13 Listening to employees

We also pay attention to the comments and feedback provided by employees. Our people are, and always will be, one of our biggest competitive advantages. So it matters that we work to attract top talent and create a great place to work.

We track employee engagement through TD Pulse, a company-wide survey that is open to every employee, including those on leave. It’s conducted twice a year with a participation rate of 88% and gives employees a vehicle for providing confidential feedback.

The Employee Engagement Index is calculated using the average response (on a scale of one to five) to three questions based on feelings of accomplishment, pride in TD and plans to be with TD in one year.

TD Employee Engagement Index (EEI) TD EMPLOYEE ENGAGEMENT INDEX (EEI)1

3.0 3.5 4.0 4.5 5.0

2010 2011 2012

Although this is the first time in 12 years when EEI has declined in a way that we can’t attribute to integration activity, comparative data from other “Best Employer” companies shows that employee engagement has generally been plateauing in Canada since 2009. However, the slight decline in 2012 is a healthy prompt to refocus attention.

+ Employee Engagement Trends (PDF)

As part of the spring survey, we invite employees to suggest “two things” to improve the workplace. In 2012, we received over 34,000 submissions. The top themes were: • Growth and development opportunities;

• Compensation and increased cost of living; • The need for improved efficiency; and • A call to slow down the number of initiatives.

On the employee news website, TD executives took time to explain how we were doing on each of these points and what improvements employees could expect to see in the future. In 2013, we will be making some changes to the survey to ask employees more questions about the aspects of work that matter to them.

Open dialogue

With teams across TD dedicated to maintaining relation- ships, we interact with several stakeholder groups on a daily and/or weekly basis, responding to the issues and concerns brought to our attention.

As actions sometimes have unintended consequences, we continue to learn lessons. For example, the launch of the TD Forests program and its focus on reducing paper was interpreted by some as a criticism of the forestry industry. Through our open-door policy and several discussions with industry associations we were able to reassure stakeholders that TD continues to promote sustainable forestry practices and clarify that TD Forests relates more to the loss of forest cover in urban environments.

As our vision is to be The Better Bank, it’s critical that we not only hear what stakeholders are saying, but also respond and improve. If you would like to contact TD with feedback, here are a few ways to reach us:

Customers: Customer.support@td.com Shareholders: tdshinfo@td.com Investors: tdir@td.com Suppliers: tdsource@td.com Community groups: td.communitygiving@td.com Feedback on this report: crreport@td.com

TD 2012 Corporate Responsibility Report