Over at Kenyon & Kenyon, the prominent intellectual property law firm, it’s the best of times — and the worst of times.
It’s the best of times for incoming associates, who will be earning the new market rate of $160,000. It’s the worst of times for the ex-Kenyon associates who are now looking for jobs.
Our take is that Kenyon is trying to keep up with the Simpson Thachers (or Fish & Richardsons) of the world, but getting winded by the effort. Yes, it’s raising salaries; but it’s not doing so until much later in the year. And it’s shedding associates at the same time, maybe to free up the payroll for raises.
Here are the details:
1. The firm is raising salaries for entering associates, but it’s not doing so until September 1. Here’s the email:
From: Birde, Patrick
Sent: Wed 2/28/2007 3:48 PM
To: ~Attorneys (All)
Subject: NOTICE: Re: $160k Entry Salary
This is to advise you that our first year associate salary will be raised to $ 160K effective Sept. 1, 2007. Also, the Firm is in the process of revising the pay structure including the bonus system for all Associates and Counsel.
2. The firm has laid off associates. On January 11, the firm laid off 16 lawyers, according to partner Patrick Birde (who kindly responded to a fact-checking email we sent to him).
3. There was a rumor going around that the layoffs were made without warning. But according to Birde, this is incorrect:
[S]ome of the attorneys involved were already on probation and others were aware of issues with the firm brought to light during the review process.
4. The firm informed these 16 individuals that their names would remain on the firm website until March 15. (We’re guessing this was done to facilitate their job searches.)
So that’s the 411 on Kenyon. Feel free to discuss this news — or other associate compensation developments, since our last open thread was a while ago — in the comments.