OHSA and ESA 2025 Compliance: A Practical Guide for Ontario Employers

Running a business in Ontario comes with legal responsibilities that you can’t afford to ignore.

The Occupational Health and Safety Act (OHSA) and the Employment Standards Act (ESA) set the foundation for workplace safety and employment rights. Two areas where non-compliance can lead to hefty fines, lawsuits, and reputational damage.

Whether you manage a small business or a large corporation, understanding these laws is critical. With major updates in 2025, including Bill 190’s digital harassment policies and new pay transparency laws, staying compliant is more important than ever.

This guide breaks down key OHSA and ESA requirements, employer obligations, enforcement risks, and best practices to help you protect your business, employees, and bottom line.

OHSA Compliance

Focus: Workplace health and safety.

Key Requirements

1. Duty of Care
   • Employers must ensure workplaces are free from hazards, including physical, chemical, ergonomic, and psychosocial risks.
   • Remote workers are entitled to ergonomic assessments, ensuring home office setups do not contribute to musculoskeletal disorders.
   • Employers must implement violence and harassment prevention policies, including detailed procedures for complaint resolution. This is mandatory for businesses with six or more employees.
   • Workplaces must conduct regular risk assessments to identify potential hazards and take corrective actions.
2. Training & Committees
   • Employers must provide Workplace Hazardous Materials Information System (WHMIS) training to employees handling hazardous substances. This training must be refreshed annually or when new hazards are introduced.
   • Joint Health and Safety Committees (JHSCs) are required for workplaces with 20 or more employees. JHSCs must conduct regular workplace inspections, recommend safety improvements, and investigate serious incidents.
   • Supervisors must complete mandatory health and safety awareness training, ensuring they understand their legal responsibilities.
3. Enforcement
   • The Ministry of Labour (MOL) enforces OHSA compliance through random inspections, scheduled audits, and complaint-based investigations.
   • Non-compliance fines can reach up to $1.5 million for corporations and $100,000 for individuals, with potential jail time for extreme negligence.
   • Bill 190 (2025 Updates): Employers must expand digital harassment policies, including online workplace interactions. Companies must also disclose electronic monitoring policies to ensure transparency in employee surveillance practices.
   • Workplaces must report serious incidents and injuries to the MOL immediately, followed by a written report within 48 hours.

ESA Compliance

Focus: Employment rights and minimum standards.

Key Requirements

1. Wages & Hours
   • Employers must adhere to Ontario’s minimum wage, increasing to $17.70/hour in April 2025. Special rates apply to students, liquor servers, and home workers.
   • Overtime pay must be provided at 1.5 times the employee’s regular wage for work exceeding 44 hours per week.
   • Pay transparency laws take effect in January 2026, requiring job postings to include salary ranges to prevent pay discrimination.
2. Leaves & Termination
   • Employees are entitled to various leaves, including 27-week Long-Term Illness Leave, effective June 2025. This leave is unpaid, but employers must maintain job protection for affected employees.
   • Employers must provide statutory notice or severance pay when terminating employees. The notice period varies based on length of service, while severance pay applies to employees with five or more years of service in larger organizations (50+ employees or $2.5M payroll).
3. Record-Keeping
   • Employers must keep payroll records for at least three years, detailing hours worked, wages paid, vacation accrual, and statutory deductions.
   • Timekeeping systems must accurately track work hours, especially for remote employees, to ensure compliance with overtime and break requirements.

Enforcement

• The MOL proactively inspects high-risk industries, such as retail, hospitality, manufacturing, and temporary staffing agencies.
• Non-compliance can result in fines up to $250,000 under the Fighting Against Forced Labour Act, targeting businesses exploiting workers.
• Employers must self-audit ESA compliance annually using MOL’s compliance audit toolkit.

Overlap for Disability Management

OHSA-ESA Intersection

• Return-to-work programs must comply with ESA leave entitlements while ensuring OHSA accommodations, such as ergonomic assessments, modified work duties, and gradual return schedules.
• Mental health risk assessments, required under OHSA, align with ESA’s protected medical leaves, emphasizing employer obligations in preventing psychological harm.

Recent Updates (2025)

• Bill 190: Employers must disclose AI usage in hiring, ensuring hiring processes are fair and unbiased. This includes providing applicants with transparency about algorithmic decision-making in recruitment.
• Supply Chain Act: Employers must file annual forced labor risk reports by May 31, 2025, assessing their supply chains for unethical labor practices.

Compliance Checklist for Employers

OHSA

✅ Update violence and harassment policies per Bill 190.
✅ Conduct ergonomic risk assessments for remote employees.
✅ Train supervisors on digital harassment and workplace surveillance compliance.

