Yesterday we wondered: “[A]re associate bonuses and layoffs just two sides of the same coin?”
The answer, at least at Clifford Chance, would appear to be yes. Just one day after announcing layoffs (of admittedly small scale — six associates), CC has announced year-end and special bonuses. The bonuses are at market levels and not tied to hours (or being “reasonably busy,” whatever that might mean).
Memo after the jump.
The settlement of the litigation between Aaron Charney and Sullivan & Cromwell is not even two weeks old, but we miss the case already. So that’s why we decided to write about the case for our column in this week’s New York Observer:
So exactly how much did it cost Sullivan & Cromwell to make Aaron Charney go away? That’s the parlor game New York lawyers have been playing since late last month, when a settlement was reached between the white-shoe law firm and its former associate, who had sued S&C for sexual-orientation discrimination. Most memorably, Charney said that a partner dropped a document on the floor and told him to “bend over and pick it up—I’m sure you like that.”
Although it was a P.R. nightmare for S&C—where’s Michael Clayton when you need him?—Charney v. Sullivan & Cromwell offered countless hours of entertainment and schadenfreude for the Big Law chattering class. The lawsuit was first filed in January, so it took nine months to deliver this baby.
From S&C’s perspective, Rosemary’s. You can read the rest of the column over here. (For the irony-impaired among you, please note that our “calculations,” with their mock precision, are not to be taken seriously.)
One more observation about the case, after the jump.
* A close look at the lawyers’ intensifying protests in Pakistan. [Slate]
* Execs defend Yahoo in emotional hearing. [New York Times]
* Dole loses pesticide case; jury awards farmers $3.2 million. [Los Angeles Times]
* “Transformers” star arrested for obstinate shopping. [CNN]
* Justice Thomas question watch continues. [WSJ Law Blog]
Fried Frank has announced year-end and special bonuses for its associates and special counsel in its New York office. The numbers are consistent with those previously announced by other firms.
But whether this is a true market match is unclear, since the firm is a bit vague with respect to what percentage of associates will receive “special” bonuses. From the memo: “We will also be paying a one-time special bonus to associates on a discretionary basis based on performance…”
Read the full memo, after the jump.
Skadden associates were notified of their bonuses by emails to individual classes, so we have no global memo confirming the numbers up and down the ladder.
But we have confirmation of the year-end and special bonus matches for the classes of 2007, 2005, and 2004.
Developing… Check back for updates.
Several updates, after the jump.
What’s going on with law schools these days? Strange and scary things are afoot. Last month, there was the Indiana University law student who shot up his casebooks. In September, St. John’s University Law School was placed under lockdown, after a gunman was spotted on campus. There was also the rumor — unfounded, as it turned out — that Regent law student Adam Key brought a gun to school.
Now we learn this, from the Seattle Post-Intelligencer:
University of Washington law students are on alert after graffiti appeared on campus last week that threatened their lives, but some are upset about how little information they’ve been given.
The threat, directed toward Law School students and the Law School, was found scrawled across the wall of a campus bathroom Oct. 30. UW officials declined to reveal the exact wording of the graffiti, but School of Law Dean Greg Hicks summarized the sentiment as being that the school is “training up little Nazis.”
Really? Isn’t that what Harvard Law School is for? Or maybe Regent?
More after the jump.
Who lives in Arkansas? And designs MySpace pages? And likes to post on, appropriately enough, Craigslist?
Winnable high profile ENTRAPPMENT [sic] case Lawyer needed
Need a good lawyer who is willing to get paid a little slower but also can have a logo done by me and a web page or High Definition commercial done as well. Very winnable case and high profile. Please help my brother who was entrapped. You can check out my art on my myspace page. My myspace page can be found at myspace.com/aphrodite1985.
Update / Warning: You really should know this by now, if you’ve ever visited a MySpace page, but mute your speakers before checking it out. Like 95 percent of MySpace pages, this one also features loud and irritating music.
Our tipster quips: “At least there’s still good work in Arkansas without Wal-Mart.”
Maybe the kindhearted sister should reach out to this fellow Craigslist poster. He’s not admitted to the Arkansas bar; but he could probably do some legal research, since it sounds like he has some time on his hands. Who says graduates of top-tier law schools don’t also suffer employment woes? Winnable high profile ENTRAPPMENT case Lawyer needed [craigslist] Seeking Law Clerk Position [craigslist]
The Senate Judiciary Committee just voted in favor of the nomination of Michael Mukasey to serve as attorney general. The tally was 11-8, with two Democrats — Sens. Chuck Schumer and Dianne Feinstein — joining all the Republicans in supporting him.
