This means you do not advance to a higher salary tier next year, no firm needs to announce that they are not raising salaries across the board.

You're right. That's gotta be what it means. Sucks to be there.

Lat with a typo? And no one cares?

::doesn't care either, just sayin'::

pay freeeeeze

I don't see an ambiguity here. Nobody is getting a pay raise next year, e.g., class of 2007, who are starting their second year, will still earn a salary of 160k.

This obviously means a salary freeze. Reading it any other way is painfully obtuse. As if firms send out firm-wide memos to announce that if salaries hypothetically go up, they won't match.

Are salaries really under any pressure at all to go up? Does Lat read ATL?

Pay freeze.

I hope people aren't idiotic enough to really complain about this kind of thing in light of the number of layoffs that have been going on.

I don't think the problem is that the memo is ambiguous. The difficulty regards reconciling the obvious correct reading of the memo with reality-- i.e. what does this mean and what can we look forward to over the next weeks and months at Squire Sanders and elsewhere?

Duh Lat. It means you make the same in 2009 as you did in 2008. Duh.

so is the suggestion that next September, 1st, 2nd and 3rd years will have the same pay? Assuming no salary changes mid-year and no roll back to 145 for incoming 1st years?

It's a pay freeze...maybe that explains your numb nuts. Sheesh, reading comp was 1/3 of the LSAT.

I'm still trying to see the double meaning of this memo. This memo is probably the clearest of all documents that firms have recently distributed.

i.e. pay free for '09.

The Glass Cock is a partner and will explain the memo to the rest of the world:

Dear associates-

Thanks for the hard work, but you know that economic boom that allowed you to extract higher wages as the firm grew revenue and became more profitable? Welcome to the other side of that equation.

Now suck it.

Regards,

The Glass Cock

Elie: How about a report on the Squire Sanders associate who sent out the following email today to the all US attorneys mailing list that read:

"You guys want to go to a movie for lunch or something?"

While textually ambiguous, in context this means a cram-down: the class of 2007 will be advanced to second year status on 1/1/2009, but will instead of getting the $170,000 salary that second year status garnered last year, 2009's second years will now be stuck at $160,000 . . . and so on up the chain.

Incidentally, PPP will also be "frozen" at 2007 levels.

16 nailed it.

Nailed it like the angry fist of H. Rodgin Cohen, 16 did!

What about Paul Hastings?

19-
Paul Hastings is using a combination of stealth layoffs, Mexican assassins, and selective lead poisoning to thin the ranks. No decision on pay raises yet. Stay tuned and avoid using coffee mugs from the break rooms.

LOL @ squire attorneys who "can't" figure out what thx memo means. Talk about wisful thinking... A better faculty for detatched analysis might have led to employment with a better law firm.

Of course Squire Sanders will be freezing all associates' billing rates as they're promoted too.
.
.
It was so obvious that it went without saying.

So congratulations, SSD clients: all of your timekeepers' rates will remain constant as they are promoted this year.

Another way of looking at it is that they are "determined" to make payroll by instituting a hiring freeze, but that determination could fall short, resulting in something worse.

Dumb crackers can't read? Since I speak jive, allow me to translate

Yo, whitey, not only is you ain't gettin a raise, you gonna be forking over even mo of your paycheck when my baby dadda take over! Ain't dat a muthafucka, now you know what it's like to be bent over by the man!

Any more questions, crackers?

and by hiring freeze i meant pay freeze...damnit, now I can't read this thread anymore without being ashamed of my own stupidity

10:41 - I've been staring at this for the longest time. Where is the typo?

Man, I wish M'Obama could take on the Glass Cock - that would be HAWT. Sidley HAWT.

What this means is that Squire Sanders is low on money and is going to address it via cram-down of associate salaries.

The only problem the tipster has is refusing to believe his raise just evaporated.

It would have been clearer if the memo had said "associates' [plural, possessive] compensation":

"The Firm has determined to maintain US associates' compensation for 2009 at 2008 levels."

NY to 190.... for FOURTH-YEARS!!!

24--racist trolling on a legal blog? Really?

Commenter 24 is a longstanding inside joke at ATL, who makes fun of racist posters through satire.

Still not a winner, 29. "The Firm has determined to maintain 2009 class compensation for U.S. associates at 2008 levels," is somewhat better, but there's still an argument that it means that each class will receieve the called-for increase, rather than some different amount.

To really nail it, I think they'd need to give an example ("i.e., the class of 2007 will continue to be compensated at a base salary rate of $160,000 per year") or at least say something like "no class year salary advances will be paid in 2009."

This reluctance to come right out and say "we will not be paying you your previously scheduled salary increases in 2009, leaving you (for now) at your current 2008 compensation rate" makes textual clarity hard to acheive.

26: "We have an inquiry into Squire Sanders partner..." should read, "We have an inquiry in to Squire Sanders partner..."

I really hope the Squire Sanders tipster is not involved in litigation or any context that involves discerning the meaning of words on a page.

