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CHUNYIP WONG

Toronto-Dominion Bank’s racial equity audit of its Canadian and U.S. employment policies remains on track for completion this year.

“TD remains committed to diversity and inclusion and we feel that this racial equity assessment will give us important insight to help us continue to progress with our [diversity and inclusion] initiatives,” the bank said in a statement. “We are working through the process and expect to complete this work in fiscal 2023.”

The bank had committed to reporting “on the key insights learned from that assessment or […] its progress by June 30, 2023.” Its fiscal year ends Oct. 31.

As stated in TD’s 2023 management information circular, the bank retained Covington LLP and WeirFoulds LLP to conduct the assessment. The firms were asked to assess the bank’s workplace policies — including those related to hiring and retention — and suggest “refinements to existing policies and strategies, or new policies or strategies” that could help TD “promote a diverse, inclusive and equitable workplace.”

TD is the farthest along of the Big Six on a racial equity audit.

CIBC and National Bank of Canada agreed this year to launch audits in response to proposals submitted by the Shareholder Association for Research and Education (SHARE). CIBC will conduct an audit and disclose the results as part of its fiscal 2026 reporting, while National Bank will collaborate with SHARE on racial equity audit work.

Anthony Schein, SHARE’s director of shareholder advocacy, told Investment Executive in March that such audits are important for holding banks accountable for their publicly stated goals as well as for analyzing the impact of their products and services on communities of colour.

At the annual general meetings, shareholders of Bank of Montreal and Royal Bank of Canada voted against proposals requesting audits be conducted — in line with both banks’ recommendations. At BMO, the vote was 60.4% against, while at RBC the vote was 57.8% against.

Shareholders did not submit a proposal for a racial equity audit at Bank of Nova Scotia during the 2023 proxy season, and no audit has been announced by the bank.