We bring you more word of postponed start dates for incoming associates. The latest comes from the Philly firm of WolfBlock, as first reported in the Philadelphia Business Journal:

In response to the economic slowdown, Wolf Block has delayed the start date of its entry-level lawyers for two months. The firm said all but one of eight recent law school graduates were told not to report for work until November 10 rather than the normal start date shortly after Labor Day.

Hiring partner Andrew Chirls said the first-year associates, who get paid $135,000 a year, will receive a $5,000 stipend to tide them over.

That works out to $2,500 a month, or $30,000 on an annual basis. But hey, at least they don't have to work for it.

If you're interested, there's more -- including info about summer-associate offer rates -- after the jump.

In the immortal words of Roxette, "It must have been love; but it's over now." Last month, we marveled at all the law firm merger rumors making the rounds. These days, however, merger talks are falling apart, left and right.

As we first reported, the contemplated merger between Heller Ehrman and Baker & McKenzie is officially dead. For the skinny on their breakup, see Legal Pad. Apparently client conflicts were the deal breaker (as they so often are; they're the law-firm equivalent of serious religious differences, or really bad STDs). Baker & McKenzie will have to settle for being a firm with a measly $2.2 billion in annual global revenue.

And now this, from the National Law Journal:

In the days that followed the joint announcement by Wolf Block and Akerman Senterfitt that their merger talks hit a snag over a conflict, sources have pointed to deeper issues affecting the drawn-out discussions...

One source aware of the merger discussions said the combination would be a good thing for both firms but said Wolf Block leadership is unwilling to work out certain tax and pension concerns.

There is concern among some of Wolf Block's partnership over having to pay a significant amount in taxes upon merging with a corporation, the source said. There is also concern over having to make up for Wolf Block's unfunded pension liabilities. Both of the issues could cause partners to "take a real financial hit," the source said, adding that a loan could solve those problems, but firm leadership seems unwilling to go that route.

We'd end with the requisite punchy quip, but unfunded pension liabilities leave us uninspired.

(It's a Friday, in August, after 3 PM. Why are you still here?)

Trouble with WolfBlock-Akerman merger talks over more than conflicts [National Law Journal]
Conflicts Blamed for Failed Heller Merger Talks [Legal Pad]
Bakers breaks £1bn mark with 20% revenue boost [Legal Week via ABA Journal]

Earlier: Heller Ehrman Is NOT Merging With Baker & McKenzie
Law Firm Merger Mania: Collected Rumors and News

We've previously covered Denver and Hartford. Today our series of posts profiling associate compensation in various smaller legal markets -- smaller than New York or Washington or Los Angeles, at least -- turns to Philadelphia.

What's going on in the City of Brotherly Love? Based on some recent articles we've read, it seems that the standard starting salary in Philly hovers between $135,000 and $145,000.

At $135K: Schnader Harrison Segal & Lewis; Ballard Spahr Andrews & Ingersoll; Duane Morris; Blank Rome; Wolf, Block, Schorr & Solis-Cohen; and DLA Piper.

At $145K: Morgan, Lewis & Bockius; Dechert; Drinker Biddle & Reath; and Pepper Hamilton.

Will Philly move to the $160K scale anytime soon? If so, when? And who will lead the charge?

In the cheesesteak metropolis, starting salaries aren't the only issue. Per a commenter:

[W]hen you do [Philadelphia], please make sure to point out our mid-level comp which sucks. We get about a 5k raise per year (though [in] some years we do get 10k but not most). After 7 years we're just clearing 200k.

Interesting -- and depressing. Is so-called "compression" higher up the seniority ladder a more pressing salary issue in Philly right now than the state of starting salaries?

Please discuss, in the comments. Thanks.

Hangley Aronchick Raises Associate Salaries to $135,000 [Legal Intelligencer (subscription)]
Pepper Hamilton Raising First-Year Associates' Salaries by $20,000 [Legal Intelligencer (subscription)]