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 without discrimination.

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 Bancorp.

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 affordable cost.

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.