Christ, are all of you for real? I take 35's comment and apply it most of you here. Sometimes, a duck is just a duck. Saying that the firm will maintain US associate COMPENSATION for 2009 at 2008 levels is very different from maintaing US ASSOCIATES at 2008 levels. Good thing I read this with drink in hand.

34, also add "your attempts to parse this language are welcome in the comments". SHould be "welcomed". Just saying...

You guys know what happened to Douche Patrol? Remember him? Right about now, he'd say something like: "No. 18 -- YOU are a DOUCHE!" Or something along those lines, at least. I miss him -- where is he?

11:52 - No, you're wrong. Either is acceptable. If anything, "welcome" is superior to "welcomed."

E.g., "You are welcome in my home."

Thanks, 39. Definitely time to shut down. The longer I stare at the word "welcome" the weirder it looks.

At least you get a memo. Word is K&L Gates has decided to freeze salaries, but we don't expect to find out officially until after March 15th when our pay does not increase and the "talanted" 1st years are making the same as my class that has already paid dues for a year.

Who are Squire Sanders people? I've never heard of this firm.

Isn't Squire Boone Sanders a San Francisco firm, and if so, why haven't they imploded yet. San Francisco lawyers can't manage their way out of a pissed soaked paper bag.

43--you are crass, but probably not wrong about San Fran leadership.

One. ONE more firm announcing a pay freeze.

- Count Layoffula Impostor.

Where have you gone Count Layoffula? Our nation turns its lowly eyes to you. Woo Woo Woo.

The memo is clear. Examples probably weren't used because SSD has offices in multiple markets, not just the big 4 (NYC, CHI, DC, LA), and no one wants to remind the Cleveland Associates that on top of not getting a raise this year, they still aren't getting the $160K the NYC kids are getting...

Just as nobody wants to let slip to the NYC Associates that COL Calculators exist

Back during the last down turn around 2002 or so, SSD actually would scale DOWN your salary if you didn't make minimums the year before. So you had situations where a fourth year could make more than a seventh year. Never mind that it was the partners who weren't bringing in enough work but I suppose it beats fake performance terminations.

47: NYC Associates have different measures of QOL than associates elsewhere. People know how to count.

major layoffs at gunderson dettmer today. they were going to layoff the people last week but the day they were supposed to lay them off on ended up being the day of one of the christmas parties, so they pushed it back to today. THe affected associates are getting 3.5 months of severence...and do not have to work, which kind of sucks since they won't be able to say they're lateraling as opposed to being fired.

WHERE DA FUCK IS MY MONEY AT?

- Quinn Emanuel associate

22 is wrong. Associates, though paid exactly what they were paid in 2008 for base salary, will be advanced in seniority, so the clients will pay billing rates in 2009 for the next class year of seniority, and on top of that, those billing rates will be increased a further 5% or so as against 2008 rates, so SSD is getting doubly more bang for its buck from each associate.

Oh, and for some unfortunate ones whose seniority puts them into a new category (say 5th years going to 6th year), they will have to pay an increased share (nearly double) of their medical, dental and vision insurance coverage (pre-tax dollars though), so in effect they are actually making less into their pocket at the end of the day than they did in 2008! But, hey, at least those associates have employment (for now, at least, whoever said anything to rule out a second round of layoffs?), however pathetic, going into 2009...

OUR FIRM JUST DID ACROSS THE BOARD SALARY FREEZES AS WELL, with limited exceptions for high performers of $5K. YIKES! we are all thankful to be employed though, which is why our firm name has not been publicized on ATL.

50: Can't they say they still work at GD, though?

Honestly, finals are over, stop looking at this site. This firm locks in salary for its associates (and I assume staff, and without even a COLA) and the first 40 comments are pointing out that this is what the fn memo means! Christ, get a job.

Translation: you fucks are already over paid. You're lucky to have a job shuffling papers around for 6 figures. Now bill some more horse shit hours so we can further milk our corp clients. I think that's pretty much it.

it means that if an associate is being paid 200k now, he will be paid the same amount in 09, and will not advance in the pay schedule.

This memo is crystal clear: you will be getting paid the same base in 2009 that you received in 2008. There really isn't any room for argument. If someone at SSD could explain their confusion (in a coherent manner), I would love to read it...

Bottom line: such an important memo should be gooder written.

I'm tired of these MOTHERFUCKING partners taking away our MOTHERFUCKING salary increases.

It's not at all surprising that the tipster couldn't understand the memo - after all he does work at the TTT Squire Sanders.

Gotta love the fat cat partners screwing associates out of well-deserved compensation. Fucking Vultures.

strikes me as a pretty bone-headed memo. But perhaps there is a rationale.....how does SSD's salary scale match up with Seyfarth? Maybe they would need to take steps to realign salaries in any merger in any event.

