JD Journal » salary freeze

Winston & Strawn Keeps Salaries Frozen

joshua — Fri, 12 Feb 2010 19:00:58 +0000

Winston & Strawn froze salaries last year and now it appears that the freeze is still on. Associates received emails today regarding their compensation and across the board, they are still the same as they were two years ago. Third year associates are still making $160k.

This might seem like a way to increase business at the firm – pay associates less so the firm can advertise lower rates for its clients, but that isn’t the case. Hourly rates for the associates’ time have gone up.

Meanwhile, fellow Chicago denizen Sidley Austin has continued to pay its associates at 2008 levels as well, while they evaluate the market. Is it any surprise that the National Law Journal says the market for Chicago laterals is picking up?

UPDATE: Sidley has just announced a salary thaw and raise. Read about it here.

Hughes Hubbard Thaws Salaries, Issues Bonuses

joshua — Mon, 25 Jan 2010 17:44:08 +0000

Hughes Hubbard is thawing out salaries and junior associates are getting a double bump, placing them where they would have been had there been no salary freeze. Senior associates are splitting the difference, with the class of 2004 and beyond getting bumped up but not quite as far. Of course, this further muddies the water of the “market rate” situation.

In addition to salary raises, Hughes Hubbard associates are getting their 2009 bonuses. Those that made their billing target of 1950 hours will get a bonus on the Cravath scale. However, there are above market bonuses being paid out to associates that hit 2100, 2300 or 2500 hours last year.

Hughes Hubbard & Reed LLP, an international law firm based in New York, is ranked number one in New York and number two nationally on The American Lawyer’s A-List of the “top firms among the nation’s legal elite.” AmLaw also ranked the firm #4 in “Top Growth Firms” among the nation’s 200 largest firms over the last 10 years.

Salary Thaw and Bonuses at Arnold & Porter

joshua — Mon, 04 Jan 2010 16:15:31 +0000

At the start of 2009 Arnold & Porter announced that it was freezing salaries but held out the hope that some or all of the difference might be paid out later if economic situations warranted. At the end of December a firm wide memo went out in which Arnold & Porter announced that all associates in good standing would be receiving the full difference between their frozen salaries and the salary they would have otherwise earned in one lump payment. Furthermore, salaries have been unfrozen for 2010, with everyone getting bumped up a year. Arnold & Porter will also be paying unspecified bonuses for 2009 based on a combination of billed hours and subjective reviews.

Founded in 1946, Arnold & Porter LLP is an international law firm based in Washington DC, which is well known for its trial, corporate, and antitrust work; and for its pro bono commitments and support for progressive causes.

Mayer Brown Bonuses Match Cravath

joshua — Mon, 28 Dec 2009 15:05:57 +0000

Mayer Brownassociates got the news on Christmas Eve – the firm is matching the Cravath bonus scale. $7500 for first years, $30k for senior associates and the same sliding scale in between. What associates have not yet been told is whether or not they’re getting a pay raise next year. Mayer Brown froze salaries this year and have yet to announce next year’s compensation plan.

Mayer Brown is one of the largest global law firms both by number of lawyers and revenue. The firm has over 1,800 lawyers in key business centers across the Americas, Asia and Europe.

Salary Thaw and Bonuses at Hogan & Hartson

joshua — Tue, 22 Dec 2009 21:06:15 +0000

First a little background: Hogan & Hartson pays associates on a two tier system, where associates can choose to receive higher base salary but with a higher billable hours requirement, or take a lower base salary with lower expectations. This year, salaries were frozen at 2008 levels and in the spring, Hogan & Hartson arbitrarily moved any associate not on track to make the higher billable hour total down to the lower track, paying them the less lucrative salary, but with the promise to restore the money if they caught up.

Today Hogan & Hartson passed out three nice bits of news. First, salaries are being unfrozen and all associates will advance one year in 2010, although the frozen year will not be restored. Second, anyone that was bumped down a track who meets the billable hour requirement for the upper track will receive the difference in a lump sum payment. They will also be returned to the higher track, even if they didn’t meet the hourly total for this year. Finally, bonuses have been announced. The bonuses are discretionary and require that the associate meet a billable hour target. Non billable hours above and beyond the call of duty may be credited to meet the total at the firm’s discretion.

