Ontario employers will soon be required to disclose wages or a salary range on their job postings, as well as the use of artificial intelligence in the selection process.
The PC government says its forthcoming “Working for Workers” legislation will give greater transparency to job seekers.
It will be tabled on Nov. 14, when legislators return to Queen’s Park.
“When worker salaries are kept secret, there’s only one beneficiary and that’s businesses,” Labour Minister David Piccini told CTV News Toronto last week. “How many times have people applied for jobs just to find out at the end of the process that it’s nowhere near the salary range they were looking for?”
Piccini said that a consultation period will be conducted before ironing out the details of the salary range requirements to ensure that they are not left too broad.
According to Piccini, the legislation may only start with salaries under $100,000.
“I think if you’re looking under $100,000 a year, they want to know,” he said. “It’s working class workers who don’t earn six-figure salaries, they want to know what those ranges are as they take that exciting next step to apply for a job to get a better job and a bigger paycheque.”
Ontario’s decision to mandate wage disclosures follows a similar move by British Columbia’s provincial government earlier this year.
British Columbia’s legislation also prohibits employers from asking candidates about their salary history.
Last year, the International Labour Organization published a report that found wage disparities between demographic groups could be remedied by better pay transparency policies.
Numerous cities throughout the United States have also implemented similar legislation.
Under the new legislation, businesses will also be required to let potential employees know if artificial intelligence (AI) is being used in the hiring process, as that practice is becoming an “increasing reality” in the workplace.
Piccini said that AI is often used to screen candidates and analyze applications for companies and recruiters.
As of February, 7% of Ontario businesses are planning to incorporate AI into their hiring process by next year, reported Statistics Canada.
Piccini said that while there are legitimate concerns about privacy fears and the inherent biases of technology, several studies have proven that AI can help with issues of pay equity in the hiring process.
“Let’s be transparent with workers in knowing that it’s being used,” said Piccini.
The legislation will make Ontario the first jurisdiction in the country to enforce disclosures regarding the use of AI in hiring.
