On Wednesday, we reported that Fenwick & West paid $60,000 in “go away” money money to some members of its incoming associate class. Today, we have news about Fenwick’s 2009 summer program, i.e., the most recent summer program, and the firm’s offer rate.

Fenwick took on 36 2Ls and 3Ls this past summer. But the summer was only eight weeks long, and Fenwick’s summer salary was on a $145K scale instead of $160K.

Still, most summers probably would have been okay with Fenwick’s program if it had ended with a strong offer rate. But it didn’t. Sources report that the firm only made offers to 17 of the 36 summers. A tipster reports the breakdown:

Ultimately the firm extended 17 offers (47%): 8 litigation, 8 corporate and 1 patent.

During orientation the hiring partners told us those who did not receive an offer would receive a letter that they could show other firms as a means to explain why we did not get an offer.

Is anybody else interested in this letter that will explain everything to other firms? Let’s check it out after the jump.

As regular Above the Law readers know, there are a few firms that are offering “go away” money to their incoming associates. The deal, like ones at Stroock and Pillsbury, is that the firm will give incoming associates a large payment instead of a job, and the incoming associate will quietly go peruse other employment options.

We haven’t really gotten a sense of how many would-be associates would actually consider this offer — until now. Fenwick & West offered its incoming associates $60,000 to stay away. According to our sources, around 40 percent of Fenwick’s 2009 class took the money.

But there is a catch; there’s always a catch.

Details after the jump.

Don’t look now, but this is actually shaping up as a pretty bad week for associates who want to hang onto their jobs. Seyfarth cut 50 people late Friday, Milbank let go of 89 yesterday, and we’ve been able to confirm stealth layoffs at Sullivan & Cromwell.

The latest news comes from Fenwick & West. Sources report that the firm has laid off 22 people: 15 associates and 7 staffers.

But a tipster reports that the layoffs might not be confined to the associate and staff ranks:

There have also been a bunch of “farewell” and “goodbye” emails over the last few weeks from “Of counsel” people in the corporate group. So it seems likely that “stealth” layoffs are also occurring among the higher paid, but non-partner, group as well.

We understand that there will be a firm wide meeting tomorrow to discuss the latest news at Fenwick. The firm did not respond to our request for immediate comment.

According to the most recent NALP numbers, the 15 associates let go today represent about 9% of the associates at the firm.

But for the staff, this is the second round of layoffs they’ve seen. In January, Fenwick fired 36 staffers.

Good luck to those let go today from Fenwick. For everybody that still has a job, stay tuned and let’s hope that firms aren’t trying to get a whole slew of cuts in before summer associates show up to the office.

Earlier: Prior ATL coverage of law firm layoffs

This marks the end of our review of the firms in the Vault 100. This is the final bunch up for discussion (with prestige scores in parentheses):

91. Lovells (4.494)
92. Thelen Reid Brown Raysman & Steiner LLP (4.489)
93. Hughes Hubbard & Reed LLP (4.478)
94. Kramer Levin Naftalis & Frankel LLP (4.459)
95. Kilpatrick Stockton LLP (4.452)
96. Locke Lord Bissell & Liddell LLP (4.439)
97. Squire, Sanders & Dempsey LLP (4.421)
98. Seyfarth Shaw (4.399)
99. Mintz, Levin, Cohn, Ferris, Glovsky and Popeo PC (4.394)
100. Fenwick & West LLP (4.373)

Discuss. Dissect. Compare. Contrast. Most of all, enjoy.

Earlier: Vault 100 Open Threads - 2009

What’s the hot new trend in Biglaw? Two-track systems for associates. They’re regarded as a sensible way for law firms to address the twin challenges of (1) higher associate salaries and (2) associate attrition (often due to a frustration with long hours).

Here’s word of the latest law firm to join the party, from NYLawyer.com (reg. req’d):

Chapman and Cutler, a Chicago-based firm with three offices and about 220 attorneys, has joined the parade of firms boosting first-year associate pay to $160,000, but the firm is taking a new path once associates reach their second year.

Second-year associates can opt for one of two compensation tracks at the firm under a new system that took effect last month, said Rick Cosgrove, who is chief executive partner at the firm. They can choose to work fewer hours at a lower pay level or more hours at a higher salary level, he said.

Cosgrove declined to specify the hours required and related pay rates under the new pay program for competitive reasons.

If you have info on the Chapman and Cutler scale that you’d be willing to share, please email us. According to a poster at Greedy Chicago:

The higher track is essentially Biglaw market, so long as you hit 2000 billables/year. The lower track is compressed to about $5k-$10k/year, depending on class year, and you need to hit 1850.

Other firms with two-track systems (click on each firm’s name for a memo and/or details): Hogan & Hartson, Wiley Rein, Fenwick & West, and Thelen (formerly Thelen Reid, and FYI, “Thelen” rhymes with “wheelin’”; see here).

Do you have an opinion about this two-tiered approach? If so, vote in our reader polls, after the jump.

We hope you enjoyed the Labor Day holiday and long weekend. Alas, now it’s back to work — for you and for us.

We’re still digging ourselves out from an email avalanche, as well as trying to figure out what’s going in the world (and what we should write about today). This may take us a little while, so please be patient.

In the meantime, let’s conclude our series of open threads on Vault 100 law firms. Here are the firms to talk about today:

96. Dickstein Shapiro LLP (4.595)
97. Fenwick & West LLP (4.545)
98. Kilpatrick Stockton LLP (4.538)
99. Mintz, Levin, Cohn, Ferris, Glovsky and Popeo PC (4.496)
100. Manatt, Phelps & Phillips, LLP (4.459)

Please discuss these firms in the comments. Thanks!

The Vault Top 100 Law Firms [Vault]

Earlier: Vault 1-5; Vault 6-10; Vault 11-15; Vault 16-20; Vault 21-25; Vault 26-30; Vault 31-35; Vault 36-40; Vault 41-45; Vault 46-50; Vault 51-55; Vault 56-60; Vault 61-65; Vault 66-70; Vault 71-75; Vault 76-80; Vault 81-85; Vault 86-90; Vault 91-95

If you want to get a raise to the $160K pay scale, but without a corresponding “adjustment” to your bonus. Or if you want to bill only 1800 hours a year, and still make a decent living.

From a source at the firm:

Fenwick & West raises. Keeps bonus structure the same.

I know the partners are relishing embarassing our biggest competitor WSGR with this move.

Check out the memo, after the jump.