Ontario’s Employment Standard Act: Key Compliance Tips for SMEs

The Employment Standards Act (ESA) is the cornerstone of employee rights and workplace standards in Ontario. It outlines the minimum legal requirements for things like wages, hours, leave, and termination. Staying compliant with the ESA is essential for every Ontario employer, especially small and medium-sized enterprises (SMEs), to build fair, legal, and productive workplaces. Non-compliance can lead to costly penalties and reputational damage.

Here are 5 essential tips to help you stay on track: Here are key tips to keep your workplace on track:

1.  Know the Basics: Ensure your policies align with core ESA standards—minimum wage, hours of work, overtime, vacation, statutory holiday entitlements

2.      Keep accurate records: Track hours, pay, vacation time, and leaves of absence and keep record for at least 3 years.

3.      Use written agreements: For hours beyond the daily or weekly maximum, or averaging hours, overtime, vacation pay other than when vacation was taken, a written employee agreement is required.

4.      Stay current: ESA regulations evolve. Regularly review updates from the Ministry of Labour to remain compliant.

5.      Train your Team: Supervisors and managers should understand ESA basics to reduce risks, ensure day-to-day compliance and avoid unintentional violations.

Need help navigating ESA compliance? Conduit HR provides expert HR support tailored to SMEs. Let’s keep your business compliant and your team protected.