Biglaw

Cravath Surpasses Associate Base Salary Scale Set by Milbank
Download PDF
1 Star2 Stars3 Stars4 Stars5 Stars (No Ratings Yet)
Loading...

money

Summary: Cravath has set a new standard for Big Law associate salaries. 

Cravath, Swaine, and Moore set a new bar with associate salary pay yet again. On Monday, the Big Law firm matched the first-year pay scale set by Milbank, Tweed, Hadley & McCloy, but they added $5,000 to $10,000 more for midlevel and senior associates, according to Law.com.

  
What
Where


In 2016, Cravath raised Big Law salaries by $20,000, from $160,000 in starting pay to $180,000. Last week, Milbank announced that it was giving first-year associates $190,000, and the industry has been on watch ever since.

Before Cravath’s news, Proskauer Rose, Simpson Thacher; Winston & Strawn; and Selendy & Gay matched the Milbank scale; and other firms are expected to do the same.

Cravath’s new associate base salaries will go into effect on July 1st. Not only does the firm plan to raise associate salaries, but it will also increase the amount of mid-year bonuses. Last week, that increase was set by Simpson Thacher & Bartlett.

Get JD Journal in Your Mail

Subscribe to our FREE daily news alerts and get the latest updates on the most happening events in the legal, business, and celebrity world. You also get your daily dose of humor and entertainment!!




The Cravath salary scale:

  • Class of 2017 — $190,000
  • Class of 2016 — $200,000
  • Class of 2015 — $220,000
  • Class of 2014 — $255,000
  • Class of 2013 — $280,000
  • Class of 2012 — $305,000
  • Class of 2011 — $325,000
  • Class of 2010 — $340,000

Cravath Mid-Year Bonus Scale



  • Class of 2017 — $5,000
  • Class of 2016 — $7,500
  • Class of 2015 — $10,000
  • Class of 2014 — $15,000
  • Class of 2013 — $20,000
  • Class of 2012 — $25,000
  • Class of 2011 — $25,000
  • Class of 2010 — $25,000

Last week when Milbank’s salary increase was announced, Milbank chairman Scott Edelman told Law.com that his firm was paying more to show its associates that they were valued. While attorneys working within Big Law firms may be excited about the bump in pay, some in-house counsel told Law.com they felt the decision was “tone deaf.”

“I find it unfathomable that not just one but many law firms believe that a first-year associate coming out of law school would command such a high starting salary,” an anonymous legal operations director told Law.com. “The tone deafness is astounding. We as purchaser of legal services keep asking our firms to bill based on value because that is what we want to buy, not hours. They respond by raising rates across the board. It is no wonder that the largest-growing segment in the legal industry over the past few years has been the role of in-house counsel.”

Other law firms are expected to match the new scale set by Milbank and Cravath. Before Cravath raised the first-year salary amount to $180,000 in 2016, Simpson Thacher & Bartlett LLP had set the standard in 2007, raising the amount from $145,000 to $160,000.

What do you think of the new associate salary scale set by Cravath? Let us know in the comments below.



 

Interesting Legal Sites You May Like


BCG FEATURED JOB

Locations:

Keyword:



Search Now

Commercial Litigation Counsel with Portable Business

USA-MI-Birmingham

Detroit area office is seeking a counsel level commercial litigation attorney with $200,000+ in port...

Apply Now

Senior Labor and Employment Litigation Associate Attorney

USA-CA-Los Angeles

Los Angeles office of our client seeks senior labor and employment litigation associate attorney wit...

Apply Now

Immigration Attorney

USA-DC-Washington

Washington, D.C. office of our client, a Chambers ranked law firm, is actively seeking associates to...

Apply Now

RELEVANT JOBS

Associate Attorney

USA-VA-Virginia Beach

Multi-state law firm specializing in high-volume civil litigation of consumer debt seeks an entry-le...

Apply now

Associate Attorney

USA-TX-Houston

Multi-state consumer collections law firm seeks an associate attorney to manage high-volume civil li...

Apply now

Transactional Attorney

USA-OR-Portland

Chenoweth Law Group seeks an experienced transactional attorney to join us in our downtown Portland ...

Apply now

Assistant General Counsel, Corporate

USA-TX-Houston

Assistant General Counsel, Corporate Based in Houston, Texas, this position has responsibility ...

Apply now

SEARCH IN ARCHIVE

To Top