On November 27, 2025, Bill 30, the Working for Workers Seven Act, 2025, received royal assent. This bill represents the seventh iteration of employment law legislative amendments for Ontario. The latest amendments span multiple workplace statutes and introduce new obligations, including in regard to temporary layoffs and mass terminations. These changes impact both day-to-day HR practices and foreshadow potential future costs for employers.
Changes to Dismissal Rules
There are two important legislative changes under the Employment Standards Act, 2000 in regard to dismissing employees:
- Extended Temporary Layoffs: Under the traditional statutory temporary layoff, the temporary layoff must not last more than 13 weeks in a 20 weeks’ period. There are, though, exceptions that allow for the temporary layoff to be not more than 34 weeks. For example, employees can be laid off for 34 weeks if you continue to pay for the employee’s benefits. The ESA has now been amended to allow employers and employees to agree to an extended temporary layoff of up to 52 weeks in a 78 weeks’ period. In order to place an employee on an extended temporary layoff, there must be a written agreement that confirms the latest recall date and the agreement must be approved by the Director of Employment Standards. Once the agreement is in place, the employee cannot withdraw their consent. Of course, employers should be careful to properly handle any temporary layoff (traditional or extended) as they can lead to an employee claiming that they had been constructively dismissed (i.e. effectively fired).
- Job Hunt Leave: The ESA has now been amended to provide a job-seeking leave entitlement for employees who are part of a mass termination. In particular, if 50 or more employees receive notice that their employment will be coming to an end (i.e. working notice), then those employees are now entitled under the ESA to a maximum of three days of unpaid leave to look for new work during the working notice period. However, even without this leave entitlement, employees generally still have job hunt entitlements during their working notice. In particular, the Courts have held that in order for working notice to satisfy common law entitlements employers must reasonably allow employees time off to attend at job interviews.
WSIB Reimbursement for Defibrillators
The Occupational Health and Safety Act has been amended to provide for the reimbursement of the cost of automated external defibrillators (AEDs), by the Workplace Safety and Insurance Board (WSIB), for certain employers to be prescribed by regulation.
New Obligations for Job Posting Platforms
The amended ESA now requires that job posting companies (e.g. Indeed) now must have a way to report fraudulent job ads and have a policy in regard to handling fraudulent job ads.
A New Era of Workplace Penalties
Both the Occupational Health and Safety Act and the Workplace Safety and Insurance Act, 1997, have been amended to allow for the introduction of administrative penalties. This will allow for the Ontario Government to pursue a new stream, beyond the traditional prosecution fines. Further, the Workplace Safety and Insurance Act, 1997 has been amended to expressly prohibit employers from providing false or misleading statements or representations to the WSIB.
While the actual implications of this new administrative penalty power remain to be seen, employers would be wise to ensure that they are in compliance with the obligations. Otherwise, a routine Ministry of Labour visit could result in not only a field visit order, but also a hefty penalty.
For strategic advice on addressing the above, including handling temporary layoffs, please contact our firm.