Salary Thaw at Akin Gump

joshua — Mon, 21 Dec 2009 21:57:20 +0000

Akin Gump has lifted its salary freeze and is planning to pay out bonuses, according to a memo sent out by firm chairman, Bruce McLean. Of course, that’s based on Akin Gump’s compensation system which isn’t strictly a base salary. To earn market level salaries, associates must meet quarterly billed hour quotas. That said, even the base salary isn’t bad, compared to some of the salary cuts we’ve been seeing lately.

If anyone has information on the Akin Gump bonuses, we’re anxious to hear it. You can send us an anonymous tip here.

Akin Gump Strauss Hauer & Feld LLP was founded in Dallas in 1945 by Robert Strauss and Richard Gump. The firm now numbers more than 900 attorneys and advisers in the United States, Europe, Asia and the Middle East.

Morning Roundup

joshua — Mon, 21 Dec 2009 13:38:24 +0000

Good morning everyone! As we wind our way closer to Christmas, we’ll continue to bring you what news there is, but anticipate a bit of a slowdown. In the meantime, it is Monday, December 21, and here’s a look back at Friday’s stories…

Holland & Knight is abandoning lockstep….

and so is Kelley Drye, while also freezing salaries and paying bonuses…

The Ninth Circuit has approved limited televised coverage of trials…

and two more firms have announced their bonuses, sort of…

Kelley Drye Trifecta – Abandon Lockstep, Freeze Salaries, Pay Bonuses

joshua — Fri, 18 Dec 2009 18:32:32 +0000

In a firm wide email sent out yesterday, Kelley Drye managed to fold what would typically be three different stories into one.

Over the next two years, Kelley Drye will move away from lockstep compensation and into a merit based pay scheme. Details have not yet been worked out. As a first step, however, 2010 salaries will be frozen at 2009 levels. Salaries for incoming associates, who were scheduled to begin in January, have not yet been set and according to the firm would be decided “early next year”. Looking at my calendar, January appears to me to be pretty early in the year so I certainly hope by “early next year” the firm means “within the next two weeks”. Either that or the firm is planning to re-defer their new associates but forgot to tell anyone. As a final point of business, the email said that bonuses for this year would range from $10k to $30k which puts them above the Cravath bonuses on the low end, assuming that first year associates receive bonuses at all.

Kelley Drye & Warren LLP is an American law firm headquartered in New York City. It has over 300 attorneys in 7 offices, including an affiliated office in Mumbai.

Stroock Pays Bonuses, Lifts Salary Freeze

joshua — Thu, 17 Dec 2009 22:37:36 +0000

Stroock is handing out bonuses this year, and like so many before them, they’re paying on the Cravath schedule. That is, any associate that hit their billable hours target of 1900 will get a Cravath size bonus and the firm says that those that “made extraordinary contributions to the firm” will get a bit more. As a reminder, the Cravath scale ranges from $5k for first year associates up to $30k for seniors.

The more significant news from Stroock is the lifting of the salary freeze. All classes will advance next year and receive a pay bump accordingly.

Stroock & Stroock & Lavan LLP is based in New York City, with approximately 350 lawyers in three offices, including Miami and Los Angeles. It was founded in 1876.

Seyfarth Shaw Abandons Lockstep

joshua — Thu, 17 Dec 2009 18:54:12 +0000

Like many firms before it, Seyfarth Shaw is abandoning lockstep starting in 2011. Details haven’t been released, not even to the associates who must now spend next year trying to hit performance goals that have not been announced in order to receive salaries that have not yet been determined but that’s just part of the charm of working for biglaw. 2010 salaries will be based on 2009 performance and although exceptional associates can expect a 5% salary increase next year, those that merely met expectations will be rewarded with a 5% pay cut. Exceeding expectations without being exceptional is good enough to get you a salary freeze, so a second year associate that is exceeding expectations can expect to be paid the same as a wet behind the ears first year and a second year associate meeting expectations will be paid less than colleagues that haven’t had the pleasure of prepping their first document. Seyfarth Shaw’s web page says that they pay “competitive salaries”. Who knew that meant competing with each other to avoid being paid less than a first year…

I’m not sure which is more insulting – getting a 2010 pay cut for meeting 2009 expectations, or being told that at the end of 2009.

