Biglaw Firm Wows With 'Extra-Extraordinary' Year-End Bonuses For High Billers
Boies Schiller knows how to make associates happy!
As we return to work following the Thanksgiving holiday for those of us in the U.S., we again have much to be thankful for, including our wonderful clients and colleagues. 2022 has been another successful year for the Firm, marked by headline trial wins, huge appellate victories (including in the Supreme Court), massive settlements, and truly impactful work in furtherance of the public good. None of this would be possible without your hard and excellent work, and your unwavering commitment to the Firm and its clients, for which we are also thankful.
That said, the Managing Partners are pleased to share details of this year’s associate bonus schedule for associates on the market compensation system. As we did last year, the Firm will offer “extraordinary” bonuses for market associates who exceed the 2,350 and 2,600 creditable hour thresholds.
|
Class Year |
Year-End Bonus (2000-2349 hours) |
Extraordinary Bonus (2350-2599 hours) |
Extra-Extraordinary Bonus (2600+ hours) |
|
2022(prorated) |
$15,000 |
$30,000 |
$40,000 |
|
2021 |
$20,000 |
$40,000 |
$50,000 |
|
2020 |
$30,000 |
$50,000 |
$60,000 |
|
2019 |
$57,500 |
$75,000 |
$85,000 |
|
2018 |
$75,000 |
$100,000 |
$115,000 |
|
2017 |
$90,000 |
$120,000 |
$135,000 |
|
2016 |
$105,000 |
$140,000 |
$150,000 |
|
2015+ |
$115,000 |
$150,000 |
$165,000 |
As always, in determining eligibility for the different bonus thresholds, pre-approved pro bono and other pre-approved non-billable hours are counted, subject to existing caps. For associates who joined us mid-year, or who were on approved leave, bonuses will be prorated accordingly. We anticipate that these year-end bonuses will be paid, as is our tradition, just prior to the Firm’s annual meeting next month to all associates in good standing who qualify.
For associates who have elected to remain on the Firm’s formula compensation system, we likewise anticipate paying formula compensation bonuses prior to the Firm meeting for associates in good standing. While formula compensation is a product of each lawyer’s individual productivity, as in years past, it has resulted in many substantially above-market bonuses, particularly amongst junior associates.
As a point of information, when we first offered associates the choice of the “market” system or our traditional formula compensation system two years ago, the majority of associates initially opted for the market system. Two years later, the vast majority of associates have opted to return to (or start on) formula compensation, presumably in recognition of the greater flexibility that it offers to associates at any workload level (since formula compensation scales directly as a function of creditable hours billed, as opposed to requiring associates to hit certain milestones); the credit that associates may receive for originating or running matters; and the participation in any premium from recoveries in our contingency or success-fee cases. As you know, we also made subtle changes to the formula this year that also generally run in favor of associates.
In recognition of the fact that associates are predominantly on formula compensation and to (somewhat) mitigate the disparity between the two systems so that high-performing market associates are not disadvantaged, as you will see from the chart above, the Firm has substantially increased the “extraordinary” bonus figures for market associates to more closely approximate the sorts of bonuses that formula compensation associates may receive for comparable hours. Of course, a key feature of the market system, unlike formula, is that these hour thresholds are strict. As we did last year, we will allow any associate on market who wishes to opt back onto formula for 2023 to do so, so long as that decision is communicated to the Firm (Amy Habie and/or the MPs) by year-end.
Once again, we appreciate the hard work and sacrifice that you and your loved ones make for the good of our clients and the Firm. We look forward to seeing you and your families soon in Key Biscayne.
The Managing Partners
