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New Labor Law in Canada Aims to End “Ghosting” After Job Interviews. Legislation Will Require Companies to Provide Feedback to Candidates and Inform Use of Artificial Intelligence in Selection Processes.
A new labor law approved in the province of Ontario, Canada, promises to change the way companies conduct their hiring processes. Starting January 1, 2026, all companies with 25 or more employees will have up to 45 days to communicate the results of interviews to candidates and inform whether they used artificial intelligence (AI) in the screening of resumes.
The measure aims to combat the so-called “corporate ghosting”, a practice where candidates simply do not receive any response after participating in a selection process. According to local authorities, the change seeks to bring more transparency and respect for the time and dedication of those seeking a job.
Mandatory Transparency in the Selection Process
The announcement was made by Ontario’s Minister of Labour, David Piccini, who classified the measure as a “common courtesy” that should be the norm. The legislation also requires companies to indicate whether the position has been filled and to remove job postings within two weeks after the position is closed.
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Data from the recruitment platform Greenhouse shows the extent of the problem: nearly two-thirds of candidates in the United States report not receiving feedback after interviews, and 27% say they have never received a response even at the final selection stage.
High Fines for Non-Compliance
Failure to comply with the new labor law could result in fines of up to 100,000 Canadian dollars (approximately R$ 400,000). However, experts assert that initially, penalties will likely be more lenient, with warnings and guidance for adaptation.
Labour lawyer Daryn Jeffries from Toronto emphasizes that the proposal seeks to balance protecting candidates and not hindering companies’ operations, recognizing that not all cases of ghosting occur in bad faith.
Regulation of Phantom Jobs and Use of AI
Another central point of the legislation is the fight against so-called “phantom jobs” — postings made to build a talent pool but without immediate hiring. According to the text, these postings must be removed within 14 days after the actual position is filled.
Companies will also be required to declare whenever they use AI at any stage of the selection process. This includes automatic resume filters and profile analyses, ensuring that candidates know when their applications have been evaluated by automated systems.
Impacts on Companies and Operational Costs
Despite being well received by the public, the measure raises concerns among some business sectors, which fear increased costs and administrative burdens. Hiring processes with a high volume of candidates, common in sectors with high turnover, may require more time and staff to comply with the legislation.
In the United States, similar initiatives face resistance. In New Jersey, for example, a bill proposes a fine of up to US$ 5,000 (approximately R$ 27,000) for companies that do not inform deadlines and fail to remove filled positions. Business associations argue that hiring processes vary greatly between sectors and functions, making a fixed deadline for feedback unfeasible.
Other Initiatives and the Brazilian Scenario
Similar proposals are under consideration in Kentucky and California, but have not yet advanced. Experts point out that while legislating on transparency in recruitment is positive, it is essential to consider companies’ operational capacity to meet the requirements.
In Brazil, there is no new labor law in this regard, and corporate ghosting remains common. For human resource management specialists, implementing minimum feedback policies — even if not mandatory — improves the company’s reputation and helps attract more qualified and engaged professionals.
And you? Do you think a new labor law like this would work in Brazil? Would companies be able to provide feedback to all candidates without harming the hiring processes? Share your opinion in the comments.
Muitas vezes no Brasil as vagas já foram preenchidas pelos “QI” e as entrevistas / testes e só para cumprir formalidades q dirá comunicarem o desfecho!!!!
sempre e bom so pra um lado….. informar que a vaga foi preenchida de forma pública e geral ok….. mas prazo e multa e ridículo….. nao ha equilíbrio nessa relação entao e injusta