As the news of associate raises continues, big questions remain. Take a look at these numbers:
- Of 32 firms with profits per partner of $2 million and more, 31 have announced raises (97%).
- Of 26 firms with profits per partner of between $1.5 and $1.9 million, 24 have announced raises (92%).
- Of 23 firms with profits per partner of between $1 million and $1.4 million, 10 (43%) have announced some form of raise.
- Of 17 firms with profits per partner below $1 million, only 4 (24%) have raised salaries, and 3 of those firms stipulated only in large markets or based on performance.
The upper echelon of firms (making more than $2 million in profit per partner) has fallen in line with the Cravath salary scale, most of them announcing raises within a week of Cravath's announcement. The next tier (making between $1.5 and $2 million per partner) has seen a majority of its firms match the Cravath scale, leading us to believe their peers will also fall in line, lest the brain drain of associate talent begin. But beyond that, the situation is unclear.
Will firms making below $1.5 million per partner begin to raise salaries in line with their more economically-blessed competition? Or will we start to see a much clearer bifurcation in the market? If so, the difference between the top and middle-tier firms will be more stark than before. The richest firms will try to attract ambitious associates looking for the biggest bucks and the biggest clients, while the less-well-off will have to find other ways to appeal to associates. The legal industry could be getting more interesting.
See below for all of the firms announcing raises, and those that have yet to announce. Be sure to check the very bottom of the chart to see the firms with undisclosed profits per partner that did r(a)ise to the occasion to keep and retain their talent! (And hey, if you happen to be looking for jobs at firms with those sweet, sweet raises, check out our website to see who's hiring).