More Wacky Rumor-Mongering: Skadden to $195K?

Quite some time has passed since our last unverified rumor about large New York law firms raising associate salaries. And hey, today is Friday. So let’s indulge!
The latest grist for the rumor mill comes from a fairly reliable source. We assure you that it’s NOT from a summer associate who, while barfing his guts out in a stall after too much Cristal, overheard two partners chatting at the urinals (although such a conversation, while violative of male restroom etiquette, might actually be pretty reliable).
Anyway, here’s the gossip:

1. Skadden is planning to raise starting salaries for its associates to $195K.

2. But it won’t be doing this anytime soon — not until the end of the year.

3. Consistent with Skadden’s current policy on associate compensation, the new salary scale will apply “across the board” — i.e., to all of Skadden’s domestic offices (not just New York).

So whaddya think of this latest scuttlebutt? Is it credible, or crazy talk?
Update: Lots of divergent views in the comments. Here’s one thing that we do know. If you’re at Skadden, you can use your technology allowance to buy… an iPhone! See here.
Earlier: More Rumors: NYC to 190!

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