In case any of you were wondering, last Friday’s news about Weil Gotshal clerkship bonuses has been officially confirmed. Here’s a statement from a firm spokesperson:
“Weil will pay $50K for a one-year state or Federal clerkship and $70K (i.e., the current amount) for a two-year clerkship.”
So there you have it, from the horse’s mouth. And there’s the answer to this commenter’s question: “Is that flat, or does Weil still double for two years?”
Okay, so Weil won’t give you $100K for two years of clerking experience. But $70,000 is still, as far as we know, the top of the market for two clerkships or years of clerking. Three cheers for Weil — and Cravath, which also pays $70,000 for two clerkships.
Does anyone know what S&C, Simpson, Paul Weiss, and Cleary Gottlieb — the other members of the $50K Club — pay for multiple clerkships or years of clerking? If so, please email us. Thanks.
The various comments added to our last post, stating that Cleary Gottlieb has joined the elite ranks of law firms paying $50,000 clerkship bonuses, are correct. Here’s the email, from CGSH partner David Leinwand:
From: David LEINWAND Time: 2:01 pm
I am very pleased to announce that the firm will be increasing its judicial clerkship bonus for U.S. associates who complete one or more clerkships to $50,000. The increased bonus will be paid to associates who accept an offer to join the firm or complete a clerkship after January 1, 2007.
Please do not hesitate to contact me or Norma Cirincione if you have any questions.
David Leinwand, on behalf of the Recruiting Committee
So who’s next? By conventional prestige standrads, we’d say Davis Polk. By profits per partner, it would be Cadwalader. According to the just-released AmLaw 100 rankings, Cadwalader is the most profitable NYC-based firm — excluding Wachtell Lipton, which pays no clerkship bonus, but compensates with a ridiculous year-end bonus — that has not yet joined the $50K club.
But don’t hold your breath for Cadwalader. Based on Anthony Lin’s fascinating profile of the firm, published back in February, it seems that CWT isn’t a big fan of “clerky” types:
Whereas [rival] firms lavish attention on Ivy League law graduates with prestigious judicial clerkships, [Cadwalader Chairman Robert] Link wants lawyers who want to be in the business and want to work hard in it. He said his ideal candidate would probably be someone slightly older with previous work experience, maybe on Wall Street.
He has no use for Yale Law School.
“I don’t think we even recruit there anymore,” he said of the law school often regarded as the nation’s most intellectual. “They don’t seem to produce the kind of lawyer we want.”
Ouch. And Yale, which sends a sizable percentage of graduates directly into judicial clerkships each year, is the most “clerky” of law schools. Does the Future Belong To Cadwalader? [New York Law Journal]
Today brings more happy tidings for law clerks, emanating from The Death Star.
Check out the Cravath website (navigate through Career Information: Law Students, Life at Cravath, and Associate Life):
Incoming associates, in fall 2007, who have completed a U.S. Federal district court, Federal appellate court, or state highest court clerkship receive a bonus of $50,000 and credit for a one-year clerkship.
What about for two clerkships or two years of clerking? Or clerkships that don’t fit one of the foregoing categories?
Those associates who complete a clerkship of two years or two one-year clerkships will receive (in lieu of the $50,000 bonus described previously) a bonus of $70,000 and class credit for each year of a clerkship, up to two years. Credit and bonuses for a magistrate, a state lower court or a clerkship outside of the U.S. are reviewed on a case-by-case basis.
Good stuff. We commend Cravath for its transparency with respect to these matters. And we congratulate them on joining Weil Gotshal at the top of the bonus market for two clerkships: $70,000. (More on Weil in a later post.)
So now the $50K Club has five members (in order of their joining): Sullivan & Cromwell, Simpson Thacher, Paul Weiss, Weil Gotshal, and Cravath. Correction: The paragraph below, which now appears in strikethrough text, was based on erroneous information. We were previously advised that Cravath paid different clerkship bonuses for district and circuit court clerkships. That was incorrect. The old Cravath clerkship bonus structure was $15K across the board, up to a maximum of $30K. One other observation on the Cravath news. It removes the firm’s former two-tier system with respect to clerkship bonuses ($15K for district court clerkships, $35K for circuit court clerkships). This makes sense to us. While circuit court clerks may have, on the whole or as a general matter, more impressive credentials than district court clerks, a district court clerkship is usually a more educational experience (at least viewed from the perspective of a future litigator).
