Ropes & Gray is looking mighty healthy these days. As we reported earlier, there was no freeze for the Boston-based firm; their associates got class year raises as expected. And this week, the New York Observer reports the firm is stretching out its legs in New York, taking a new floor in its 1211 Avenue of the Americas building:
The law firm activated a provision of its 2005 lease of 250,000 square feet that allows it to take an additional floor in the tower… The lease gives Ropes & Gray the 32nd floor, which the Royal Bank of Scotland recently gave up, in addition to the space it occupies on floors 35 through 40 in the 45-story cloudbuster.
Up, up, and away, says Ropes & Gray. While bonus season suggests the New York market sucks is weak, Ropes spokesman John Tuerck says:
We see New York as a key growth market, and this signals our intent to continue expanding there… It’s a core element of our strategic plan to keep growing in New York.
Ropes has a “diversified client base” in New York, says Tuerck, and a good cross section of practice groups there, including (but not limited to) debt financing, IP litigation, government enforcement, and private equity.
More on Ropes’ plans to take over the world (or at least New York, Chicago, and Asia), as well as the Ropes class year raise memo, after the jump.
An NYC Ropes associate tells us:
we have 6 floors now & are in the process of building out another. rumor is that we have rights for another beyond that, but no idea. the big-wigs have said that they envision ny being bigger than boston in a couple of years.
The firm currently has 550 associates in its Boston office and 304 in its New York office. We have to note that Tuerck was annoyed to read the Observer’s description of Ropes as a “Boston corporate law firm.” Ropes is certainly in an expansive mood– a bigger office in New York, and according to Tuerck, new offices opened in Chicago (13 associates) and Hong Kong (6 associates) in 2008, and in Tokyo (8 associates) in 2007.
Law Firm Expands by 40K Feet in 1211 Avenue of the Americas [The New York Observer]
ROPES AND GRAY MEMORANDUM
From: Malt, R. Bradford
Sent: Wednesday, January 14, 2009 9:44 AM
To: Malt, R. Bradford
Subject: 2009 Base Salary
We are pleased to announce that base compensation for partnership-track associates in 2009 will reflect normal seniority increases as follows:
Class Base Salary
2008 $160,000
2007 $170,000
2006 $185,000
2005 $210,000
2004 $230,000
2003 $250,000
2002 $265,000
2001 $280,000
2000+ $290,000
Consistent with our normal practice, we will make total compensation determinations in December. In light of adverse business conditions in many markets in which we practice and the recent decline in overall activity levels, we cannot predict whether or in what amounts bonuses will be paid in 2009. Although we are confident that our diversified practices and client base will serve us well during the downturn, as a matter of prudent budgeting associates should not assume that bonuses will be paid at historical levels.
We very much appreciate the dedication and talent of our associates. We are grateful for the extraordinary effort that you make on behalf of our clients and your significant contribution to the firm’s success.
R. Bradford Malt
John T. Montgomery
LAST!!
Pretzels
fifteenth!
HOOCHIE. MAMA!
Not enough about Cahill layoffs. Didn’t read.
echo 2 – pretzels. seriously. pretzels. so salty they’re making me sixthty
When are we going to hear something about the layoffs at Cahill?
Awesome. Awesome to the max.
i was told in my interview with a partner there that they’re looking to double the size of their new york office within 5 years or so…maybe that was true
more like Ropes & GAY!!!
is there a copy of the no salary freeze memo?
Anything on the Lobster RUMORS?
they cut way back on SA hiring like most, but things are looking up in chi-town. PE clients like that they have a new option instead of the KE monopoly.
Avenue of the Americas? Where is that in relation to Sixth Avenue?
“Ropes and Chains” har har har.
Go back to Texas, 14.
Slopes and Gays
Must be Lat’s old firm.
GP>RG
go away 18.
14 = Mangina Dentata
18 obviously works for GP. No rational human being would believe that otherwise.
SLAP CHOP!
If the allegations surrounding GP have any merit whatsoever, then 18 is credible. Otherwise, he’d never make such a claim.
