Ontario’s Working for Workers 5 Act has moved from talking point to immediate operational concern, and Cook notes that the stakes have increased for provincially regulated employers.

“The penalties for [Employment Standards Act] (ESA) offenses have doubled from $50,000 to $100,000,” she says, so organizations can’t treat these changes as a minor policy update. 

Ontario: new job posting, transparency rules 

That shift in risk accompanies a set of detailed job posting obligations that hit on Jan. 1, 2026, and affect how organizations attract and screen candidates. Cook notes that the job posting rules don’t apply to employers with fewer than 25 employees on the day the job is publicly advertised, which she believes will push larger employers to tighten how and where they advertise roles while smaller firms watch from the sidelines. 

Employers are also spared from having to overhaul informal or high-volume outreach because “they don't apply to general recruitment campaigns, help wanted signs, internal postings, or postings for work outside of Ontario,” says Cook. 

Where things become more sensitive is increasing pay transparency rules. Ontario now requires every job posting covered under the legislation to carry either a firm number or a constrained range of no more than $50,000 from minimum to maximum, says Cook. 

At the top end of the market, the rules bend but don’t disappear. “If the job posting requires annual compensation of more than $200,000, then you don’t need to post an expected range,” she says. “But it's a mixed bag on what I'm seeing employers do for anything above $200,000 with respect to posting their compensation.” 

With the job posting rules in effect now, organizations who left their compliance work to the last minute are stepping into a new compliance regime and they may be exposed. “I imagine the government is going to do a blitz and audit at some point to make sure that people are compliant and aware of the provisions,” says Cook. 

Job candidates looking for transparency 

The enforcement threat is only one side of the pressure, as the talent market is now often sophisticated enough to read job postings as an early indicator of whether an employer takes its obligations seriously. Cook warns that “employees are expecting to see compensation ranges currently, and they're expecting to see requirements for job postings,” she says.

“If you have candidates who see that you're not being compliant, they might have concerns about what other areas the organization isn't compliant with, given this is the first exposure they have to a company.” 

Ontario legislation is also addressing technology in the hiring process this year. Cook says that organizations have to publicly disclose the use of AI in job posting and hiring, meaning that organizations that have quietly plugged AI into screening tools or assessment platforms without telling candidates will have to rethink that strategy. 

“There's also a rule that you can't have any requirements related to Canadian experience,” says Cook. “And there's also the requirement to use follow-up, so, if an employer interviews an applicant for a publicly-advertised job posting, the employer must inform the employee whether a hiring decision has been made in respect of the job posting within 45 days, and it must be communicated in person, in writing, or using technology.” 

There's been an increasing prevalence of ghost positions and ghosting of job candidates, she says, "and that’s why the Ontario government has enacted that legislation." 

Reporting mechanism for online postings 

Also part of the job posting requirements in effect as of Jan. 1: online job posting platforms must implement a user reporting mechanism for suspected fraudulent publicly advertised postings. These online job posting platforms will also be required to adopt and prominently post a written policy and retain obsolete policies for three years, according to Cook. 

Cook notes that Ontario organizations must also comply with amendments that came into force in late 2025, such as extended layoffs exceeding 35 weeks within a 52-week period with mutual agreement as long as the layoff doesn’t exceed 52 weeks in any 78-week period; and up to three days of unpaid job-seeking leave for employees who receive working notice. 

In Alberta, the provincial government is increasing protections under the province’s Bill of Rights relating to the right not to be forced to undergo medical care or be vaccinated without consent, freedom of expression, and property rights.  

“While not a major change in the workplace context, this relatively new set of changes will continue to impact the rights of employees in the workplace, particularly in regard to freedom of expression and potential medical requirements,” says Richard Johnson, co-founder and parter at Ascent Employment Law in Vancouver. 

As of Jan. 1, 2026, Alberta has increased its long-term illness and injury leave to 27 weeks. “This brings the province in line with federal standards as well as those of other provinces,” says Johnson, who adds that employers aren’t required to pay wages or benefits during the leave unless a collective agreement or contract stipulates otherwise. 

More job posting rules, leaves in BC 

In British Columbia, the compliance story continues the trend from Ontario regarding increased pay transparency. On Nov. 1, 2026, organizations with 50 or more employees will be required to include pay ranges in their job postings and to post their annual pay transparency reports, according to Johnson. 

BC also increased unpaid, job-protected leave for serious injury or illness in late 2025, setting the stage for this to be a significant compliance consideration for organizations in 2026. The new maximum of 27 weeks per year “brings the province in line with federal standards as well as those of other provinces,” says Johnson. 

Johnson also highlights new rules in the healthcare sector in both Alberta and BC that should be on the compliance radar for organizations in that sector. Alberta has amended practice rules for doctors, billing practices, and will likely change health information sharing rules in 2026, according to Johnson, while BC will be bringing in new regulation for health professionals relating to governance, complaints, and adjudication processes.  

Increased leaves for federally regulated workers 

For federally regulated organizations, the federal government banned the use of replacement workers and changes to maintenance agreements in late 2025, so Cook believes that a significant legislative change coming in 2026 is placement of a child leave. “That amendment provides up to 16 weeks of unpaid leave to carry out responsibilities related to the placement of a child into their care through adoption or surrogacy,” she says. “It also ensures that the eligible workers can access the employment insurance benefits for adoptive parents without fear of losing their job.”  

Cook notes that this leave is different from parental leave, so organizations should update their policies accordingly. 

Other notable changes in the federal sphere include increased bereavement leave up to eight weeks unpaid and pregnancy loss leave, according to Johnson, who notes that failure to comply with the new rules can lead to fines of up to $100,000. 

AI, bullying and harassment under government scrutiny 

On top of these legislative changes, Johnson sees continued scrutiny of AI in the workplace by governments along with bullying and harassment in 2026. 

“There will be increased discussion about legislative requirements to address the impacts and safe use of AI in the workplace in 2026,” he says. “And while there are no massive changes expected in BC, for example, over the coming year, there will be increasingly onerous expectations on employers to follow their policies and occupational health and safety requirements to prevent bullying, harassment and workplace violence, and be responsive if and when it occurs.” 

Both Cook and Johnson agree that organizations need to review their employment policies and practices and rigorously document their processes as new rules come into effect in 2026 and beyond. 

“Most employers do it annually, so that will catch anything that’s been missed,” says Cook. “If you have an employment lawyer relationship, I'd always recommend leveraging that once a year, and otherwise, just keep abreast of when new amendments come into force, as you always want to make sure your policy is updated or reviewed to incorporate [legislative changes].” 

This article is part of our Monthly Spotlight series, which in January focuses on employment law. Full coverage can be found here.