Here’s an interesting rumor that’s making the rounds:
I have heard through the grapevine that some large law firm(s) [possibly Hogan Hartson] in Washington are desparately in need of corporate associates — from junior associates on up. Apparently the idea is to offer around $30,000 as a bonus to lateral. This shows the real need for corporate lawyers in the capital, especially since the latest wave of raises makes DC associates $15,000 poorer than their New York-based colleagues (or DC-based associates who work for New York-based firms). Lots of work in the corporate departments right now.
It didn’t take long for the $50k club to gain another member!
Multiple sources tell us that Weil, Gotshal & Manges decided last night to match the $50,000 clerkship bonus being offered by Sullivan & Cromwell, Simpson Thacher & Bartlett, and Paul Weiss.
Who’ll be the next to join this exalted group? Programming Note: With that exciting news, LEWW is signing off for the week. We’re heading up to New York for some things we can’t get in Alabama: Major League Baseball and Mario Batali.
It’s been an honor and a delight to fill in for David. He’ll be back soon with more on this and other stories. (And of course, LEWW will return with a new wedding column next week.)
Multiple sources have just confirmed to ATL that Paul Weiss has matched the $50,000 clerkship bonus paid by Sullivan & Cromwell and Simpson Thacher & Bartlett.
The head of recruiting called people with outstanding offers today to make the announcement.
From a source:
PLEASE post this news so that it will continue to put pressure on the other NY-based firms. The more publicity ATL gives this, the more buzz there is in the market. It’s a beautiful thing for us lowly law clerks.
Congratulations to Paul Weiss for joining this very select group. We predict that $35k is soon going to start looking pretty paltry in certain quarters.
As part of our commitment to providing attorney compensation that is at or near the top of the markets in which we practice, the firm has increased its judicial clerkship bonus from $20,000 to $35,000. This increase reflects the value the firm places on hiring former judicial clerks, as well as our intention to continue to attract the best and the brightest legal talent. We are committed to making the firm as attractive as possible for former clerks, and we recognize that the amount of the clerkship bonus can be important.
We continue to hope that you will accept our offer to join us. If you have any questions, please feel free to contact me.
There was also a rumor that Skadden had raised its clerkship bonus to $60,000. As far as we know — we’re happy to be proven wrong — that comment was a joke (or wishful thinking).
If you hear of anyone else raising — either to $35,000 or, better yet, $50,000 (the new S&C and Simpson standard) — please email us. We will probably do an update on this in another week or two, depending upon the level of activity on this front. Thanks.
Apparently Sullivan & Cromwell is no longer the only Biglaw shop paying a $50,000 clerkship bonus. According to multiple sources, Simpson Thacher & Bartlett — which in January kicked off the latest round of base salary increases for associates — has followed suit.
If S&C were the only member of the $50K club, competitor firms could afford not to follow suit. We agree with what this tipster had to say (prior to the Simpson Thacher match):
“What I gather from this general reluctance on the part of NY firms to match S&C’s $50K clerkship bonus is that there’s an emerging view within the legal market that S&C’s decision to ‘surge’ their bonus rate is, in some sense, an anticipation that they’re going to have a tough recruiting season this fall.”
“This clerkship bonus craze has nothing to do with clerks — and anyone who thinks otherwise is mistaken. What firms do care about is a bunch of newbie 2Ls (who are a month or so away from wrapping up 1L year right now), with nothing more than a pedestrian understanding on how Firm A differs from Firm B, going to S&C’s website and seeing that they offer $50K and then going to, say, Davis Polk’s and seeing that they offer less than a third of that.”
“My hunch is that if one more top firm matches S&C, then the rest will soon follow. The big question is who moves first — and when.”
We concur in this analysis. Now that Simpson has joined Sullivan & Cromwell, resisting the clerkship bonus trend will prove more difficult (at least for other top ten New York firms). Expect places like Cravath, Davis Polk, and Cleary Gottlieb to fall into line.
Have you heard of anyone else matching? Please email us (subject line: “Clerkship Bonus”). Thanks. Earlier: Skaddenfreude: A Clerkship Bonus Special Report
On the heels of Sullivan & Cromwell’s announcement of its new $50,000 clerkship bonus, we will endeavor to find out what other large law firms are doing on this front.
