In the wake of HMRC’s tax changes which have seen fixed-share partners (FSP) contribute capital at a slew of LB100 firms and many reassess their partnership model, Eversheds has reformed its fixed share scheme by allowing some FSPs to vote in firm elections and take home an increased profit share.
The scheme will enable a group of senior FSP’s to vote in the election of the firm’s chairman, chief executive and board while also providing an opportunity to buy into a profit pool worth up to 20% of their remuneration.
The change comes after a 12 month consultation which looked at creating a more transparent approach to the FSP system and build a stronger connection between reward, banding performance and partner participation.
Commenting on the changes, which came into effect on 1 May, Eversheds managing partner Lee Ranson said that the fixed partners were an extremely important group, and central to the firm’s continued success.
He added: ‘After an extensive period of consultation, we have developed a new enhanced approach to rewarding those partners that has strong support across all levels of the firm. It is an important step in developing an even more transparent approach to remuneration and one that more clearly links performance to reward and enhances partner engagement.’
Taylor Wessing recently announced it would move to an all equity partnership, also on 1 May, while Mishcon de Reya has plans to convert this summer.
Meanwhile, the firm has expanded in Asia with the appointment of Muna Dandan – former head of legal for Barclay’s retail and commercial banking business in the Middle East – as head of the firm’s financial services disputes and investigations (FSDI) practice in Asia.
Dandan, who also joined the firm at the start of May, was, before his role at Barclays, deputy head of legal at property development company Nakheel PJSC and an in-house legal adviser for HSBC in the Middle East. Dandan also worked in private practice at Reed Smith and Baker & McKenzie, advising banks and large multi-national corporates on general commercial litigation.