New Brunswick, Canada Introduces New Pay Transparency and Long-Term Leave Requirements

New Brunswick recently enacted two significant employment law reforms that will affect employers across the province. Through Bill 24, the Pay Transparency Act, the province has joined a growing number of Canadian jurisdictions implementing pay transparency measures. In addition, Bill 26 introduces a new protected leave entitlement under the Employment Standards Act for employees experiencing long-term illness or injury. Employers may wish to review their hiring practices, compensation policies, and leave management procedures to ensure compliance with these new requirements.

New Pay Transparency Requirements

New Brunswick Bill 24, the Pay Transparency Act, establishes new requirements for employers doing business in the province. 

Effective June 12, 2026:

• An employer must include the expected salary or hourly wage (or range) in both publicly advertised and internal job postings. 
• An employer is prohibited from seeking an applicant's compensation history, either directly or through a third party, unless that compensation history is publicly accessible. 
• An employer cannot rely on compensation history information that is voluntarily disclosed by an applicant when making hiring or compensation decisions. 

The legislation also introduces additional obligations that will come into force on a future date to be proclaimed (but expected before March 2028). These include:

• An employer with 50 or more employees will be required to prepare an annual pay transparency report, post it on its website (or otherwise make it available to employees and the public if no website exists), and file the report with the provincial government. The timeline for when this requirement will take effect varies based on employer size. A private-sector employer with 100+ employees will be required to file its first pay transparency report by March 31, 2029. A private-sector employer with 50+ employees will be required to file its first report by March 31, 2030.
• An employer will be prohibited from engaging in reprisal against an employee for exercising rights under the legislation or for discussing compensation. 
• An employer will be prohibited from using nondisclosure agreements to prevent employees from discussing their compensation. 
• These provisions will be enforced by inspectors with powers to impose administrative penalties in accordance with regulations yet to be published. 

New Long-Term Illness and Injury Leave

New Brunswick Bill 26 amends the province's Employment Standards Act (ESA) by creating a new protected leave entitlement for employees who are unable to work due to a serious illness or injury. 

Effective June 12, 2026:

• An employee who has been continuously employed for more than 90 days may take up to 27 weeks of unpaid leave during any 52-week period. 
• The leave must be taken in increments of at least one week.
• Employees are required to provide notice of the anticipated start and end of their leave, and employers may require medical certification from a health-care practitioner supporting the need for the leave. 

Consistent with other protected leaves under the ESA, employees returning from long-term illness and injury leave are entitled to be reinstated to their previous position or a comparable position with no decrease in pay or associated loss of benefits.

Employer Takeaways

These legislative changes reflect the continued expansion of pay transparency obligations and protected long-term leave entitlements across Canadian jurisdictions. To ensure compliance with these new requirements, employers with operations in New Brunswick may wish to:

• Review job posting and recruitment practices in light of the new pay transparency requirements.
• Assess existing compensation confidentiality provisions, including the use of nondisclosure agreements related to employee compensation discussions.
• Consider whether current leave policies and internal procedures align with the new long-term illness and injury leave provisions.
• Ensure HR and management teams are aware of the new employee rights and protections introduced under both pieces of legislation. 

As additional provisions of the Pay Transparency Act come into force and supporting regulations are released, further guidance on employer obligations is expected.