ARTICLE
10 November 2023

Pay Transparency, Artificial Intelligence And More: New Legislative Requirements For Ontario Employers On The Horizon

D
Dentons

Contributor

On November 6, 2023, the Ontario government announced that it intends to introduce legislation that, if passed, would require employers to include expected salary ranges in their open...
Canada Employment and HR
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On November 6, 2023, the Ontario government announced that it intends to introduce legislation that, if passed, would require employers to include expected salary ranges in their open job postings and disclose of the use of artificial intelligence (AI) during the hiring process. This announcement comes in the wake of a growing and broader global trend for companies to use transparency in pay practices to identify and eliminate pay differences for historically disadvantaged groups. British Columbia (BC), for example, recently passed the BC Pay Transparency Act which imposes a number of pay transparency obligations on BC employers, including the disclosure of wage information in job postings and the publishing of pay transparency reports.1 Several other provinces, including Prince Edward Island, Newfoundland and Labrador and Manitoba, already have pay transparency legislation. Ontario has become the latest jurisdiction which intends to mandate pay transparency practices.

In addition, the proposed legislation would make Ontario the first jurisdiction in Canada to require businesses to disclose of the use of AI during the hiring process. Increasingly, employers are using AI to screen through resumes or job applications to quickly and efficiently match job requirements with candidates' qualifications and experience. The Ministry stated that legislation is needed to address the ethical, legal and privacy implications that can be associated with AI.

Lastly, the Ontario government announced that it will be conducting consultations on prohibiting the use of non-disclosure agreements in sexual harassment and workplace violence settlements. In keeping along with the theme of transparency, the Ministry suggested that businesses should not be permitted to shelter sexually harassing behaviour from the public eye.

Footnote

1. See this Dentons Insight for a detailed overview of this legislative development.

For more information, visit our Employment and Labour blog at www.employmentandlabour.com

About Dentons

Dentons is the world's first polycentric global law firm. A top 20 firm on the Acritas 2015 Global Elite Brand Index, the Firm is committed to challenging the status quo in delivering consistent and uncompromising quality and value in new and inventive ways. Driven to provide clients a competitive edge, and connected to the communities where its clients want to do business, Dentons knows that understanding local cultures is crucial to successfully completing a deal, resolving a dispute or solving a business challenge. Now the world's largest law firm, Dentons' global team builds agile, tailored solutions to meet the local, national and global needs of private and public clients of any size in more than 125 locations serving 50-plus countries. www.dentons.com

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