This website’s really jumped the shark
This website’s really nuked the fridge.
23- the allegations that GP is on the rise or that GP is not freezing salaries?
10, agreed
BITCH SPREAD THE ROPES SO YOU DON”T LOOK SO GRAY!
Any word on Ropes Gray hiring laid off Cahill associates?
Wait, Cahill had layoffs?
I would eat a lobster out of Kash’s ass if the need arose.
23: But bigger does in this case not equal better.
13 is incorrect (about them cutting back, not that most firms are cutting back).
23 – explain yourself.
31 – Did you take your meds today?
Ropes also has longstanding plans to expand its space in Boston, moving to the Prudential building in 2010.
I want to hear more on the rumors of a Lobster dinner in Kash’s ass.
How many people got laid off at Cahill?
I think 33 is correct. I doubt that R&G cut back much, if at all, on its summer class for next year. (And it had a big one last year.)
Wow, Kash posted this from THE FUTURE!
Ropes is raising rates across the board in IM.
I would eat a Lobster out of Kash’s ass in the future, if the need arose.
lol 40
Any word on whether Ropes is laying off Cahill associates?
NY to 190K!!!!!!!!!!!!!
this whole thing sounds a little squirrely to me
Who rocks? Kutak Rocks!
What’s Cahill?
Whats a “SLAPCHOP”?
Smells a little fishy to me.
Truly, the comments on this board have become unreadably inane.
I would like to know where I can find in the Seamless Web the option for lobster in Kash’s ass.
TIA.
Kash’s Ass Lobster sounds delicious. I want some too.
douche > 18
You can only get Ass Lobster at Ropes and Gay.
55 trying to combine two crappy jokes into one really crappy joke = FAIL
Whats with all the Lobster comments all of the sudden?
KASH SPREAD DEM BUTT CHEEKS SO I CAN EAT THAT JUICY LOBSTER INSIDE!
37: It’s slathered in butt(er).
I am getting so hungry now. damn it.
Goodwin recently opened 5 California offices as well as offices in Hong Kong and London, and moving to the NY Times building in NYC.
Pretty sure they are expanding more than Ropes is.
Goodwin also apparently just laid off about 30 associates over the course of 6 weeks.
Pretty sure that’s 30 more than Ropes laid off.
Agree with 61 – Goodwin is definitely expanding recklessly.
Walked right into that one, 61.
61: So, you didn’t get an offer at Ropes. GET OVER IT.
61, expansion > overexpansion. Does Goodwin really expect to generate enough business to support five new California offices, especially in this economy? If anything, that just seems reckless to me.
Plus, GP is distinctly second (third?) fiddle to Ropes and Wilmer in Boston, and not considered particularly strong in any other market either. This is in contrast to for example, Ropes NY which has a very strong IP practice (having taken over Fish & Neave) or Wilmer DC in general. What’s the rationale for expanding a so-so brand thin across new offices? Wouldn’t it make more sense to strengthen the Goodwin name in its existing markets first?
Plus, all the chatter / speculation about GP stealth layoffs on the other Boston thread would make me nervous about their prospects.
Is GP going to step up and match Ropes?
Ropes also just started a litigation practice in their San Francisco office and has plans to expand it.
yes, but who has better looking associates, GP or RG ?
Andrews Kurth Salary Freeze
What’s up with the other Boston powerhouse, Suillivan & Worcester?
I’m glad that Ropes froze the salaries of all non-attorneys at the firm. Anything to keep the minions happy I suppose.
Any rumor mergers for Ropes?
72, there is a difference between staff and attorneys in terms of salaries. Staff usually get year-over-year raises to cover increased cost of living. But, who thinks the cost of living is going up from 2008 to 2009?
In contrast, associates get raises because they are more valuable. E.g., an third year can do more, and charges more than a second year. So, giving them a raise reflects the increase in revenue they generate (since billing rates have been increased to reflect the higher level of service).
74 — Do you really think a paralegal who’s been doing the job for three years doesn’t have more value than one who’s been doing it three weeks? I know billing rates and all, but talking about value in terms of work performed?
