0 Introduction Environmental Social Governance Indexes and Glossary Social Overview Compensation and benefits Inside Social Supporting Our Team Members Board and Workplace Diversity Products and Guest Experiences Built on Fairness and Equity Serving and Strengthening Communities Target has played a leadership role in advancing equitable pay and benefits, coordinating with partners to remain at the forefront of our industry. We believe that all team members should be paid equitably, regardless of gender, race, ethnicity or other distinguishing characteristics. Our pay equity work is based on adjusted pay analyses, which measure whether team members are paid the same for doing the same or similar work. Compensation Our ongoing investments in our culture, competitive pay, meaningful work and opportunities for growth have been essential in supporting our thriving business and helping our team members build rewarding careers. Target announced in 2017 that we would raise star ting wages to $15 per hour, an industry- leading milestone we achieved nearly two years ago. In 2022, we announced a new starting wage range of $15 to $24, depending on the job and the local market. In 2021, we again measured whether team members wer e being paid the same for doing the same or similar work. Our adjusted pay equity analyses showed that, domestically, women were paid 100% of the pay for men, and BIPOC were paid 100% of the pay for white team members. We also analyzed median pay. Our median pay analyses ar e unadjusted, meaning they do not take into account whether the team members being compared are in the same or similar role, location or are otherwise comparable. Those unadjusted analyses show that, globally, women are paid 100% of the median pay for male team members and, domestically, BIPOC are paid 100% of the median pay for white team members. To maintain equity, we train recruiters and managers, and pr ovide tools to reduce the risk of bias in decisions about starting salaries and annual pay increases. We also prohibit questions about prior salary in most hiring situations, inform each team member of their pay range and regularly conduct pay audits. Employee well-being We offer our team members competitive benefits packages, whether they are in part-time, full-time or salaried positions. By 2023, T arget aims to eliminate complexity and barriers to entry, by offering easily accessible benefits and resources to all team members. These will focus on learning and career advancement, physical and mental health, family support and financial well-being. Compensation Metric FY2021 FY2020 FY2019 Framework Starting hourly wage (USD) $15.00 $15.00 $13.00 Average hourly wage of store and supply chain facility team members (not including over time) (USD) $16.97 $16.06 $14.48 CG-MR-310a.1 Percentage of store and supply chain facility team members earning locally applicable minimum wage 50 2.2% 5.6% 13.9% SASB And by 2025, we plan to increase access to quality, affordable healthcare for all team members and their families. Mental health We offer team members and their families free, confidential, 24/7 access t o trained clinicians through our employee assistance program, Team Member Life Resources. This is available by phone or online for five free sessions per issue per year. We also offer access to a substance use helpline and digital apps to help manage sleep and anxiety. Moreover, we invite industry experts to host workshops during our Mental Health Awareness Month (May). The “Mental Health for Leaders: Stopping the S tigma” eLearning module teaches leaders how not to stigmatize mental health, thereby supporting Target’s diversity and inclusion efforts. Additionally, the “Starting with Care” instructor- led sessions and resulting post-session self- serve guide help leaders demonstrate self-care, prioritize their own well-being and create a healthy environment for their teams to do the same. Physical health In early 2022, we extended the availability of our medical plan t o hourly store and distribution center team members who work a minimum average of 25 hours a week (down from 20 hours per week) and reduced the waiting period to become benefits eligible. We provide access to 24/7 virtual healthcare visits for all U .S.-based team members via the CirrusMD app, and all team members can access Gr okker, a free fitness and well- being platform. Team members receive an additional 20% wellness discount on fitness and wellness products at Target — such as fruits and vegetables, athletic apparel and tobacco- cessation products. A concierge service for team members enrolled in our nationwide medical plan explains care paths and treatment options, and provides links to support programs. We offer all team members access to a free well-being platform, suppor ting their physical and mental health with fitness, nutrition, meditation courses and more. 50 Percentage represents the number of team members with a base wage rate equal to the local applicable starting wage. 2022 Target ESG Report 35