Ontario Introduces Pay Transparency Bill as It Aims to Keep Pace with British Columbia and Prince Edward Island

On November 8, 2023, we wrote about the new pay transparency legislation in British Columbia that is now in effect and also noted that the Ontario government announced plans to introduce similar legislation. On November 14, 2023, the Ontario government did just that with Bill 149, Working for Workers Four Act, 2023. 

Ontario Introduces Pay Transparency Bill as It Aims to Keep Pace with British Columbia and Prince Edward Island

Bill 149, among other things, would require employers who advertise a “publicly advertised job posting” to include “information about the expected compensation for the position or the range of expected compensation for the position.” Bill 149 further notes that the following information may be prescribed by regulation:

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British Columbia Becomes The Second Province with Pay Transparency Legislation

On November 1, 2023 British Columbia’s new Pay Transparency Act (“Act”) took effect, which requires employers throughout British Columbia to post expected salary ranges for job postings. Notably, as explained by the British Columbia government in a guidance document, this requirement will also apply to postings for remote positions if the position is open to candidates in British Columbia, among other locations. 

Pay Transparency

British Columbia is now the second province in Canada with such legislation in effect following Prince Edward Island in 2022. Ontario may also follow suit with the Minister of Labour, Immigration, Training and Skills Development recently announcing the intent to introduce legislation next week regarding pay transparency. As details emerge and if the legislation progresses toward becoming law in Ontario, we will keep you informed.

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Soaring Inflation Rates and Deflated Wages

Soaring Inflation Rates and Deflated Wages

As inflation rates have soared in recent months, the impact has been felt by employers and employees alike. According to Statistics Canada, Canada’s inflation rate, now at 7.7%, has skyrocketed at the fastest pace in almost 40 years. This is the highest rate since 1983. 

In an ideal world, wages would keep up with rising inflation rates. Currently, this is not the case across many industries.  

Why wages can’t keep up?

The relationship between inflation, wages and business costs is circular and intertwined. Due to inflation, both the costs of living and the costs of doing business are drastically increasing, making wage increases for many businesses challenging or, in some cases, unsustainable. If a company is able to invest in higher wages, they likely have to increase the prices of their products and/or services to account for their overhead. Thus a further increase in the cost of living.

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Free webinar: Barriers & Biases – Supporting Women Leaders

In this webinar, SpringLaw’s Lisa Stam and Danielle Murray will discuss how you can support women leaders in the workplace, common challenges women leaders face, and how employers can ensure equitable exits if needed.

Date: Wednesday, May 18, 2022
Time: 10:30-11:00 am EST
Register today: Click here!

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Pay Transparency Delayed

Throughout the year we have been blogging on the progress of Bill 203, Ontario’s Pay Transparency Act, 2018 (the Act).  Check out our posts discussing the Act here and here. As of our last post in May 2018, this Act was set to come into force on January 1, 2019. Well, in the spirit of keeping things interesting, the Ford government has decided that that is not to be.

Bill 57

Bill 57, a Ford government initiative titled the Restoring Trust, Transparency and Accountability Act, 2018 received Royal Assent in the legislature of Ontario on December 6, 2018. One aspect of this omnibus bill was delaying the commencement of the Act from January 1, 2019, to “a day to be named by proclamation of the Lieutenant Governor.” So basically for an unknown amount of time and possibly indefinitely.

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