Ontario’s Updated Gig Worker Rules: Rights, Pay and Protections Explained

Ontario will implement the Digital Platform Workers’ Rights Act on July 1, 2025. This is an important step in the province’s efforts to protect gig economy workers. The legislation is part of a larger package called the Working for Workers Act, first introduced in 2022, primarily aimed at digital platforms like Uber, Lyft, Instacart and Uber Eats, where thousands of Ontarians now rely on as a primary source of income.

Fair Pay and Job Clarity

Under the new legislation, employers using digital platforms will be obligated to deliver clear job postings and pay information and guarantee that workers are paid at least the provincial minimum wage, irrespective of their form of employment classification. Employers must also set pay according to a regular cycle, eliminating the ambiguity that had allowed many individuals working in app-based occupations to earn less than the required minimum wage once their operating costs were accounted for.

These laws are directly responding to long-standing grievances expressed by workers, some of whom went on strike last year over hazardous working conditions and pay uncertainty.

Tip Protection and Dismissal Rules

Along with wage guarantees, the law prohibits companies from withholding tips and provides that companies must give written notice with an explanation prior to the removal of the worker from the platform. The penalties for violations of these requirements can range from $15,000 to $500,000 depending on the severity of the violation.

By the end of 2024, Ontario had more than 80,000 Uber and Lyft drivers on the road. Some municipal officials asked for caps on new licences, arguing there were too many drivers providing ride-sharing services in an oversaturated market since the pandemic. 

Uber Canada welcomed the changes and said it was in support of policies that protected essential worker protections to retain the free agency that is a vital part of being an independent worker. As gig work continues to grow, the new rules set the stage for fairer, transparent digital labour, which Ontario hopes to lead the way in.