If you know your law firm’s current clerkship bonus policy, please email us (subject line: “Clerkship Bonus”). We will serve as a clearinghouse for clerkship bonus information. We will collect your tips, organize them, resolve conflicts where they exist, and perhaps do some fact-checking where necessary.
(Our preference is for you to email this information to us, rather than to post it in the comments. Email allows us to pose follow-up questions of sources, which we can’t do with someone who posts a comment anonymously. As always, we do not reveal the names of sources, unless they request attribution. Thanks.)
Word on thestreet is that Sullivan & Cromwell is now paying a $50,000 clerkship bonus. In addition to Greedy Clerks, the news has surfaced in comments on this blog, and we’ve also heard about it via email. So the tip seems fairly reliable to us.
We first learned the news from a tipster with two prior clerkships, which raised the possibility that the $50K bonus reflected more than one clerkship. But it now appears that it’s actually a flat $50,000 bonus for anyone with a prior clerkship (i.e., a second clerkship doesn’t give you a second clerkship bonus (unless it’s a Supreme Court clerkship)).
Considering that a significant number of S&C associates come to the firm after having clerked, this rather large clerkship bonus is almost like a second pay raise (on the heels of the recent Simpson Thacher-induced salary bump). It appears to be second only to Kellogg Huber’s $100,000 clerkship bonus, and certainly the largest such bonus in New York.
So who cares about a few nastypartners? Sullivan & Cromwell is telling former clerks: “There’s $50,000. Bend over and pick it up — I’m sure you like that.” And many clerks will probably respond, “You bet we do! Fifty grand is pretty much equal to a law clerk’s annual salary.”
Feel free to discuss this development, or other clerkship bonus news and rumors, in this open thread. S & C Raises Clerkship Bonuses! [Infirmation / Greedy Clerks]
If you are considering a virtual law practice, you know that many of today’s solo firms started that way. But why are established, multi-attorney law firms going virtual?
Many small firms are successfully moving part—or even all—of their practice to a virtual setting. This even includes multi-jurisdictional practice spanning several states and practice areas, although solo and small partnerships are still the largest adopters of virtual law.
Can you do the same? The new article Mobile in Practice, Virtual by Design from author Jared Correia, Esq., explores how mobile technology bring real-life benefits to a small law firm. Read this new article—the next in Thomson Reuters’ Independent Thinking series for small firms—to explore how a mobile practice:
Reduces malpractice risk
Enables you to gather the best attorneys to fit the firm, regardless of each person’s geographic location
Leverages mobile devices and cloud technology to enable on-the-spot client and prospect communication
Transitioning in-house is something many (if not most) firm lawyers find themselves considering at some point. For many, it’s the first step in their career that isn’t simply a function of picking the best option available based on a ranking system.
Unknown territory feels high-risk, and can have the effect of steering many of us towards the well-greased channels into large, established companies.
For those who may be open to something more entrepreneurial, there is far less information available. No recruiter is calling every week with offers and details.
In sponsorship with Betterment, ATL and David Lat will moderate a panel about life in-house and we’ll hear from GCs at Birchbox, Gawker Media, Squarespace, Bonobos, and Betterment. Drinks, snacks, networking, and a great time guaranteed. Invite your colleagues, but RSVP fast, as space is limited.
Ed. note: The Asia Chronicles column is authored by Kinney Recruiting. Kinney has made more placements of U.S. associates, counsels and partners in Asia than any other recruiting firm in each of the past seven years. You can reach them by email: email@example.com.
It’s that time of year again when JDs are starting to apply for 2L summer jobs and 2L summers are deciding which practice area to focus on.
For those JDs with an interest in potentially lateraling to or transferring to Asia in the future, please feel free to reach out to Kinney for advice on firm choices, interviewing and practice choices, relating to future marketability in Asia, or for a general discussion on your particular Asia markets of interest. This is of course a free of cost service for those who some years in the future may be our future industry contacts or perhaps even clients.
For some years now Kinney’s Asia head, Evan Jowers, has been formally advising Harvard Law students with such questions, as the Asia expert in Harvard Law’s “Ask The Experts Market Program” each summer and fall, with podcasts and scheduled phone calls. This has been an enjoyable and productive experience for all involved.