Agreeing on this point is former Kirkland & Ellis partner Steven Harper (whose apparent pro-associate stance may make him a sort of Biglaw apostate). As Harper points out, “equity partner profit trees have resumed their growth to the sky. As the economy struggled, Cravath’s average partner profits increased to $2.7 million in 2009 and to $3.17 million in 2010 … That’s not ‘treading water.’ It’s returning to 2007 profit levels — the height of ‘amazing’ boom years that most observers had declared gone forever. Watch for 2011 profits to be even higher.”
And yet associate bonuses remain stagnant at 2009 levels. Furthermore, as ATL commenter “The Cravath Cut” is so fond of noting, when viewed as a percentage of profits, bonuses appear especially measly, at least from the associate p.o.v. (The current $7,500 market rate for first-years is just 0.23% of Cravath’s profits per partner. Back in 2007, first-year bonuses equalled 1.36%.) Despite these numbers, if history has taught us anything, it is that you can kill anyone Biglaw’s rank and file will follow Cravath’s lead.
Cravath is among the most profitable firms in the world. We thought it would be interesting to see what the implications of matching Cravath are for those firms with much lower profit margins. Which firms’ partners willingly take the biggest hit by keeping up? Are these firms arguably more “generous”? After the jump, check out those firms that pay the largest percentage of PPP in bonuses.
On Friday, the firm of Mayer Brown announced supplemental bonuses for its U.S.-based associates (a few hours before Quinn Emanuel, which we’ll write up on Monday; we try to limit weekend writing because so few of you are around to read it).
This week — in between tweeting some really funny stuff (such as how I want to blow up airports — it was so funny!), buying up every last can of Four Loko that I could get my hands on, and forwarding Skadden employee evaluations to all of my friends — I spent the rest of the time tracking the news articles and blog posts I wanted to cover in The Rundown.
Among other things in this edition, a prominent e-discovery company offers its predictions for 2011, a big fish swallows a little fish, and we engage in more Touro talk (this time positive).
There is even a crossword puzzle — seriously, a crossword puzzle…
As we said yesterday, there’s still time left in the year for associates to crank out some billable hours to hit their targets. There’s still time to participate in our hours survey, where the early returns suggest that many of you are quite busy.
That’s a good thing, especially if you are at Mayer Brown, New York. No, the firm hasn’t released bonus information yet. In fact, the firm hasn’t even released its 2011 payscale.
But Mayer Brown is telling people how many hours they need to hit in 2010 in order to be eligible for a 2011 raise…
We’re surprised that more people in the legal profession don’t know about Kasowitz Benson. The firm is relatively young by Biglaw standards — founded in 1993, as a spin-off from Mayer Brown — but very successful. Much of this success is traceable to the leadership of Marc Kasowitz, who continues to run the firm with an iron hand (even though it’s twenty times larger today than at its founding; it started with 18 lawyers and is now up to 350).
Earlier this week, Nate Raymond of the New York Law Journal took a detailed look at the Kasowitz firm. Let’s take a look at some of the highlights….
We’ve gotten away from plowing through the latest Vault Rankings, but fear not. Your firm is coming up soon.
We’ve been through the top 30 firms. But now we’re getting into a group of firms that really utilized the cost-cutting measures of salary cuts and layoffs to weather the recession of 2009. Did these guys take a big prestige hit? Not really. Here’s the next batch of firms:
Simmons & Simmons and Mayer Brown have called off merger talks, the two firms have confirmed in a joint press statement sent today (29 June). The statement confirmed that the two firms have held preliminary talks about a potential merger but have jointly decided not to go through with a combination.
So what are the reasons behind termination of the talks?
The financial services boutique of BuckleySandler, which launched just a little over a year ago, is expanding at a rapid clip. At the time of launch, it had about 50 attorneys (most of them from the firm formerly known as BuckleyKolar); now it’s approaching 100.
The two latest hires are noteworthy. From the BLT:
BuckleySandler is continuing its push to recruit top-level lateral partners. Today, the firm brought on David Krakoff, who previously co-chaired Mayer Brown’s white collar litigation practice, and Christopher Regan, also a former Mayer Brown partner.
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: firstname.lastname@example.org.
Things have changed recently in Korea – a few of our US and UK client firms are looking, very selectively, for a lateral US associate hire. Until just recently, there was not much hiring like this going on in Korea, since US and UK firms started opening offices there. We have already placed two US associates in Korea in the past month at top firms. Most of the hiring partners we work with in Korea do not actively work with other recruiters.
If you are a Korean fluent US associate in London, New York or another major US market, 2nd to 6th year, at a top 20 firm, with cap markets or M&A focus (or mix), or project finance background, and you are interested in lateraling to Korea to a top US or UK firm, please feel free to reach out to us at email@example.com or firstname.lastname@example.org. Our head of Asia, Evan Jowers, was just in Korea recently, and Evan and Robert Kinney will be in Korea in a few weeks. We are in the process of helping several firms open new offices in Korea (a number of which are interviewing our partner level candidates) and also helping existing offices there fill openings.
Professor Joel P. Trachtman has developed a unique, practical guide to help lawyers analyze, argue, and write effectively.
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For most attorneys, time spent managing the books is a necessary evil at best. Yet it is undeniably a crucial aspect of running a successful practice. With that in mind, we invite you to view or download a free webinar by Above the Law and our friends at Clio to learn how to better manage your finances.
Take this opportunity to learn what it takes to streamline your accounting and get the most out of your time. The webinar agenda:
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Do not miss this crucial chance to optimize your accounting practices. Save time and get back to billing!