UPDATE: A tipster reminded me that Seyfarth Shaw has already cut the salaries of the incoming first year associates by five to ten percent, so meeting expectations isn’t going to drop your salary below that of a first year associate after all. Well, isn’t that a relief.

WilmerHale Ditches Lockstep

joshua — Tue, 15 Dec 2009 20:12:44 +0000

WilmerHale is abandoning lockstep compensation and adopting a merit based three tiered system that should look familiar to anyone that’s read these pages over the past few months. The new compensation plan, cleverly titled “career advancement program” or “CAP” will take effect in 2012. But not to worry, WilmerHale has found another time honored method of holding labor costs down in the mean time. Next years salaries look remarkably like this years – yes, the firm is instituting a salary freeze for everyone but second year associates, who will receive a $5k bump in compensation.

Wilmer Cutler Pickering Hale & Dorr LLP has twelve offices across the US, Europe and Asia. It was created in 2004 through the merger of the Boston’s Hale & Dorr and the Washington’s Wilmer Cutler & Pickering, and employs more than 1,100 attorneys worldwide. As of 2008, it was the 23rd largest law firm in the world in terms of revenue.

More Bonus News – And it’s a Little Different

joshua — Thu, 03 Dec 2009 01:38:04 +0000

Two more firms have announced their bonus schedules and they’re a bit different from the Cravath scale.

Sullivan & Cromwell is paying bonuses ranging from $7500 to $35,000 depending on class year. The only change is at the high end where senior associates will receive $5000 more than at firms on the Cravath scale.

Patton Boggs is doing things differently. They are paying bonuses based on both class year and the number of billable hours by which an associate exceeded their target goal. The scale ranges from $5000 to $45000. You’ll note that it’s lower on the low end and higher on the high end, but more importantly it cuts out completely anyone that missed their target goal for billable hours. Given the state of the legal economy I have to wonder how many associates won’t be getting a bonus at all, and of those that do, how few are hitting that top mark.

Patton Boggs also told its associates that those that missed their billable hour target by a large enough amount would receive a salary cut. Missed by 300 hours? That’s a 10% pay cut. Missed by 500 hours? That’s a 20% pay cut. And since salaries are remaining frozen, that means a third year associate that missed by 500 hours will receive $122,000 next year while new first years get $160,000.

Salary Freeze at Covington & Burling

joshua — Tue, 10 Nov 2009 21:43:30 +0000

Stick this one in the “It could be worse…” file.

At an all associates meeting today, Covington & Burling announced a freeze on associate salaries for all offices other than New York. Although Covington’s associates are probably not thrilled with the news, things could be worse. If Covington can reign in costs without having to lower salaries or cut jobs, it puts them a step ahead of most firms.

Back in April, Covington & Burling’s Diversity Update included a statement that they had not frozen salaries. It took longer than a month, but now we can finally link back to it.

We’re Doing This for Your Own Good… Really!

joshua — Thu, 29 Oct 2009 16:55:28 +0000

Do you wake up every morning hoping that today will be the day that your firm will improve attorney development, and strengthen its ability to recruit, retain and develop the best talent at all professional levels by cutting your salary? If so, you may want to consider moving to Foley Hoag.

In a firm wide memo obtained by abovethelaw.com Foley Hoag has done just that. The salaries of all first through third year associates and some fourth years have been cut by ten percent in order to meet the aforementioned lofty goals. As bad as that sounds, this comes on top of salary freezes that had second year associates making the same as first years, so with the ten percent cut, second year associates and some third years are now making less than they did as first years.

