Linklaters and Allen & Overy freeze salaries
13 May 2011
Allen & Overy
(again) and Linklaters
have frozen salaries, meaning that associates at the Magic Circle firms will only move up a salary band this year - but the salary bands themselves will stay at this year's rates. However for A&O lawyers at least that's better than 2009-10, when no-one was allowed to progress through the salary bands (despite having a year's more experience).
The A&O announcement, leaked to RollOnFriday at the beginning of the week, means that new NQs will still make £61,000, 1PQE associates £68,000, 2PQE associates £74,000 and 3PQE associates £85,000. So they're not exactly picking through the bins, although the firm (and Links, which has almost identical bands to A&O) has been overtaken
by Slaughter and May
An A&O spokesman said "trading conditions in the UK market remain flat. Clients face the same pressures we do in this market and it would be difficult to justify an increase in salary rates. Our associates do, however, benefit from rolling through the bands
". Obviously a few more people need to move to Belfast
before the firm can bump up the bands for next year.
||Magic Circle pay freezes. What you won't see.|
Over at Nabarro
, pay rises have been rather easier to come by. Although the firm is strictly merit-based when it comes to extra wedge, RollOnFriday can reveal that secretaries have received between a bump of between 0% and 4%, whilst junior associates can expect their pay packets to show an increase from between 0% and 10% this year. It's not known how many people received a magnificent 0% pay rise this year.
More interestingly, it was revealed that only about a third of Nabarro's 7+PQE lawyers will be taking home extra bacon. The remainder - those who have not made it onto a highly-selective partnership talent development fast track course thing - will receive nothing extra (except possible sales and hours bonuses). And should presumably be getting their CVs out pretty sharpish...