New Vacation Policy At Sedgwick Could be Disingenuous
Recently, we’ve seen a lot of law firms take creative approaches to cutting costs. At Sedgwick, Detert, Moran & Arnold, the firm’s new approach to attorney vacations could save a bit of money, especially if the firm decides to go through a round of layoffs.
While discussing the Morrison & Foerster face-time policy, a commenter pointed out:
It is the same way in “firm holidays” and “vacation days”. When you have a minimum billable requirement, it doesn’t matter if the firm gives you unlimited amounts of vacation, because if you miss your expected hours, you will be more than able to take all the vacation you want when you are fired.
It appears that Sedgwick is doing just that. Last month, the firm decided to do away with the traditional concept of “vacation days.” The firm’s new approach allows attorneys to take as much time off as they want/need, provided they schedule it within their group. Here’s how the firm memo explains the new policy:
Sound great? A tipster explains the flip side of the new plan after the jump.
A tipster explains that giving attorneys more control over their own schedules is not necessarily a good thing:
While no salary cuts have been announced, per se, the firm’s new vacation policy amounts to a cut in compensation.In short, the old policy allowed lawyers to accrue up to 45 days of vacation. On termination for whatever reason, those accrued days are due and owing. Most people accrued a lot, and as people have started peeling off for greener pastures/to avoid the axe, the firm has been writing big vacation checks. The new policy 1) halts further accrual, under the guise of treating attorneys like the professionals we are and 2) requires current attorneys to draw their accrued balance down to zero.
While attorneys do have to use up their accrued time, it doesn’t appear that the firm will cancel out that accrued vacation if someone is terminated before they’ve used up all of their time.
But going forward? The firm memo makes no mention of what, if any, vacation time will be paid out under this new “discretionary” plan.
That seems like a huge problem, we know that in this market people are not using up vacation time as they desperately try to make the hours necessary to hang onto their jobs. If all vacation is now “discretionary,” it seems like an excellent way to avoid a lump sum payment to the employees that don’t make it and are laid off.
Be careful what you wish for. Sometimes being treated “like a professional” is code for “you’re on your own.”
Sedgwick’s New Vacation Policy.pdf [PDF]
Earlier: MoFo Associates, Are You At Work Yet? You So Better Be At Work Already!
The New Schulte Vacation Policy
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firsty
Layoffs at Binder&Binder.
Associates must understand that Biglaw is running out of money. There will be more layoffs, though most will be stealth layoffs, and more cost-cutting like this vacation policy. Some Biglaw firms will fail this summer and fall.
The party is over, people. Time to find a new profession.
Associates must understand that Biglaw is running out of money. There will be more layoffs, though most will be stealth layoffs, and more cost-cutting like this vacation policy. Some Biglaw firms will fail this summer and fall.
The party is over, people. Time to find a new profession.
heyy..
Why should loss of salary mean "time to find a new profession"? Shouldn't associates just take lower-paying legal jobs doing actual work, like small firms and DA offices? If you were just here for the money, get the heck out!
@5
What up? Been a while.................
You're right, 6. Nearly every attorney is "just here for the money." Now that the money's gone, they will get the heck out, whether voluntarily or not.
Most will not accept, nor can afford to accept, DA salary, and so will find a new profession.
greener pastures you say?
This is truly, truly pathetic. Almost all firms are slow now, so to adopt this policy in the year during which most attorneys are struggling to meet their minimum billables, is utter bull****. This is absolutely shameful, competely disengenious and truly pathetic. If a firm wants attorneys to take every available billable possible, that's fine - but to wrap this up as a "work-life balance" is truly pathetic. I predict that this firm's "policy" will change once folks get busy again. Congrats Sedgwick, whoever you are, you have sunk to an all-time low. I hope your clients drop you.
11th cupcake for MysTTTal today
What is the sick leave policy? Pregnancy?
I'm really starting to hate all big law firms.
Why is Elie not covering the real story we face. The new, ridiculously high amount of competition for federal government law posts? And the low amount of them coming down the pike. I'm lucky if there is even one federal law job for a midlevel associate in the DC area each week.
Law students -- don't make the mistake I did. Don't bother with biglaw. Apply to federal gov't jobs right away. It's now impossible to get any federal gov't job. They are getting tons of applications. I should've done DOJ Honors when I had the chance.
Kyra Sedgwick has huge lips and I just came all over Mystal's moobs.
You know what is depressing? The lack of legal vacancies on USAJOBS. And the few that come up want 5+ or 8+ years of experience. I guess I'm SOL.
Is Above the Law hiring? Or are they not hiring midlevel associates like the federal government?
BigLaw vacation policies have always been disingenuous. The only change now is layoffs are forcing a fear of paying out accrued vacation days.
Firms, like Thompson Hine, want to recruit on the basis of having good vacation policies.
Now BigLaw is bleeding and needs to avoid paying out accrued days, so now it is "unlimited" vacation.
Bullshit. You only have as much vacation as you take. Anything else is a mirage. BEFORE the recession, Thompson Hine associates were taking about 4 days of vacation each year.
Now, in the midst of the recession, nobody takes any vacation. I suppose the Sedgwick partners think potential SAs will be fooled by this maneuver.
THOMPSON HINE - You want to go on vacation? How about you go fuck yourself! There's your fuckin' vacation, asshole!
This story needs more secretaries being pounded in the ass.
My firm did this exact same thing a few months ago. Sucks.
the analysis here seems questionable and, with creativity, I feel like a 'ram-it-up-their-asses' argument can be made supporting the opposite position, which is that they are on the hook for at least the 4 weeks they say the associates are limited to. just doesn't seem like they can do away with being on the hook for vacation pay by dressing it up and calling it something else.
Rogue Associate,
No one cares about this. Everyone just wants to know how they can get a job with the federal gov't in this current climate.
