New laws and rules coming to Ontario next month

Multiple new laws and regulations are coming to Ontario on Jan. 1, 2026 that will affect prospective job seekers, healthcare professionals, homeowners, and everyday tenants across the province. 

From new pay transparency rules to updated fire codes and water fee increases, here's a look at some of the notable changes you need to be aware of. 

These are the new laws and rules coming to Ontario in January 2026. 

Pay transparency laws

Starting Jan. 1, 2026, new pay transparency laws will come into effect in Ontario to make the hiring process fairer and more transparent for job seekers across the province. 

The changes update Ontario's Employment Standards Act, 2000 (ESA), and will require employers to adjust their hiring practices. Under the new regulations, employers with 25 or more workers must include the expected compensation or salary range in a publicly advertised job posting, with the pay range being no broader than $50,000. 

Postings where the top end of the range exceeds $200,000 annually are exempt from this rule. In most cases, all forms of pay must be disclosed, including bonuses, commissions, and any other non-discretionary compensation on top of the salary. 

Companies must also disclose in job postings whether artificial intelligence is used to screen, analyze, or select applicants, and must disclose whether or not the position is for a current vacancy. 

Employers must also follow up with every applicant who has been interviewed for a publicly advertised role. The province says these new rules aim to reduce "candidate ghosting" and will require employers to notify candidates, either in person or in writing, of the outcome within 45 days of their final interview. This does not apply to candidates who were only screened and submitted resumes but did not interview for the position. 

Companies must also keep a record of these communications for three years. 

"As of Right" rules 

In December, the Ontario government announced that it is embarking on a plan to unleash the province's full economic potential, with a major component being the implementation of mutual recognition of goods and services from other reciprocating Canadian jurisdictions. 

Passed back in June, the government's Protect Ontario Through Free Trade Within Canada Act, 2025, ensures that "if a good or service meets the regulatory requirements in other parts of Canada," it will be recognized here in Ontario.

"By implementing mutual recognition under the Ontario Free Trade and Mobility Act, we're moving at speed and encouraging a pan-Canadian pivot to mutual recognition, which will unlock new domestic markets for Ontario businesses," said Stephen Crawford, Minister of Public and Business Service Delivery and Procurement.

"This means less paperwork and lower costs, faster approvals and market entry, and more customers across Canada for Ontario‑made products and services. Our Team Canada approach accelerates growth and jobs while keeping clear rules in place for safety and for how goods are sold and used." 

As part of its plan, Ontario is also working to streamline labour mobility to help workers from other parts of Canada to work and live in the province. This means that qualified engineers, doctors, architects, and electricians can practice their profession in Ontario for up to six months while completing registration with their regulatory body. 

The province says these "As of Right" rules will help strengthen Ontario's healthcare workforce by making it easier for skilled professionals to work in the province, and help patients gain faster access to care. 

Beginning Jan. 1, 2026, Canadians in certified professions will be able to begin working in Ontario within 10 business days, "once a regulator confirms credentials and requirements." 

Changes to Ontario Fire Code

Starting on New Year's Day, Ontario is introducing strict carbon monoxide safety rules and will expand where carbon monoxide alarms are required in houses, apartments, condos, and rental units. 

Homeowners are required to install a CO alarm if they have a fuel-burning appliance, fireplace, attached garage, or a home that is heated by a fuel-burning appliance that is not contained within the residence. 

Photo: Andy Dean Photography/Shutterstock.com

CO alarms must be installed in several locations throughout the house, including adjacent to each sleeping area, and on every storey of the home (even on those that do not have sleeping areas). 

For apartments and condos, a CO alarm must be installed if your unit has a fuel-burning appliance or fireplace, your building has a service room, and your unit is located above, below, or beside them room, the building has a garage, and your unit is located directly above, below, or beside it, or if your unit is heated by air from a fuel-burning appliance that is not contained within your unit. 

In these types of properties, a CO alarm must still be installed adjacent to reach sleeping area, on every storey of your unit, and in public corridors of the building if they are heated by air from a fuel-burning appliance. 

Landlords will be responsible for installing and maintaining CO alarms in their rental units, and building owners will be responsible for complying with the updated requirements. Landlords must also test the alarms annually and provide tenants with a copy of the alarm's maintenance instructions. 

If you're a tenant, you'll be responsible for notifying your landlord of any issues with the CO alarm(s) in your unit. 

Changes to recycling collection in Toronto

Starting Jan. 1 2026, the City of Toronto will no longer be managing recycling for houses, schools, multi-residential buildings, long-term facilities, and retirement homes. 

Back in 2021, the Ontario government passed regulations that shifted the financial and operational responsibility of blue box recycling programs to producers (who produce and supply blue box materials to residents). 

The City of Toronto will no longer be managing recycling for most properties starting in January. Photo: auburnpetal/Shutterstock.com.

The city's recycling program will be managed by Circular Materials, which is the administrator of the common collection system and a national not-for-profit organization. 

The City will continue to manage recycling for charities, institutions, divisions, agencies, religious organizations, corporates, current commercial customers, parks, and other public spaces. 

Increased water and waste fees 

This past week, Toronto City Council officially approved a 3.75 per cent interim increase to solid waste management services, as well as water rates and fees. 

The interim rates and fees take effect on Jan. 1, 2026, but will be finalized throughout the 2026 operating and capital Budget process. The City says the increases will help maintain and improve essential services in Toronto, like waste collection and water treatment. 

With the 3.75 per cent interim increase, the estimated annual solid waste fees for single-family households in 2026 will be $317.85 for small bins (increase of $11.49); $385.86 for medium bins (increase of $13.95); $524.06 for large bins (increase of $18.94); $607.86 for extra large bins (increase of $21.97). 

For the average household that uses 230 cubic metres of water every year, the 3.75 per cent increase will drive up costs by $40 annually, for a total estimated cost of $1,118 in 2026.

Free Trade and Labour Mobility in Canada Act

The Free Trade and Labour Mobility in Canada Act was introduced as part of Bill C-5 back in June and provides a framework to reduce the burden of federal rules that pertain to internal trade across provinces and territories. 

The Act, which comes into force on Jan. 1 2026, will ensure that a service or good produced, used, or distributed in line with the requirements of a province or territory will be recognized as meeting comparable federal requirements. A worker licensed or certified by a province/territory will also be able to work in a comparable occupation in a federal jurisdiction.  

For example, a washing machine that meets Ontario's or Quebec's energy efficiency standards will meet the comparable federal standards, and land surveyors who currently need a federal licence to work on federal projects will have their provincial or territorial licence recognized.