75 — Firms don’t think about value in terms of work performed.
75 — I see your point, but still think 74 is correct. Staff billing rates and responsibilities simply do not increase anywhere as rapidly with seniority as associate billing rates and responsibilities do. Junior associates and mid-level associates have little in common in terms of responsibility — many mid-levels head up smaller deals, are the point person for the client, are in charge of parceling out work and supervising the progress of junior associates doing said work, etc.. I don’t think the same can be said for paralegals. Even the most experienced paralegal, while extremely valuable, is going to doing the same basic kind of work as most less experienced paralegals.
Also, keep in mind that this (at least now) is a one-time salary freeze. Your example of the third year paralegal vs.the third week paralegal would only apply if Ropes froze staff salaries for three years. Lastly, there are different positions for paralegals (ex, senior paralegal) that I bet do have higher pay rates. Not being a paralegal, I don’t know the criteria for being promoted to that position, but I imagine it’s very much attainable for paralegals who have done good work for a certain number of years.
Ropes has been the top firm in Boston for a hundred years or so. This is just more evidence as to why. I was considering ditching my NYC v10 and heading to boston, but I might just cruise up the street instead.
74 & 77: Ropes froze staff salaries, but in the case of paralegals, still went ahead and increased their billable rates. It would seem Ropes thinks its clients value the paralegals more than Ropes does itself. I also don’t think you have a firm grasp of the levels of paralegals:
entry level: doesn’t know a damn thing about anything…not much use for a few months
senior level: knows as much (and perhaps more depending upon the practice area) as a third year associate as far as deal/project management. This position is expected to mentor all levels of paralegals as well as first years.
75: I think you simply haven’t had any good, experienced paralegals helping you out. Trust me, you would know the difference.
Anyway, I don’t mean to piss on anyone’s parade here, but I do hope the Ropes associates keep in mind their good fortune.
78:
Why on earth would you want to live in a cold wretched TTT city like Boston over NYC?
Its funny, I was walking around NYC today, but I didn’t see any t-shirts and flip-flops. Good thing I’m not in cold wretched Boston.
-Not 78
cold, yes
but at least filled with good looking people and amazing culture
boston is a jumped up 2nd tier city / college town filled with the detritus of the white race
i love how people say “all the chatter about X or Y”
you realize that 90% of the time there is “chatter” about layoffs, its the same 1-2 people posting over and over throughout the day, making it look like a dialogue and confirmation?
I could pick a post tomorrow and comment every 30-40 minutes in a different style and tone and start and confirm and reconfirm rumors that firm X is having layoffs and by 5pm people would be posting things like “yeah and there is lots of talk about layoffs at X.”
It’s not that hard to manipulate anonymous commenting to suit any interest.
When it comes to Boston, you can bet your life savings that 90% of the anti-Goodwin talk is from Ropes/Wilmer people, and the same goes for anti-Ropes and anti-Wilmer talk.
82,
Are you complimenting or insulting Boston? Your second sentence appears to compliment it, while the third insults it. Please advise.
For what it’s worth, I think Boston has much more attractive and friendlier people than NYC – on average. Sure, you’re much more likely to see a stunningly attractive New Yorker but also much more likely to see a heinous one.
Why are they expanding? The 1st and 2nd years i have talked to there have been idle for months. I wish them luck.
85, feel bad for them them and for the ten thousand summers from this year and last
Who else raised in Boston and paid Cravath bonuses? Obviously Skadden (w. big bonus), Proskauer, Weil, Mintz and Ropes . . . anyone else?
I wanna put my tongue in Kash’s ass.
Mintz did not raise salaries.. they froze base salaries across the board. No layoffs yet.
74, 77, & 79 – To clarify, Ropes froze all staff salaries and raised the billing rates for all billers (attorneys and staff). They’ve also started to let people go for performance reasons.
The ‘expansion to the Pru’ is comical. Only 50,000 more square feet than they have now and at the projected rate of attorney hiring over the next two years, they have already outgrown the new space. They are looking to cut over 100 staff positions before the move.