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A few firms started doing this a couple of years ago. There was a lot of discussion about it at the time.
22 again, plus if one is exiting the firm and not planning to go back to biglaw, there's no harm in making a stink about it. that could be really fun actually.........
22 again, plus if one is exiting the firm and not planning to go back to biglaw, there's no harm in making a stink about it. that could be really fun actually.........
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EEOC IS HIRING:
http://www.eeoc.gov/soars/index.html
Even that secretary getting pounded is applying for a legal position with the federal government.
didn't Kirkland do this within the last six months?
Plenty of DOJ jobs to be had if you are willing to relocate.
33,
Even if I were willing to relocate (I happen to have strong roots to this area), I suspect the USAO in Alaska is going to wonder how long term I would be and be unlikely to hire me.
33,
Even if I were willing to relocate (I happen to have strong roots to this area), I suspect the USAO in Alaska is going to wonder how long term I would be and be unlikely to hire me.
This kind of thing is such old news I can't believe anyone's shocked by it. My first law firm did this when it started to implode back in early 1994 (yes, I am that f*cking old), and it was obviously a response to a large cash outlay to associates leaving and taking cash in lieu of vacation. Hell, the wording in this one is almost identical. Why be surprised?
23,
It's a fair point and well made.
BigLaw is always some new version of bullshit. In good times, the partners' fat butts are first to the money trough and in bad times they slit the throats of staff and associates first.
I have friends from law school that are with the federal gov't, and they uniformly love it. They make less overall, but they make more than BigLaw in terms of pay per hour at work.
I know that I've run across a couple USAJobs printouts carelessly left sitting in a printer tray or trash can (do yourself a favor and grab those printouts immediately and shred them when you are done... you don't need to get caught doing that at work).
We'd pretty much all leave this shit hole for a federal government job. Especially since we got hit with a big round of paycuts and now barely make more than fed gov't attorneys overall (let alone per hour at the office)... Like the rest of you, we're finding those jobs are mobbed with applications, so instead we can only wait.
(note to the Partners - if only you could find and fire me, then all your problems would be over. Clearly, there's zero chance that my appearance is merely a symptom of the disease of your incompetent management... I promise, I'm an outlier and there definitely aren't huge numbers of miserable and dissatisfied associates and staff due to your "leadership". After all, you can trust me.)
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34/35
A. New Jobs are posted on the DOJ site regularly.
B. Nice job -- picking the furthest possible location on the site. Many people would be willing to locate to other districts if employment were possible.
C. You probably wouldn't be hired anyways...clearly you're looking to "hide out" until the market turns.
McKee Nelson eliminated vacation time accrual for associates last year, along with all accrued vacation. No payouts. I think this is becoming commonplace--the only difference here is that Sedgwick called it "Discretionary Leave" rather than "Unlimited Vacation."
horrible horrible horrible
Why don't you crying, commisserating, inexperienced, paranoid, little girly men and prissy women, who think you are all smart asses because you work for large law firms or worked for large law firms, pick yourselves up by your own bootstraps, get over this gossiping, negative,web site and figure out how you are going to make it in this competitive world without a big law nipple and tit in your mouth. This is incredible that our law schools today are graduating a bunch of whining losers who expect that on day one in their careers, they are going to make close to $200,000 a year, while they sip mai tais on summer associate outings and flee to their weekend shares over July 4 weekend.
Perspective, perspective, perspective. Roll up your Zegna sleeves, untie the Hermes knot and get to fucking work you losers!!!!!
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Comment #24 is really gross and, I think, is slanderous. To identify the person by name and title and office is disgusting. What the hell did this person ever do to you? Coward! You post anonymously but you defame this person by name.
I hope the person who has been defamed by this, commences an action against John Doe defendants, subpoenas this board to find out the identity of the poster and then sues the poster for defamation. The victim here happens to be a terrific person and did not deserve this.
You on the other hand deserve a big assed lawsuit that bankrupts you. LOSER!
Troll! Get a life.
Yeah, DLA has had this policy for years (another reason why it's a TTT). It was especially sweet when, after not taking ANY vacation time, I got laid off and they didn't have to cash out any day for me. Then again, this is the same firm who made all of its income partners "equity" partners...
Yeah, DLA has had this policy for years (another reason why it's a TTT). It was especially sweet when, after not taking ANY vacation time, I got laid off and they didn't have to cash out any day for me. Then again, this is the same firm who made all of its income partners "equity" partners...
THIS HAS BEEN PAUL HASTINGS VACATION POLICY FOR MORE THAN TWO YEARS.
THE REASON I AM SHOUTING IS THAT I SENT THIS LAT'S ATTENTION AND HE IGNORED IT.
PAUL HASTINGS PAYS THEIR ASSOCIATES LESS THAN MARKET.
Hey, 37, instead of trying to find some cushy taxpayer-funded sinecure to keep you in brie and Brooks Brothers, how about actually doing something useful, like, oh, actually running a business that creates value.
F-cking lawyers. You think you are owed a salary. You all suck.
48,
Hahaha! You think government attorneys are rolling in wealth, brie and Brooks Brothers.
Moron. Go check OPM's website to try and not be so ignorant.
Of course, if you actually ever went to any effort to educate yourself instead of reveling in your ignorance, maybe someone would want to pay you a salary.
Until then, suck it, hourly drone! Now get back in the McDonalds and make me some fresh fries.
48,
Yeah, the government is bullshit! I'm tired of all of these roads, electricity, water, police, firefighters, military...
I also don't mind having lead in my kid's toys and poison in our pet food, so let's continue understaffing our regulatory agencies...
If only those government employees were doing the noble thing by working in companies to create value! Roads I can do without. Pizza that has cheese baked in the crust? Now there's a noble pursuit.