Maybe this will be the start of a new trend. Maybe law schools around the country will pick up on the idea and charge less for second year students than first year students. Maybe student loans will lower the interest rate each year. Seems about as likely as retaining the best talent by cutting salaries.

Monday morning roundup

joshua — Mon, 31 Aug 2009 12:30:32 +0000

Good morning! Now that the weekend is behind us, here’s a quick look at Friday’s stories.

New associates at Sidley’s Washington DC office are being offered the chance to start early…

Four more partners have left cooley for other firms…

Fish and Richardson is reported to be closing up shop in Austin…

Winston & Strawn is laying off office staff and attorneys….

and there is a salary freeze and King & Spalding

King and Spalding freeze salaries

joshua — Fri, 28 Aug 2009 16:38:36 +0000

Yesterday evening King and Spalding announced that they were freezing associate salaries and that individual bonuses would be subject to market review.

King and Spalding was founded in Atlanta, Georgia, in 1885 and is Atlanta’s oldest law firm. It has a broad portfolio including health care, biotechnology, energy and transactional practices in Islamic finance, private equity and securities.

Wragge Seeking Merger

Erik Even — Sun, 14 Jun 2009 19:12:35 +0000

Top Birmingham, UK law firm Wragge, which just announced a redundancy consultation targeting 85 and a salary freeze, happened to mention to the press that it is interested a merger.

The firm wants to increase its London footprint through a merger. It told the Birmingham Post it “was not actively pursuing a merger, but was open to the possibility.” Which is a weird thing to say. If you’re broadcasting your intentions through the news media, then you are “actively pursuing.”

Wragge’s profits were down 15% from last year, to £104.3 million ($172.6 million).

Birmingham, UK’s Wragge & Co was founded in 1834 by George Paulson Wragge hand Clement Ingleby. The firm has offices in Brussels, Guangzhou, London and Munich.

Pinsent Masons to Hold Redundancy Consultation

Erik Even — Sat, 13 Jun 2009 19:18:35 +0000

Pinsent Masons is holding a redundancy consultation. It has not announced how many positions have been targeted.

The firm employs almost 1,000 lawyers globally, including 275 partners; and 1,600 staff.

Pinsent Masons also plans to implement part-time working arrangements and sabbaticals, and a pay freeze.

Pinsent Masons LLP is a full-service commercial law firm. The firm ranked amongst the top 15 law firms in the UK and internationally ranks in the Global 100. Pinsent Masons has UK offices in Birmingham, Bristol, Edinburgh, Glasgow, Leeds, London and Manchester, and internationally in Beijing, Brussels, Dubai, Hong Kong and Shanghai.

Tipster: Stealth Layoffs at Sughrue Mion

Erik Even — Fri, 12 Jun 2009 21:05:06 +0000

A JDJournal tipster says he or she is the latest victim of stealth layoffs at intellectual property firm Sughrue Mion:

I am, perhaps, the latest casualty of Sughrue. It is my belief and understanding [that]:

1.) almost weekly, several people are fired, attorneys and/or staff, which I believe [is] more related to internal issues than economic [ones];

2.) there is a hiring freeze in place;

3.) staff overtime has been slashed, and partners have agreed they will not receive an increase this year due to economic issues.

And I have observed frequent erratic emotional explosions [from] an unnamed senior partner, and that many people are walking on eggshells wondering who, or whether they, will be next to be given their walking papers.

Sughrue Mion PPLC concentrates on the practice of intellectual property law, with offices in Washington DC; Menlo Park, CA; and Tokyo, Japan.

Wragge & Co Targeting 85 for Redundancy

Erik Even — Thu, 11 Jun 2009 21:28:18 +0000

Top Birmingham, UK law firm Wragge has announced a redundancy consultation, targeting 85 fee earners, support staff and secretaries. It has also implemented a salary freeze.

The firm is also considering four-day weeks, sabbaticals, unpaid leave, job sharing, and other cost-saving schemes.

Wragge’s profits were down 15% from last year, to £104.3 million ($172.6 million).

