McDermott Will & Emery has become the latest firm to increase pay for London associates, raising salaries for newly qualified (NQ) associates to $225,000 as competition for talent among firms in the City intensifies. Continue reading “‘At the top of UK associate compensation’ – McDermott hikes London NQ pay to $225k”
Associate pay reaches eye-watering heights as the war for talent at the top of the market goes further into the salary stratosphere
With all eyes on the upcoming election to see what a potential new government might do about the cost of living crisis, this May saw things get a little easier for the notoriously hard-done-by Magic Circle associate demographic, as their salaries reached new heights. Continue reading “The new £150k benchmark for Magic Circle associates – ‘rewarding the best’, or ‘slightly alarming’?”
Clifford Chance and A&O Shearman joined Linklaters this week in matching Freshfields’ NQ pay hike from £125,000 to £150,000, leaving Slaughter and May the sole Magic Circle firm still on the lower rate.
Freshfields Bruckhaus Deringer has broken ranks from its Magic Circle peers on associate salaries, increasing newly-qualified (NQ) pay from £125,000 to a new high of £150,000.
The move puts clear water between the firm and Slaughter and May, Linklaters, A&O Shearman, and Clifford Chance, all which pay their NQ lawyers £125,000.
The war for junior talent at the top end of London’s legal market entered a new phase of brinkmanship this year, as firms jostled for position after Allen & Overy (A&O)’s decision to freeze its associate rates.
A&O froze its newly-qualified (NQ) salaries in late June, citing a ‘more challenging business environment’. The firm typically reviews pay later in the year, but A&O decided to bring the decision forward. Continue reading “Stick or twist? City firms battle it out in NQ salary brinkmanship after Allen & Overy freezes rates”
Clifford Chance’s (CC) next cohort of newly qualified associates will take home £125,000 per year, after the firm bumped its starting salary by 16% to match that of Magic Circle rival Freshfields.
It is the first pay rise at the firm since November 2021, when a 7.5% increase brought salaries up to £107,500. Trainee rates have not been similarly altered however, with the first-year package staying at £50,000, rising to £55,000 in the second year. Continue reading “City talent tussle continues as CC matches Freshfields with £125k NQ salary”
The latest strategic move in the war for junior talent, Linklaters has introduced a significant overhaul of its lockstep pay model in order to attract and fast-track high performers.
The firm’s partners last week backed a wave of measures that bring Linklaters’ remuneration policy in line with the majority of the Magic Circle. The three key changes are: an extension at the top of its lockstep for partners who make ‘an exceptional contribution’, the ability to accelerate partners up the ladder who also make outstanding contributions, and more flexibility to elect ‘top talent’ to the partnership earlier. Continue reading “Linklaters ushers in lockstep shake-up to attract and promote top talent”
After posting resilient financial results in the wake of the pandemic, Herbert Smith Freehills (HSF) has recognised the efforts of staff worldwide by gifting everyone a 5% bonus at the same time as announcing its new senior partner, Rebecca Maslen-Stannage.
In a statement, HSF chief executive Justin D’Agostino said: ‘The firm is performing well so far this year. In recognition of that, we will be paying all staff globally a one-off financial payment of 5 per cent of salary, payable in March. I am delighted that all our people will be sharing in our good performance. This is an acknowledgement of their dedication and hard work, in the face of the tremendous disruption and challenges experienced in the last year. This special payment is made in addition to our usual 2021 bonus round.’ Continue reading “HSF shrugs off Covid concerns to reward staff with bonus as new senior partner is unveiled”
While it’s surprising in some regards that it took this long, Allen & Overy has done the UK legal market a favour by substantially re-setting compensation bands for its junior lawyers. The move, confirmed on Monday (22 June), will see starting salaries and bonuses for newly-qualified lawyers in London fall from the current benchmark of £100,000 to £90,000 for the intake starting in September.
Clifford Chance later that week announced more modest cuts from £100,000 to £94,500 for salary and bonus, while Slaughter and May had already pushed down its starting base salary to £87,000 for autumn starters, from £92,000. Continue reading “Resetting associate comp – Better to bend than break but a rethink is still overdue”
In a bold play for the Boston-bred firm, Ropes & Gray has increased its London NQ salary by 8% to £130k plus bonus.
The move means a notable uptick on the previous City NQ rate of £120k and present a boon for Ropes’ appeal to young lawyers at a time of internal transition and increasing competition in the market. Continue reading “Ropes ups the ante in the City talent war with £130k NQ pay package”
