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Thursday, November 27, 2025

Proposed changes to Ontario’s Working for Workers Seven Act: What you need to know - HRD America

The Act introduces stricter rules around layoffs and workplace safety

Workers who are laid off could be entitled to three days of unpaid leave to look for a new job during their notice period, under proposed reforms to Ontario's workplace laws.

The entitlement would apply to restructures where more than 50 or more staff are let go and are part of the Ontario Government's proposed Working for Workers Seven Act.

“Employers will be obligated to give three days of unpaid leave, essentially during a working notice period, to allow employees to look for a new job and attend interviews,” says Matthew Fisher, barrister and solicitor at Lecker and Associates.

Another proposed change to the Employment Standards Act deals with temporary layoffs. Currently, the maximum duration is 35 weeks. This legislation seeks to extend that to 52 weeks—but with strings attached.

The legislation proposes to extend the maximum period of temporary layoffs from 35 weeks to 52 weeks, but they’ve also imposed a requirement in order to do that, both to get the consent of the employee and of the Director of Employment Standards,” Fisher explains.

Navigating the clash between statutory changes and common law

While this may appear to offer employers more flexibility, it’s far from a free pass. The consent requirement creates a new compliance burden, and it doesn’t override common law standards, which often treat layoffs of such length as constructive dismissal.

“It is important to note, though, that these...



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