The Ontario Employment Standards Act: Everything You Need to Know

HR professionals need to understand the most up-to-date labor laws in Ontario to stay compliant and ensure candidates are treated in accordance with regulations.

Ontario has introduced new employment reforms that will come into effect in 2026. These are in addition to new amendments under the Ontario Employment Standards Act 2000, which stipulate new pay transparency and job posting requirements.

As of January 1 2026, certain employers will be required to disclose specific information about the role they’re hiring for, insights into the hiring process, and more. Employers will need to implement these changes and ensure hiring policies are updated accordingly.

This guide explains what the Ontario Employment Standards Act is, what the new reforms cover and answers commonly asked questions surrounding employee rights in Ontario. BambooHR solutions can help streamline the hiring process, allowing you to focus on staying compliant with Ontario employment standards.

What is the Ontario Employment Standards Act?

The Ontario Employment Standards Act, or ESA, is legislation that regulates employment in Ontario. It was established in 2000 but has undergone multiple amendments since then. It covers employment areas such as wages and overtime, parental leave, vacation, and more.

The ESA establishes minimum standards for employees and employers are prohibited from penalizing employees for exercising their ESA rights. It applies to most industries and jobs in Ontario, with exceptions for certain exemptions and federal employees.

What does the Ontario Employment Standards Act cover?

The Ontario Employment Standards Act covers a range of topics, from benefit plans to public holidays. For example:

• Benefit plans. While employers don’t have to provide benefits plans, if they do, they must follow the Employment Standards Act rules. The act prohibits discrimination based on age, martial status or sex. This applies to benefit plans from retirement and pension packages to sickness and medical benefits.
• Critical illness leave. This involves unpaid, but job-protected, leave of up to 37 weeks a year in the case of an unwell child or 17 weeks for an unwell adult. The leave may be taken to provide care or support someone critically unwell.
• Overtime pay. This ESA rule stipulates that for eligible employees, overtime begins after they reach 44 hours in one work week. Any work completed over 44 hours must be compensated at the overtime rate.
• Minimum wage. This is the lowest wage you can pay an employee. Most workers are eligible—regardless of whether they’re full-time, part-time or casual. As of October 2025, the minimum wage rate in Ontario is $17.60.
• Pregnant and parental leave. Employees who are pregnant can take 17 weeks of unpaid time off as pregnancy leave. As an employer, you’re not required to pay a worker on pregnancy leave. All new parents are also entitled to parental leave, which can be for up to 63 weeks (or 61 weeks for the birth mother if they took pregnancy leave too).
• Vacation. This part of the ESA has two sections—vacation pay and vacation time off. If eligible, employees with less than five years of employment are allowed two weeks of vacation each entitlement year. This rises to three weeks for five or more years of employment.
• Severance pay. This is a form of compensation that’s paid to eligible employees that have had their employment ‘severed’.
• Family responsibility leave. Many employees are able to take up to three days of unpaid, but job-protected, leave each year for a family medical emergency, injury or illness.
• Bereavement leave. This enables most employers to take up to two days off each year in the case of a death in the family. It’s unpaid, job-protected leave.
• Public holidays. Ontario has nine public holidays to be aware of. Many employees are entitled to take these and should be paid public holiday pay.

Find more information on Ontario labour laws and what else the Ontario Employment Standards Act covers here.

What’s new in the Ontario Employment Standards Act?

It’s essential for employers and HR professionals to be aware of any changes in Ontario employment standards. Some recent changes to the ESA include:

• Eligible employees are entitled to unpaid absence for the placement of a child into their custody in the case of adoption or surrogate.
• Eligible employees are entitled to long-term leave of up to 27 weeks if they cannot perform their duties or if a qualified healthcare professional issues a certificate stating the condition and the length of time they cannot work for.

New ESA employment information rules

Since July 2025, some employers are required to provide certain information to new employees in writing before their first day of work. This includes:

• The legal name and contact details of employer
• A description of where the employee will work
• The employee’s starting wage
• A description of anticipated hours of work.

New ESA rules for job postings

From January 1 2026, new rules and regulations come into place regarding job postings. For example:

• Employers will need to include expected compensation in publicly advertised jobs.
• Employers will need to disclose whether AI is used within the hiring process.
• Employers will be prohibited from including any requirements related to Canadian experience in the job posting or associated forms.
• Employers will be required to inform the applicant whether the position has been filled within 45 days of their last interview with the company.

For other recent changes to the Ontario Employment Standards Ac, look here.

Ontario Employment Standards Act FAQs

It’s important for HR teams and managers to be on the ball when it comes to the ESA. We’ve answered some key questions on Ontario labour laws, so you can be confident you’re up to speed.

Can an employee waive their ESA rights?

No, an employee can’t waive their Ontario Employment Standard Act rights. They are not able to give up these ESA rights either. For example, if an employee agrees with an employer to waive their rights to overtime pay, this agreement would be void.

Who is not covered by the Employment Standards Act?

While many people are covered by the ESA, there are exceptions. These include anyone working in sectors that fall under federal employment law. This may include airlines, banks, civil service roles and more. It also includes those that work under a program approved by a college or applied arts and technology or university. Learn more exemptions here.

What is the five-hour rule?

The five-hour rule states that employees must have a break every five consecutive hours they work. An employee cannot work longer than this without a 30-minute eating period — also called a meal break. But if both parties agree, the employee can split this period up into two breaks that total at least 30 minutes.

Find out more information on this in our full-time versus part-time blog.