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Ontario introduces job-seeking leave, extended layoffs, and higher workplace safety penalties

CA Canada — CA-ON Labour Code / Employment Law In effect since November 27, 2025

Ontario's Working for Workers Seven Act, 2025 (Bill 30) took effect November 27, 2025. Employers terminating 50+ employees within four weeks must now provide up to three days unpaid job-seeking leave during the notice period. Temporary layoffs may extend to 35+ weeks in 52 consecutive weeks (previously shorter) with written employee agreement and Director approval, but cannot reach 52+ weeks in any 78-week period. The Act also creates a new WSIA offence for knowingly providing false information to WSIB (penalties up to CAD 500,000 for corporations, CAD 100,000 and/or 12 months imprisonment for individuals) and establishes an administrative penalty regime under OHSA.

Ontario's Working for Workers Seven Act, 2025 (Bill 30) took effect on November 27, 2025. Employers terminating 50 or more employees within a four-week period must now provide up to three days of unpaid job-seeking leave during the statutory notice period. The Act also permits extended temporary layoffs under specific conditions and establishes new penalties for workplace safety and insurance violations.

Who is affected

All Ontario employers are subject to the new Workplace Safety and Insurance Act (WSIA) and Occupational Health and Safety Act (OHSA) penalty provisions. Employers conducting group terminations of 50 or more employees at a single establishment within any four-week period must provide job-seeking leave. Employers considering temporary layoffs beyond the standard ESA thresholds must comply with the new extended layoff framework.

What's changing

Job-seeking leave

Employees terminated as part of a group termination (50+ employees within four weeks) are now entitled to up to three days of unpaid leave during their statutory notice period to search for new employment. Employees must provide three days' notice to the employer where practicable.

Extended temporary layoffs

Previously, temporary layoffs exceeding ESA thresholds triggered deemed termination. Employers may now extend layoffs to 35 or more weeks within any 52 consecutive weeks without triggering termination, provided they obtain written employee agreement and approval from the Director of Employment Standards. However, layoffs may not reach 52 or more weeks in any 78 consecutive weeks.

Workplace safety and insurance penalties

Violation Previous penalty New penalty
Knowingly providing false or misleading information to WSIB (corporations) Not a specific offence Up to CAD 500,000
Knowingly providing false or misleading information to WSIB (individuals) Not a specific offence Up to CAD 100,000 and/or up to 12 months imprisonment
OHSA contraventions Prosecution only Administrative penalties (amounts to be set by regulation)

What NEO partners and clients should do

  • Review and update termination procedures to include job-seeking leave entitlements for group terminations of 50+ employees within four weeks, effective immediately.
  • Before implementing any temporary layoff extending to 35+ weeks in a 52-week period, obtain written employee consent and secure Director of Employment Standards approval.
  • Strengthen WSIB reporting controls and verification processes to ensure all information submitted is accurate and complete.
  • Monitor upcoming OHSA regulations to understand administrative penalty amounts and adjust compliance programs accordingly.

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Impacted policy areas

notice_period termination_severance
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