What had been looking like a nailbiter of a nomination should sail through the full Senate fairly easily. The floor vote on the nomination should take place by next week.
Congratulations, Judge Mukasey! Nomination of Mukasey Sent to Full Senate [New York Times] Panel Sends Mukasey Nomination to Senate [Washington Post]
Perhaps taking a page from ATL’s Biglaw Perk Watch, the Texas Lawyer recently published a survey of the perks offered to associates at some of the state’s biggest law firms. It’s not available online, sadly, but a tipster sums it up:
Most are either trivial or to be expected, but the one that stands out it the “automated electronic defibrillator” offered by Fulbright & Jaworski.
Aren’t they essentially saying to new associates, “We anticipate that you may be afflicted with cardiac arrest while working here”? Why on earth would this be touted as a “perk”?!
Indeed. Even if you do have defibrillators on the premises, which most large organizations probably should have, it seems odd to boast about them. It’s like telling your recruits that you offer fire extinguishers — nice to know, but not exactly a “perk.”
You can check out the full list of Fulbright perks after the jump.
These are interesting times for the world of Biglaw. Some large law firms are feeling so flush they’re giving out not one but two bonuses this year. Others are laying off associates. Sharing space in the pages of ATL are dueling features: Associate Bonus Watch and Nationwide Layoff Watch.
Before the next round of bonus news, it’s time for some layoff coverage. In the New York Law Journal, Anthony Lin has this report:
In one of the first clear signs that slumping credit markets are causing economic pain at law firms, Clifford Chance on Monday laid off a group of associates in the structured finance area.
John Christian, the partner in charge of the London-based firm’s U.S. personnel committee, said the firm had made a difficult “business decision” to lay off the six associates in a practice group that worked exclusively for credit rating agency Standard & Poor’s. The lawyers in the group had reviewed the documentation S&P used to rate mortgage-backed securities, the market for which has collapsed in recent months.
“We concluded this work just wasn’t coming back,” Christian said. He declined to discuss the severance packages offered to the associates, but one of those terminated said they were offered three months’ salary with no bonus. Indeed, the associate said the timing of the layoffs seemed designed to deprive the targeted associates, all of whom were relatively senior, of their bonuses.
Interesting. So are associate bonuses and layoffs just two sides of the same coin?
More after the jump.
* Lockdown of Pakistani legal system intensifies. [CNN]
* Reggie Bush investigated for receiving gifts while at USC. [Los Angeles Times]
* Keanu sued for Porschal assault. [MSNBC]
* Peter Lattman on the charms of the dormant Commerce Clause. [WSJ Law Blog]
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 six years. You can reach them by email: [email protected].
Since late last year, things have been booming in Hong Kong / China in cap markets, especially Hong Kong IPOs. M&A deal flow has recently been getting a bit stronger as well. Although one can’t predict such things with any certainty, all signs are pointing to a banner entire 2014 for the top end US corporate and cap markets practices in Hong Kong / China. This is not really new news, as its been the feeling most in the market have had for a few months now and things continue to look good.
The head of our Asia practice, Evan Jowers, has been in Hong Kong for about 10 days a month (with trips every other month to both Shanghai and Bejing) for the past 7 months (Robert Kinney and Evan Jowers will be in Hong Kong again March 15 to 23), and spending most of his time there meeting with senior US hiring partners at just about all the major US and UK firms there, as well as prospective candidates at all associate levels and partner levels, and when in the US, Evan works Asia hours and is regularly on the phone with such persons, as our the other members of our Asia team. Our Yuliya Vinokurova is in Hong Kong every other month and Robert is there about 5 times a year as well. While we have a solid Asia team of recruiters, Evan Jowers will spend at least some time with all of our candidates for Asia position. We have had long standing relationships, and good friendships in some cases, with hiring partners and other senior US partners in Asia for 8 years now.
Are you challenged by the costs and logistics of maintaining your office, distracting you from the practice of law?
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:
Everyone is talking about the importance of Social Media in Corporate America. But it is relatively safe to say that most law firms and lawyers are slightly behind the social curve. Most lawyers, at minimum, use LinkedIn, for networking. Some even use Twitter for pushing out short, pithy content, while many have Blogs, where they write their little hearts out. The adage “it is better to give than to receive” is not always true though in the world of Social. In the Social World – it is best to listen, give back and engage.
Social Media is a communications tool that can deeply educate you about the needs and wants of your clients and prospects when used in conjunction social media monitoring and sharing tools.
Take this quick quiz and see if you know how to use Social to help you engage more with your clients or to better service the ones you have.
Yesterday we wondered: “[A]re associate bonuses and layoffs just two sides of the same coin?”