45 - Lonely, not lowly.

goddammit, you people. 52 has it right. while the memo is easily read one way, it is *possible* to read it another way. and any memo that takes 4 paragraphs to state the obvious must be analyzed as potentially having deeper meaning than the words written on the page.

read 52's comment again. one view of compensation is that it includes "benefits" - such as paid days off (we call this "vacation" or "sick time" - perhaps you do too in your TTT firm), the opportunity to purchase health and life insurance, etc.

so the point that all the fucking haters need to take away from this post is that if this firm is going to "maintain compensation at 2008 levels," does that include maintaining premium charges for insurance, does it affect the rate at which vacation is accrued? there is an exponential increase in insurance premiums once an associate finishes her fourth year at the firm. is the firm going to hold the class year in addition to the compensation? this is a simple fucking logical question that the firm surely must have anticipated being asked when it published this memo. yet it deigned not to. but the question is still raised.

i think the tipster was trying to make the point that such an important memo to the associates could/should have been written with more care and less obliqueness. if i was a client and i was handed that piece of paper as work product, i would have just handed the shit back and asked them to write it again in plain English addressing whether all elements of compensation are affected, and what other elements of an associate's status are affected - including whether an associate advances in class year. the only good thing about increasing in class year is a raise in salary, as the chances of making partner in a reasonable time frame are so laughable as to not bear further discussion (particularly if you are not a hayseed attorney from ohio who thinks she is on a par with NYC firms). so if you aren't going to increase salary, then just leave our class years alone as well, please.

which is just the point 52 made.

the memo is clear to you if you read the words on the page. however, if you engage your brains, some of you will quickly realize that the wording is actually vague, perhaps intentionally so, and the potential for being fucked by the firm runs deeper than simply holding your salary at the same level for next year.

some of you fuckers are far too quick off the mark to show how brilliant you are after having sat through 90 days of law school and now feel like perry fucking mason. slow down and think about the situation before you start shitting all over the page.

65: I'm sorry your salary is being frozen.

When do Jones Day compensation letters go out?

This would never happen at Big Law Texas.

I'm sure this means that not only will billing rates not increase (vs. the usual 5% across the board), but that each associate will continue to bill out at his/her current rate (i.e., no increase to next class level in January). Right? Right....

1 <3 65

69: No. At MWE they increased associate billing rates way back in October, and are not even putting associate salary raises on the table until March.

The lockstep increase are THE only reason I am here.

*starts polishing up resume*

yes there are jobs out there. even IN THIS ECONOMY

Looks like Elie's subpar work is rubbing off on Lat. No ambiguity to this memo. It's a pay freeze.

29:
The memo should have read: "the firm has determined to maintain each US associate's compensation for 2009 at the associate's 2008 level. US Associates that start in September 2009 will take whatever we give them because they have not alternative."

Then the ambiguities in the memo that cut in favor of firm management are the following:
Do the US associates billable rates still increase next year?
Will there be a make-up or leapfrog of pay when the economy rebounds or are all associates permanently cut a year?
Are the associates eligible for bonuses in 2009 based on the number of years out of law school?
Etc, etc.

73, I hope you never litigate my contract claims.

Seems clear that there won't be an increase in US Associate salaries for the 2009 year, e.g., second years will make this year's first year salary, third years will make this year's second year salary and so on.

#20 is funny. more posts like that.

Is it possible if things get better that next year or thereafter people will get basically double raises to put them back on the old scale or is this in effect bumping everyone down on the scale forever?

Shouldn't we just be happy to be employed in this economy? I'm sure any one of the numerous laid off attorneys would be happy to take a position at Squire, or anywhere for that manner, with or without pay freezes. Let's be happy for what we have, not pissed that we aren't getting more. Tis the season.

And no, I don't work at Squire, but I do have some friends who do.

****IMPORTANT NOTICE****

Every major firm will end up freezing associate salaries in 2009.

Latham will announce shortly that they are also freezing salaries and thereafter every major firm will follow (and why shouldn't they?)

****IMPORTANT NOTICE****

Every major firm will end up freezing associate salaries in 2009.

Latham will announce shortly that they are also freezing salaries and thereafter every major firm will follow (and why shouldn't they?)

Latham too. yay.

We're meeting in a little over an hour from now to hear that our firm is freezing salaries too.

Latham is paying associates in 2009 the same salary level each class was at in 2008 FIRMWIDE.

Be thankful to be employed. A pay freeze is hardly earth shattering development in this wretched economy we are in the midst of. Hundreds of thousands of American white collar and blue collar employees are losing their jobs for good. The legal market will eventually rebound and any attorney worth his/her salt will have gainful and well-compensated employment opportunities.

Be thankful to be employed. A pay freeze is hardly earth shattering development in this wretched economy we are in the midst of. Hundreds of thousands of American white collar and blue collar employees are losing their jobs for good. The legal market will eventually rebound and any attorney worth his/her salt will have gainful and well-compensated employment opportunities.

61 - What does TTT mean?

61 - What does TTT mean?

87/88: TTT = third tier toilet.

Can someone explain how the firm can decide to freeze salaries then increase my billing rate by 10%

Can someone explain how the firm can decide to freeze salaries then increase my billing rate by 10%

Wow - I'm way behind the curve commenting here, but just tried to email an old high school classmate at Sanders, only to find he's not there anymore . I did some of the Google thing on whether his firm laid off lawyers. I wound up here.

You prople are rather amusing. I have now lost .5 billable hours reading this. You'll all be getting a bill for your proportional share. Parse that.