Compensation and Benefits
Providing Total Value
At TD, compensation and benefits are a significant portion of
the total value delivered to employees in exchange for their time,
talent, efforts and results. TD values a performance culture where
there is a clear link between pay and performance. Every year, we
conduct market research to ensure that our programs are competitive
within our industry. Compensation is designed to be fair and
TD makes a significant investment in employee compensation and
benefits. In 2009, this amounted to nearly $6 billion. The increase
from 2008 figures was partly due to the acquisition of Commerce
|Global Salaries and Employee
(in millions of dollars)
|Pension and other benefits||583||660||826|
In 2009, TD introduced a new
defined benefit pension plan in Canada that was designed to be
the best fully bank-paid pension plan in the industry for employees
with regular earnings below the Canada/Quebec Pension Plan (C/QPP)
maximum pensionable earnings ($47,200 in 2010). TD’s
retirement, benefits and savings programs are designed to give
employees flexibility and choice, so they can meet their needs and
the needs of their families. The new pension plan is no exception.
It also provides an optional top-up, so employees can earn a
competitive pension on their salary above the C/QPP limit at a very
In the U.S., we introduced an enhanced 401(k) retirement savings
plan with the same philosophy that guided the design of our plan in
Canada. Every eligible employee receives a certain level of fully
bank-paid retirement benefits, with the flexibility to get even
more if they contribute. Every eligible U.S. employee now
participates in a retirement plan with a common design.
Unless noted otherwise, all benefits are available to
full-time and eligible part-time employees, management and
non-management, with the exception of the Employee Ownership Plan,
where executives with share ownership requirements are not eligible
to receive TD contributions. There may be an eligibility period
(usually three months of continuous service) for employees first
joining the organization before benefits take effect.
|Retirement, Benefit and
- Flexible benefits program with comprehensive choices.
- TD provides core catastrophic coverage for employees (life
insurance, medical and short-term disability) at no cost to
- TD also provides Benefit Credits to help pay for additional
optional health benefits for employees and their eligible
dependents. Unused Benefit Credits may be allocated to a Health
- Paid vacation for full-time and part-time employees based on
job level and length of service.
- Five additional vacation days are awarded in each special
milestone year (25, 30, 35, 40 or 45 years of service), pro-rated
for part-time employees.
|TD Pension Plan|
- TD provides a defined benefit pension to every eligible
- A new plan, launched March 1, 2009, delivers an
industry-leading fully bank-paid pension and the flexibility to
have an optional top-up at a very affordable cost.
- In 2009, TD made a special contribution of $482 million to
ensure the prior plan was fully funded.
|Employee Ownership Plan|
- Employees can purchase TD shares through payroll
- TD matches the first $250 of contributions each year at 100%
and the remainder at 50% (to a maximum of 3.5% of the
employee’s eligible earnings or $2,250, whichever comes
- The plan offers more flexibility than our competitors. Members
can withdraw or transfer funds once per quarter.
- 84.3% of our eligible employees participated in 2009.
- Employees hold 8.7 million TD shares in the program (as of
October 31, 2009).
- This program helps employees save for short-term and long-term
- Option of regular payroll deductions and/or lump-sum
contributions to the account.
- RRSP and non-RRSP options.
- Employees can contribute through payroll deduction, lump sums
or from their incentive pay.
- TD pays all of the investment management and program
- 40% of our eligible employees participate (as of October 31,
- Preferred rates and discounts on a wide range of credit
products and services, as well as home and auto insurance.
- Available to full-time, part-time and benefit-eligible
- Employees can shape their own reward package by choosing
- U.K. benefits offer a subsidized “green bikes to
work” program and more.
- Employees can select the right level of coverage for themselves
and their families from a flexible benefits plan.
- Employees can earn credits to reduce their healthcare
deductibles by completing a Health Risk Assessment or enrolling in
eligible wellness programs.
- In 2009, we introduced an enhanced 401(k) retirement savings
plan. Now every eligible employee in the U.S. participates in a
common plan design, and receives a certain level of fully bank-paid
retirement benefits, with the flexibility to get even more if they
- TD Bank provides each employee with 2% to 6% of their eligible
earnings in the form of retirement savings, without requiring
employee contributions. If employees do contribute they can also
receive up to 4.5% in additional contributions from the Bank, for a
total of 6.5% to 10.5% in Bank-paid retirement savings.
- Paid time off (PTO) for full-time and part-time employees based
on job level and length of service