In September 2008, 24 people left the firm in a combination of voluntary and compulsory redundancies.

Birmingham, UK’s Wragge & Co was founded in 1834 by George Paulson Wragge hand Clement Ingleby. The firm has offices in Brussels, Guangzhou, London and Munich.

O’Melveny & Myers Freezes Staff Salaries

Erik Even — Wed, 10 Jun 2009 22:17:51 +0000

O’Melveny & Myers, which in March laid off 190 people, is freezing salaries for staffers across the firm. Lawyers are not affected.

There will be no salary increases in 2009; and the performance evaluation cycle will now cover July 2008 to July 2010. Salary increases will be considered in (but are not promised for) July 2010.

O’Melveny is evaluating its other compensation programs, such as annual bonuses.

The firm has delayed start dates for new associates to December 2009.

O’Melveny & Myers LLP is the 19th largest law firm in the world. It employs 1200 attorneys in 14 offices worldwide.

Corrs Defers Recruits, Freezes Salaries

Erik Even — Thu, 04 Jun 2009 20:34:23 +0000

Corrs has delayed the start dates for its 2009 recruits, paying stipends of US$1,740 each.

In March, the firm implemented a firm-wide salary freeze. There may be individual exceptions, and the firm stressed that the pay freeze is not performance related.

Corrs Chambers Westgarth is an Australian commercial law firm founded in 1841. It has offices in Sydney, Melbourne, Brisbane, and Perth. The firm acts for clients internationally, and has links with law firms throughout Asia, the Americas, Middle East and Europe.

Corrs employs over 950 attorneys.

McDermott Will & Emery Reduces Summer Associate Pay

Erik Even — Fri, 29 May 2009 16:55:06 +0000

McDermott Will & Emery has cut pay for its summer associates to $135,000, down from the Biglaw standard $160,000.

McDermott says the cuts were in response to client concerns. The firm’s first year associates still collect their full $160,000 salary. But the firm has announced that associate salaries will be frozen for 2009.

Summer associates were not informed of the salary cut until they arrived for work. The firm says it has always been its practice to inform summers of their compensation information when they start, rather than sooner.

McDermott Will & Emery LLP, founded in 1934, is a prestigious international law firm headquartered in Chicago, Illinois. It is one of the top 10 largest law firms in the United States and one of the 20 largest in the world.

Jones Day Freezes Support Staff Salaries

Erik Even — Wed, 27 May 2009 16:59:11 +0000

Online sources say that Jones Day has announced a salary freeze affecting all support personnel and staff across the firm, through at least June 2010.

In addition, staff will get no bonuses through 2009.

Corporate Board Member magazine named Jones Day the second best corporate law firm. Earlier this year, the firm opened new offices in Dubai and Mexico City. Hopefully, the firm will not sue us for mentioning its name.

Jones Day is an international law firm headquartered in Cleveland, Ohio. It was founded in 1893 by Judge Edwin J. Blandin and William Lowe Rice. Jones Day is the 8th largest law firm in the world by revenue. It is currently the second largest law firm in the United States, with approximately 2,400 lawyers and gross annual revenue in excess of US$1.5 billion.

Addleshaw Lays Off 85 Staff

Erik Even — Mon, 18 May 2009 19:42:27 +0000

Addleshaw Goddard, one of Britain’s largest firms, which announced in February it would cut 19 partners, has now announced the redundancies of 85 staff positions.

The layoffs target the firm’s Manchester office, and affect the business services division, including business development, human resources, information technology, finance, and secretarial.

No lawyers are being let go at this time, but the firm is instituting a salary freeze, and cutting pay for trainees. Addleshaw is also considering cutting hours.

Addleshaw Goddard LLP is a UK law firm, with almost 750 lawyers and 1,350 staff, based in Leeds, London and Manchester. It was formed in 2003 by the merger of Addleshaw Booth & Co with Theodore Goddard.

According to The Lawyer, a UK legal newspaper, Addleshaw Goddard was ranked 15th largest law firm in the UK by turnover in 2006.

