Am Law 100 Firm Raises Salaries... And Infuriates Associates
It takes something special to make people boo a raise.
We’ve been waiting on Hunton & Williams to make a move. A month before Cravath turned over the apple cart, Hunton was crowing about raising associate salaries to put everyone on the $160K track. Apparently, it was all well and good to wildly throw money around offices that had no business matching New York scale, but when the top of the market moved, the firm had to take several weeks to figure out what happened.
Well, the good news for Hunton & Williams associates is that the firm is adopting a $180K starting salary for its New York, McLean, D.C., Dallas, Houston, Los Angeles, and San Francisco offices. Other offices will remain where they were as of the raises in May. This change takes effect on September 1.
So most people are happy, right? Think again. The second paragraph of this memo drops a hammer:
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In addition, effective April 1, 2017, compensation for associates in all of the firm’s US offices other than entry level associates will be determined on an individual basis taking into account individual performance and market factors.
No more lockstep at all? Sure, that’s a crowd pleaser.
Hunton & Williams is moving to $180K starting salary in NYC, DC/McLean, CA, and TX, keeping $160K everywhere else, but ELIMINATING LOCKSTEP. Associates pissed.
I’d imagine so. The end of lockstep ushers in the sort of black-box nonsense that firms use to keep everyone just slightly undercompensated and unwilling to talk about it for fear that they’re the only ones who didn’t do a good enough job to earn the full check. It’s actually how companies get away with discrimination. This isn’t to say any black-box law firm is trying to discriminate, but it is troubling that a firm would embrace a practice with such an odious reputation. Especially in an industry where transparency is the norm.
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Well, good luck, Hunton & Williams folk. And remember to send us your compensation details in April so we can blow up this black box just like we did with Jones Day.
UPDATE (2:40 p.m.): A tipster points out that the third paragraph is also super shady. Apparently, on September 1, the firm is going to start fiddling with associate salaries and raising or — quite possibly — lowering them, as the firm sees fit. Now that’s a kick in the teeth.
(Memo on the next page…)
Remember, when your firm matches, please text us (646-820-8477) or email us (subject line: “[Firm Name] Matches Cravath”). Please include the memo if available. You can take a photo of the memo and send it via text or email if you don’t want to forward the original PDF or Word file.
Earlier: Nationwide Pay Raise Watch: A Biglaw Firm Moves To Market Across America
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Joe Patrice is an editor at Above the Law and co-host of Thinking Like A Lawyer. Feel free to email any tips, questions, or comments. Follow him on Twitter if you’re interested in law, politics, and a healthy dose of college sports news.
