Ince & Co has made use of its new bonus pool for the first time, with the firm allocating around one third of its profits to reward high-performing partners for the 2016/17 financial year.
Legal Businessunderstands the use of the bonus pool has shifted the firm’s equity spread from £140,000 – £430,000 in the financial year 2015/16 to £140,000 – £550,000.
The bonus pool – which can see up to a third of the firm’s profits injected into it each year – was introduced in May 2016 and was introduced alongside a basic ten-step lockstep system, which ranges from £140,000 to £240,000, for a new all-equity partnership. The new hybrid remuneration model allows for a base profit share per partner, with a performance tranche element allocated to each partner in recognition of their contribution.
The firm managed to grow its revenues by 16% during the 2016/17 financial year following three-years of decline. Ince posted a top line of £88.5m, up from £76.2m. Stripping out the FX effect, the firm saw 10% revenue growth in real terms.
In July Legal Business revealed Ince is now offering its City lawyers the option to choose a different career path from partner track and was overhauling its international associate pay structure.
Lawyers will now progress up a four-step career ladder applicable to trainees, associates, senior associates and managing associates. Individuals will move up once they have demonstrated a set of key competencies, rather than progressing to the next level year-on-year. High-performers could also take home performance bonuses worth between 10-25% of their salary.
Lawyers who reach the level of managing associate will be given the option of taking up the new role of legal director, instead of moving up to partner.
The initiative was rolled out in London on 1 May with the expectation that the system will be implemented across the rest of the firm’s 13 offices at the start of the next financial year.
Ince declined to comment.