Skadden Freezes Salaries for Counsel

Erik Even — Thu, 30 Apr 2009 22:51:59 +0000

New York’s Skadden has announced it will not raise salaries for counsel in 2009. Associates will not be affected.

The firm still intends to offer discretionary, merit-based bonuses.

Skadden is offering all its associates, about 1,300 worldwide, the option of taking one-third of their base pay not to work for a year.

The firm in March laid off an undisclosed number of staff attorneys and 50 support staffers. It has also launched a litigation program for its deferred incoming associates.

Skadden, Arps, Slate, Meagher & Flom LLP, founded in 1948, is a prominent law firm based in New York City. With over 2,000 attorneys, it is one of the largest and highest-grossing law firms in the world. Forbes magazine called Skadden “Wall Street’s most powerful law firm.”

Herbert Smith Targets 33 Lawyers, 51 Staff; Freezes Pay

Erik Even — Mon, 20 Apr 2009 18:34:25 +0000

Herbert Smith announced today it has begun a redundancy consultation at its London HQ, targeting 84 positions.

The redundancies target 24 fee earners and professional support lawyers in the corporate practice; 9 fee earners and PSLs in real estate; nine paralegals and 42 support staff.

Herbert Smith also announced that it is freezing pay for all London staff except trainees, whose salaries will be cut to £60,000 ($87,000) in September.

Some bonuses will be paid to support staff and fee earners.

Herbert Smith was founded in the City of London in 1882 by Norman Herbert Smith, and today has 230 partners and 1,200 fee-earners. It is widely considered to be the UK’s leading litigation practice.

Ashurst Freezing All Non-Partner Salaries

Erik Even — Sat, 14 Mar 2009 17:57:53 +0000

Ashurst has slashed pay for its incoming class, and is freezing salaries for all non-partner lawyers and support staff.

Trainee solicitors who qualified with Ashurst this month will receive salaries of £60,000 ($83,800), as opposed to the £65,000 ($90,800) last year’s intake received. All other lawyers and support staff will see their pay bands held at 2008 levels, despite progressing a year in qualification terms.

Earlier this month, the firm cut staff hours.

Ashurst has over 800 lawyers, including over 199 partners, in twelve countries. Founded in 1822, the firm was known as Ashurst Morris Crisp until it rebranded in late 2003.

Rumor: Chadbourne & Parke Layoffs Today

Erik Even — Tue, 10 Mar 2009 17:18:11 +0000

Chadbourne & Parke, which froze salaries in January, is laying off employees today, according to rumors in the blawgosphere.

If you know anything about Chadbourne & Parke layoffs, please send us a confidential tip!

We’ll bring you more news as the situation develops.

Chadbourne & Parke LLP, founded in 1902 by Thomas L. Chadbourne, presently has some 400 lawyers and tax advisers in 13 offices in nine countries. Chadbourne is probably best known for its global practice in project finance and energy, international insurance and reinsurance practice, multi-jurisdictional litigation in courts from Rhode Island to Russia, and corporate transactions.

McGuireWoods Cuts First-Years’ Salaries by 10%

Erik Even — Fri, 06 Mar 2009 17:45:26 +0000

McGuireWoods chairman Richard Cullen left a voicemail to his attorneys yesterday evening, announcing that first year salaries will be cut 10%, from $160,000 to $144,000.

Salaries for all other associates at the firm have been frozen at 2008 levels.

Cullen also announced that the firm is cutting its 2009 summer program to eight weeks. He does not anticipate any layoffs.

It is not known if he made any other important announcements by instant message, Twitter or passing notes in class.

McGuireWoods is based in Richmond, Virginia. Founded in 1834 in Charlottesville, the firm now has more than 900 attorneys and advisers in 17 offices in the United States, Europe and Asia.

Sheppard Mullin Admits to Stealth Layoffs

Erik Even — Tue, 24 Feb 2009 22:34:36 +0000

Sheppard Mullin, which instituted salary freezes in January, now admits it has been shedding attorneys since the beginning of 2009.

