Navigating Ontario’s 2025 Employment Law Updates: Key Takeaways for Employers

Ontario

As we continue to move through 2025 , Ontario is implementing several significant changes to its employment Laws that will impact employers and employees alike. These updates are part of broader efforts to enhance worker protections and ensure transparency in the workplace. Let’s take a detailed look at the key changes and what they mean for employers

Ontario Introduces Stricter Safety Regulations and Penalties

Ontario has introduced the Working for Workers Six Act and Working for Workers Five Act, which bring important updates. Employers now face stricter penalties for repeat workplace safety violations. This change underscores the importance of maintaining a safe working environment and adhering to safety regulations. The increased fines are intended to deter non-compliance and encourage employers to prioritise the health and safety of their workforce.

The new laws impose stricter requirements on alternative vacation pay agreements, ensuring that employees receive fair compensation for their time off. This change aims to protect employees’ rights to adequate rest and recuperation, which is essential for maintaining productivity and overall well-being.

Fair Vacation Pay and Long-Term Illness Leave for Employees in Ontario

Effective June 2025 employees will have expanded entitlements for long term illness leave providing greater support for those dealing with serious health issues. This expansion reflects a growing recognition of the need for comprehensive support systems for employees facing prolonged medical challenges.

Enhanced Employment Information Requirements in Ontario

Effective July 1, 2025, Ontario employers with 25 or more employees must comply with new employment information requirements. These include providing specific details in writing before or soon after an employee’s first day of work. The required information includes the employer’s legal and business names, contact details, work location, wage rate, pay period, and initial hours of work. These requirements aim to enhance transparency and ensure that employees are fully informed about their employment terms from the outset. By providing clear and detailed information, employers can foster a more trusting and transparent work environment.

Ontario’s Pay Transparency Regulations

In addition to the new employment information requirements, Ontario has introduced regulations that will take effect in January 2026. Employers will need to include pay transparency in job postings, providing clear information about expected compensation. This move is designed to promote fairness and reduce wage disparities. Pay transparency can help address issues of inequality and ensure that all employees are compensated fairly for their work.

What Employers Should Do About Ontario’s Employment Law Updates

Employers should review their current practices and make necessary adjustments to comply with these new regulations. This includes updating employment contracts, revising job postings, and ensuring that all required information is communicated to employees in a timely manner. Employers may also need to provide training to HR personnel and managers to ensure they understand and can implement the new requirements effectively.

What Ontario’s Employment Law Updates Mean for Employees

For employees, these changes bring several benefits. Enhanced safety regulations and stricter penalties for violations mean a safer working environment. The expanded long-term illness leave provides greater security for those facing serious health issues, allowing them to focus on recovery without the added stress of job insecurity. Additionally, the new transparency requirements ensure that employees are well-informed about their employment terms and compensation, fostering a more equitable workplace.

Expanding into Ontario?

Navigating the complexities of Ontario’s employment laws is no easy feat. Leap29 takes the stress out of expanding into Ontario, with EOR Services and PEO Services.

To speak to ur team of expansion experts, call us today on +44 (0) 20 8129 6860 or email us at expansion@leap29.com.

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