Pay transparency is now law in three provinces. Is your business ready?

Key Takeaways

As of 2026, three Canadian provinces require employers to include compensation information in public job postings: British Columbia, Ontario, and Prince Edward Island. Each province’s rules differ in scope and detail. This post breaks down what’s required in each, what’s coming next, and how to prepare.

In this post:

1. What is pay transparency legislation, and why is it expanding across Canada?
2. Which provinces require salary disclosure in job postings?
3. How can you prepare your business for pay transparency compliance?
4. What’s coming next for pay transparency in Canada?
5. FAQs

If you’ve posted a job in British Columbia or Ontario lately, you already know: the days of leaving salary off a job ad are over. And if you’re hiring in Prince Edward Island, they’ve been over since 2022.

Pay transparency is no longer a single-province experiment. It’s a coast-to-coast movement, and the rules are getting more detailed with each new piece of legislation. For employers operating across multiple provinces, staying compliant means understanding what’s already in force, how the requirements differ, and what to do now so you’re not scrambling later.

What is pay transparency legislation, and why is it expanding across Canada?

Pay transparency laws require employers to include salary or wage information in public job postings. They’re expanding across Canada as provinces move to close gender-based pay gaps, eliminate information asymmetry in hiring, and align with a growing international trend toward compensation disclosure.

For many employers, this isn’t only about compliance. It’s an opportunity to build a stronger employer brand and attract better-matched candidates.

Which provinces currently require salary disclosure in job postings?

As of 2026, three provinces have laws requiring employers to include compensation information in publicly advertised job postings: British Columbia (since November 2023), Prince Edward Island (since June 2022), and Ontario (since January 2026). Each province takes a different approach.

British Columbia

BC was the first province to implement comprehensive pay transparency legislation for private-sector employers. Since November 1, 2023, all BC employers must include the expected salary or wage range in any publicly advertised job posting under the BC Pay Transparency Act. Employers cannot ask job applicants about what they have been paid by previous employers, and employees are protected from reprisal if they discuss their wages with co-workers. By November 1, 2026, all BC employers with 50 or more BC-based employees (including remote workers) must prepare and publish a pay transparency report showing gender-based pay gaps across ordinary pay, overtime pay, and bonus pay. This is the fourth and final phase of BC’s reporting rollout.

BC doesn’t specify a maximum range cap the way Ontario does, but the province’s published guidance states that salary information should reflect the employer’s reasonable expectation of pay at the time of posting.

Prince Edward Island

PEI was the first Canadian province to require salary disclosure in job postings. Effective June 2022, the PEI Employment Standards Act requires employers to include the expected pay or a pay range in any publicly advertised posting. PEI also prohibits salary history questions and protects employees who discuss their wages or asks the employer to comply with the pay transparency provisions.

Ontario

Ontario’s pay transparency requirements came into effect on January 1, 2026, with rules applying to employers with 25 or more employees who post publicly advertised job postings for positions performed in Ontario. It is important to note, however, that job postings that are open to internal candidates only are exempt.

Every publicly advertised job posting must include either a specific compensation amount or a range of expected compensation. If a range is used, it cannot span more than $50,000 annually. Positions where the expected compensation (or the top of the range) exceeds $200,000 per year are exempt. “Compensation” means wages under the Employment Standards Act: base pay, commissions, and non-discretionary performance bonuses.

Ontario’s legislation includes additional hiring rules beyond salary disclosure, including AI disclosure requirements, a 45-day candidate notification obligation, and three-year record retention. To learn how Payworks can help you stay on top of these requirements, book your no-obligation demo here.

How can you prepare your business for pay transparency compliance?

Employers can prepare by auditing their compensation data, updating job posting templates, and centralising their payroll and HR data in a single system. Getting ahead of these requirements is significantly easier than scrambling to catch up.

Step 1: Conduct a compensation audit

Before you can post accurate salary ranges, you need to know what you’re actually paying. A compensation audit helps you understand how your rates compare to the market, identify internal pay equity gaps, and establish defensible ranges for every role. In Ontario, posted ranges cannot span more than $50,000 and must reflect actual compensation practice.

Step 2: Update your job posting templates

Standardised templates reduce the risk of inconsistency. Build in fields for compensation range and confirm that “Canadian experience” has been removed from all postings and application forms. If you’re hiring in Ontario and using any automated screening tools, you’ll also need an AI disclosure statement.

Step 3: Centralise your payroll and HR data

The common thread across all of these requirements is clean, consistent, centralised data. Salary ranges that pull from current payroll data are always accurate. Document storage, candidate workflows, and posting records that live in one system are easier to manage, easier to audit, and far less likely to result in something falling through the cracks.

Payworks pro tip: If you’re a Payworks client, your compensation data already flows from payroll to HR, so the ranges you post reflect what you’re actually paying. Applicant Tracking keeps interview dates, stages, and notification status in one view, and your document library stores posting records and policy templates centrally with version control.

What’s coming next for pay transparency in Canada?

Pay transparency legislation is expected to continue expanding. Newfoundland and Labrador has passed pay equity and pay transparency legislation that is not yet fully in force. Nova Scotia has introduced partial requirements, including a ban on salary history questions. New Brunswick introduced the Pay Transparency Act in March 2026. Several other provinces are expected to follow.

Globally, the trend is unmistakable. The EU’s Pay Transparency Directive is rolling out across member states, and many U.S. states now have wage transparency laws. Canadian employers who align their practices now will be ahead of the curve rather than reacting to each new provincial announcement.

FAQs

Does pay transparency apply to part-time and contract roles?

In Ontario, the rules apply to all publicly advertised job postings for positions performed in Ontario, including part-time, contract, and temporary roles, provided the employer has 25 or more employees. In BC and PEI, the requirements apply to all employers regardless of headcount.

What counts as “compensation” in Ontario?

Under the ESA, “wages” include base pay, commissions, and non-discretionary performance bonuses. Tips, travel allowances, discretionary bonuses, and employer benefit contributions are excluded.

Do internal job postings need salary information?

In Ontario, internal postings limited to current staff are exempt. The rules apply to publicly advertised job postings. BC and PEI’s requirements similarly apply to publicly advertised positions.

How does an employer ensure compliance with record keeping requirements?

In Ontario, employers must retain a copy of every publicly advertised job posting and any associated application form, for 3 years after access to the posting by the general public is removed.

Tools to help you stay on top of pay transparency

Payworks HR and Applicant Tracking are built to help you stay on top of pay transparency requirements without adding complexity to your day. Compensation data flows directly from payroll, so the ranges you post are always current. Candidate tracking keeps interview dates, stages, and notification status in one view. And your document library stores posting records, disclosure templates, and policies centrally with version control.

We’d love to show you how it all comes together. Book your no-obligation demo here.