Hanley was born in the village of Ballyeaston when his mother was visiting what is now Northern Ireland, and he returned to Canada when he was only a few weeks old and grew up in Toronto.
[3] During high school, Hanley played on the Oakwood Collegiate Institute hockey team.
[1] After high school, Hanley attended the Ontario Agricultural College, and later worked on his parents' farm.
[3] Hanley joined the Royal Canadian Navy during World War II,[3] and also served with Conn Smythe's 30th Battery that was part of the 7th Toronto Regiment, RCA.
[3] In 1951, Ontario Hockey Association president Jack Roxburgh hired Hanley as business manager, a position he retained until 1973.