CBC Video Case: TD Bank Employees May Have Broken Law
Some TD Bank employees told CBC News they may have broken the law at their customers’ expense because of the incredible pressure to sell and meet performance targets. As a result of these allegations, some investors and customers are stepping back from TD and others are monitoring the situation closely. Some analysts say the situation may prompt other banks to examine their own practices concerning employee performance targets to avoid potential long-term damage to their brands.
Questions:
1. The allegations of the TD Bank employees in this story suggest that pressure to achieve performance targets has resulted in them breaking the law. What are some other potential undesirable consequences of performance targets or pay-for-performance policies?
2. The video states that investors and customers are watching to see how TD Bank handles the situation and that other banks are as well, and may be prompted to investigate their own performance management practices in order to protect their brand. What are some of the potential HR implications associated with an organization’s brand image?
