It has been argued that not all firms should be MoneyLaw firms and give all associates raises that match the Cravath scale. Firms should, instead, understand where they stand in the law firm food chain, and balance what their clients expect from them, both in terms of cost and service.
Along these lines, we have another firm, Sterne Kessler, seeking to reward its associates, but not match the full Cravath grid. Sterne Kessler will be giving all associates, regardless of class year, a $20,000 raise, effective July 1. Compare that with the MoneyLaw scale, which gives associates a raise of between $20,000 and $35,000, depending on class year.
Managing Director of the firm, Michael B. Ray, made the following statement regarding the raises:
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We are proud to be among the best-of-the-best in IP law, and the strength of Sterne Kessler is our talent. In particular, our associates, many of whom have advanced technical degrees, make tremendous contributions to the excellent service and value we provide to our clients. The talent pools in both the IP and Washington, D.C. legal markets are incredibly competitive, and we recognize it is essential to provide fair compensation to our associates based on their skillsets and performance. This is an important investment in the firm and our future.
Congratulations to Sterne Kessler associates, enjoy your well-earned raises.
We are covering this story as market conditions develop, so please drop us a line — text (646-820-8477) or email (subject line: “[Firm Name] Matches Cravath”) — when you know of another firm making a compensation move. Please include the memo if available. You can take a photo of the memo and send it via text or email if you don’t want to forward the original PDF or Word file. All sources are kept strictly confidential.
(Read the full email from the firm’s managing director on the next page)
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Kathryn Rubino is an editor at Above the Law. Feel free to email her with any tips, questions, or comments and follow her on Twitter (@Kathryn1).