'We are sending a clear message to those bad actor employers out there that there are real consequences'
The Ontario government is looking to crack down on exploitative employers, while taking steps to level the playing field for jobseekers, through proposed legislative changes.
These changes aim to ensure fair hiring practices and impose stricter penalties on violators of the Employment Standards Act (ESA).
“We are sending a clear message to those bad actor employers out there that there are real consequences for bad behaviour," said Minister of Labour, Immigration, Training and Skills Development David Piccini.
The proposed legislation, if passed, would double the maximum fine for individuals convicted of violating the ESA from $50,000 to $100,000, marking the highest fine in Canada. Additionally, regulatory changes would increase the penalty for repeat offenders who contravene the same ESA provision three or more times from $1,000 to $5,000, one of the highest penalties in the country.
Violations targeted include:
- failure to pay wages
- discrimination based on gender
- penalizing employees for taking pregnancy or parental leave.
New rule for Ontario: Disclose job vacancies
Furthermore, the Ontario government said it intends to propose changes requiring larger employers to disclose the existence of job vacancies in publicly advertised job postings and respond to job applicants they have interviewed for such postings, setting a new standard in Canada. These measures aim to provide transparency in the hiring process while ensuring prospective employees receive timely responses, marking Ontario as a trailblazer in employment standards.
The government cited an October 2023 survey of 1,000 hiring managers by Clarify Capital which found that 50 per cent of hiring managers reported creating job openings to keep a talent pool “at the ready” for when they are hiring, without the intention to hire in the immediate term
To implement these changes effectively, the government plans to engage in consultations to mitigate potential red tape for employers and streamline processes. This includes discussions on the size of businesses affected by the regulations and the most efficient means of responding to jobseekers once positions are filled, potentially through automated processes.,
These proposed legislative changes are part of a broader initiative aimed at enhancing worker protections and promoting fairness in the workplace, said the government. They build upon previous Working for Workers acts and reflect the government's commitment to prioritizing the well-being of Ontario workers and newcomers.