ESA

✅ Audit payroll systems for compliance with wage transparency laws.
✅ Implement policies for tracking remote work hours to ensure fair compensation.
✅ Prepare documentation for 27-week illness leave provisions.

Recommended Tools

• MOL’s 2025 Compliance Audit Toolkit to conduct self-audits.
• WSPS checklists for streamlined workplace safety and compliance procedures.

Bottom Line

Compliance isn’t just a box to check. It’s the difference between running a business and running into trouble.

Ignore OHSA and ESA, and you’re not just risking fines. You’re inviting lawsuits, bad press, and a workplace nobody wants to work in.

The fix?

Regular audits. Real training. Policies that aren’t just words on paper.

And now, 2025 brings Bill 190. Harassment rules are tougher. Electronic monitoring has new limits. Pay transparency laws demand honesty.

You can wait and see what happens.

Or you can get ahead of it.

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FAQs About OHSA and ESA Changes in 2025

1. What is the penalty for failing to provide required employee training under OHSA?
   Employers who fail to provide mandatory safety training, such as WHMIS or supervisor training, can face fines up to $100,000 for individuals and $1.5 million for corporations.
2. Are small businesses exempt from OHSA requirements?
   No, even small businesses must comply with OHSA. However, businesses with fewer than 20 employees are not required to have a Joint Health and Safety Committee (JHSC) but must still ensure workplace safety.
3. How can employers prove compliance with OHSA and ESA?
   Employers should maintain written records of training, incident reports, employee work hours, and wage payments. Conducting internal audits using MOL toolkits can also help demonstrate compliance.
4. Can an employer monitor remote employees under OHSA?
   Yes, but Bill 190 requires employers to disclose electronic monitoring policies, including the purpose, method, and scope of surveillance.
5. What should an employer do if an employee refuses unsafe work?
   The employer must investigate the hazard and take corrective action if necessary. If the issue remains unresolved, the employee can report it to the MOL for further inspection.
6. Do OHSA rules apply to independent contractors?
   OHSA applies to all workers, including independent contractors, if they are working under the control of an employer in Ontario.
7. What is the difference between severance pay and termination pay under ESA?
   Termination pay is compensation in place of notice for employees being let go, while severance pay applies to long-term employees in large businesses (50+ employees or a payroll of $2.5M+).
8. What are the rules for unpaid internships in Ontario?
   Unpaid internships are generally illegal unless they fall under specific exemptions, such as formal educational programs or co-op placements.
9. How often should workplace harassment policies be reviewed?
   Employers must review and update workplace violence and harassment policies at least once a year to ensure they reflect current laws and risks.
10. Can an employer reduce an employee’s pay due to financial difficulties?
    No, employers cannot reduce an employee’s agreed-upon wage without the employee’s written consent, even during financial hardship.

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Glossary of Key Terms

1. OHSA (Occupational Health and Safety Act) – Legislation that sets out workplace safety requirements in Ontario.
2. ESA (Employment Standards Act) – Law governing employment conditions, including wages, hours, and leave entitlements.
3. Ministry of Labour (MOL) – Government body responsible for enforcing OHSA and ESA compliance.
4. Duty of Care – Legal obligation for employers to provide a safe work environment.
5. Risk Assessment – Evaluation process to identify and mitigate workplace hazards.
6. Ergonomic Assessment – Analysis of workspaces to prevent musculoskeletal injuries.
7. Workplace Violence and Harassment Policy – Mandatory policy to prevent and address harassment and violence at work.
8. Workplace Hazardous Materials Information System (WHMIS) – Safety training required for handling hazardous substances.
9. Joint Health and Safety Committee (JHSC) – Group responsible for workplace safety inspections and recommendations.
10. Health and Safety Awareness Training – Mandatory training for supervisors to understand their safety responsibilities.
11. Bill 190 – 2025 legislation expanding workplace harassment definitions and electronic monitoring disclosures.
12. Electronic Monitoring – Employer surveillance practices that must be disclosed to employees.
13. Minimum Wage – The lowest legal hourly pay rate, increasing to $17.70/hour in April 2025.
14. Overtime Pay – Compensation at 1.5 times an employee’s regular wage for work over 44 hours per week.
15. Pay Transparency – Requirement for employers to include salary ranges in job postings starting January 2026.
16. Long-Term Illness Leave – 27-week unpaid leave for employees with serious medical conditions, effective June 2025.
17. Severance Pay – Compensation owed to long-term employees (5+ years) upon termination in large businesses.
18. Record-Keeping – Legal requirement for employers to maintain payroll and employment records for at least three years.
19. Supply Chain Act – Law requiring annual forced labor risk reports by May 31, 2025.
20. Fighting Against Forced Labour Act – Legislation penalizing businesses engaged in labor exploitation, with fines up to $250,000.