At yesterday’s meeting of the Sheppard Mullin Associates’ Forum, firm management announced that by the end of this week about 25 attorneys firmwide will have been let go since the beginning of the year. Some of these terminations were performance-related; others were true “lay-offs,” done in order to adjust professional staff levels in practice groups whose level of business has been adversely affected by the economic downturn.

The terminations have been carried out incrementally over the last two months, because firm management has very carefully assessed each associate’s performance in the context of the level of work projected for the associate’s practice group.

Sheppard, Mullin, Richter & Hampton LLP is an Am Law 100 law firm with over 520 attorneys in 10 offices in the United States and one in Shanghai. Its first office was founded in Los Angeles, California in 1927.

LexisNexis Freezes Salaries

Erik Even — Tue, 17 Feb 2009 17:02:15 +0000

Legal document archive firm LexisNexis has announced it is freezing salaries at 2008 levels.

In order to address what is shaping up to be a more challenging 2009, the senior LexisNexis management team, which includes the leaders of all business and functional units, has had to make some difficult decisions. These decisions include freezing salaries at 2008 levels across all of LexisNexis Group…Except for a promotion or when an increase is required by local law, no one in LexisNexis Group will receive an increase in 2009…

It is our sincere hope that these steps will enable us to otherwise minimize any job reductions to deal with the economic downturn. Of course, no one knows how the balance of 2009 will unfold.

ATL points out that Lexis already laid off 300 employees last April.

LexisNexis is a popular searchable archive of content from newspapers, magazines, legal documents and other printed sources.

Freshfields to Freeze Associate Pay

Erik Even — Tue, 10 Feb 2009 16:45:25 +0000

London’s Freshfields Bruckhaus Deringer informed staff yesterday that salaries for associates will be held at 2008 levels.

The pay freeze means associates will not progress through to the next pay band, leaving a newly qualified lawyer at the same salary after one-year post-qualification experience, when they would normally see a 10% rise in salary.

The pay freeze will apply to the firm’s UK, German and Asia offices, and also includes business support staff.

Trainees in the UK are partially exempted from the policy. Trainees qualifying in March will see their pay rise to £59,000 pounds, compared to the current rate for newly-qualified lawyers of £66,000 pounds.

The firm will continue to pay out performance-related bonuses. The pay bands will stay the same for the next 12 months with no mid-year review planned.

Freshfields is the first major UK firm to freeze salaries this year.

Freshfields Bruckhaus Deringer LLP provides business law advice throughout Europe, the Middle East, Asia, and the United States. It is the world’s fourth largest law firm by revenue.

Winston & Strawn Revenues Up, Profits Flat

Erik Even — Fri, 06 Feb 2009 17:31:09 +0000

Chicago-based Winston & Strawn saw revenues grow 6.7% to $744 million last year.

Profits dipped slightly to $1.27 million, while both gross revenue and head count increased after a record number of lateral lawyer acquisitions. Revenues grew to $744 million.

The firm brought on at least 58 lawyers in 2008. They also hired a record number of associates last fall, although the firm would not give exact numbers. Associate compensation for 2009 has not yet been determined.

Winston & Strawn LLP was founded in Chicago in 1853. It employs about 1,000 attorneys among 13 offices in the United States, Europe and Asia.

Chadbourne & Parke Freezes Salaries

Erik Even — Sat, 24 Jan 2009 17:00:49 +0000

New York’s Chadbourne & Parke has announced a salary freeze for 2009.

As you know, the world economic outlook for 2009 is uncertain. Accordingly, as a matter of prudence, the Firm is reserving decision on associate salary levels for 2009. We will make a decision on this matter within the next several months as the global economic picture becomes clearer.

ATL says bonuses will be on a “Cravath, half-Skadden scale.”

Chadbourne & Parke LLP, founded in 1902 by Thomas L. Chadbourne, presently has some 400 lawyers and tax advisors in 13 offices in nine countries. Chadbourne is probably best known for its global practice in project finance and energy, international insurance and reinsurance practice, multi-jurisdictional litigation in courts from Rhode Island to Russia, and corporate transactions.