90 – It’s possible that some people are being asked to leave for performance reasons (reviews did take place in November) but the number of people being asked to leave is not inconsistent with past practice even in the best economic times.
As for the “looking to cut over 100 staff positions” claim, I haven’t heard this but, if it’s true, the firm likely won’t need to resort to layoffs to achieve that degree of attrition, as there are many staff members who do not want to make the move to the pru and plenty of people will also be retiring before or around that time
91 – they are taking a much harder line on performance than they have in recent years. The numbers of departures over the next 6 months will tell the tale.
They were hoping for retirement attrition and folks not wanting to make the move to the Pru to take care of a good chunk of their 100+ staff positions, but thanks to the economy, many folks are delaying their retirements. I hope they won’t have to resort to layoffs, but they definitely have a number of positions to eliminate before the move.
I wonder how many of the firms who raised attorney salaries also froze staff salaries. When the market does open up, Ropes won’t have to worry about eliminating jobs, staff will be fleeing like rats from a sinking ship. Especially if the summer associate season is obscene.
How do we know that Ropes froze staff salaries? The only place I’ve seen it is in the comments on this article. Was there a memo or something?
In my 3 years of law school there I came to learn that NYC is nothing more than a miserable tourist and rat invested hell hole. 8 million douchebags. Not worth the 2 degree bump over boston. I chose Ropes over cravath 2 years ago and couldnt be happier.
93 – I am staff at Ropes and they froze salaries.
Goodwin’s overexpansion with **5** new offices in California (including 2 in LA–now that’s efficient!), together with their huge debt in moving to brand-new offices in NY, does not bode well. And they started their “stealth” layoffs well before November. Watch their associate count continue to drop over the next couple of months, and ask yourself if these disappearing people are really pursuing better lateral opportunities in this economy.
Finally, being a member of their bloated 100-large SA class of 2008 is a lottery game that I would NOT want to be playing.
Ellie did you know that Ropes takes like 40 HARVARD kids every year?
Work that angle
can we hear more about stealth layoffs at goodwin proctor?
98-NO. They’re stealthy. Mum’s the word. sssshhhhhh………
Given a golden opportunity and unable to see it. Open your eyes! already. Sink the ship before it sinks you. Damn. Wake up! How did the large firms begin? A few lowly associates breaking away from rules and regulations not supportive of their goals. Where’s the courage today? Who are those lowly associates today? Take the years of experienced staff with you and make it happen. What large firm can operate without you? Eliminate the PPP profits and start afresh, put them out of business! Show ‘em who’s boss and kick ‘em to the curb already.
-An unlaid off 25+ years experienced staff member willing to see it happen during this scam powerless crisis and hoping to see a boomerang effect.
90- Is totally right. Though no written memo went out Ropes did freeze staff salaries and paid out lesser bonuses this year. This information was relayed to employees through a series of meetings and conference calls.
The lesser bonuses were supposedly based on performance. Funny performance must be at an all time low for Ropes staff since the story was the same for almost everyone on the staff side.
Ropes has also started to let people go for “performance” reasons on both sides of the house. But it’s not all of it is performance. Some of it is “manager’s whim” on the staff side. The reasons for some of these layoff’s are flimsy at best and at worst completely fabricated.
The staff management at Ropes is some of the worst I’ve encountered in my 20+ years.
So the layoff’s at Ropes are stealth and are being done in a way that makes the former employee doubt themselves and the quality of their work despite years good performance reviews.
I have to agree with 101. With the exception of a few rare gems, the Ropes management is both vast and incompetent. In a way, though, I don’t blame staff management as I often believe they are firmly under the thumb of upper management and are told to “make it happen” or something to that effect. At any rate, the tone that management ultimately takes with staff is set from way above, and that is where the true failure is. I have over 10 years of staff experience at several different large law firms, and the sheer size of Ropes’ middle management is amazing. At times I think they have as many practice group managers as they do billing staff…no kidding!!! The irony here is that, as far as law firms go, Ropes is actually not a half-bad place to work. I just wish it were managed a whole lot better.