Linklaters has announced pay rises for its trainees and junior associates, but for the first time the lawyers will be paid according to their performance.
Until 1 May Linklaters paid 2PQE associates £78,250 and 3PQE associates £89,000. Now their salary will depend on how much they dazzle the rest of the department. The firm's move away from a lock-step scheme for associates means they will be judged according to five "competency criteria" (technical ability, client care, team work, business management and dancing).
Prodigies can earn up to £82,000 if they are 2PQE, and £93,500 if they are 3PQE. But lazy strugglers who burp at clients or slap colleagues could now be paid up to £6,000 less than their übermensch peers, and up to £1,500 less than lawyers of the same level last year.
Linklaters is following in the footsteps of Freshfields, which moved to a similar system in 2012 (which it calls 'career milestones'). Neither has gone as far as RPC, whose Managing Partner Jonathan Watmough said "the concept of the flat rate has passed its sell by date" and which last September became the first City firm to abandon flat rates for NQs. However little they are beasted, Links NQs will still all be paid £65,000, matching the amount announced by Slaughter and May earlier this month.
Tip Off ROF
Until 1 May Linklaters paid 2PQE associates £78,250 and 3PQE associates £89,000. Now their salary will depend on how much they dazzle the rest of the department. The firm's move away from a lock-step scheme for associates means they will be judged according to five "competency criteria" (technical ability, client care, team work, business management and dancing).
Prodigies can earn up to £82,000 if they are 2PQE, and £93,500 if they are 3PQE. But lazy strugglers who burp at clients or slap colleagues could now be paid up to £6,000 less than their übermensch peers, and up to £1,500 less than lawyers of the same level last year.
A Linklaters associate stops work briefly to consider whether she might have a chance at getting the top salary, thereby immediately losing her chance of getting the top salary |
Linklaters is following in the footsteps of Freshfields, which moved to a similar system in 2012 (which it calls 'career milestones'). Neither has gone as far as RPC, whose Managing Partner Jonathan Watmough said "the concept of the flat rate has passed its sell by date" and which last September became the first City firm to abandon flat rates for NQs. However little they are beasted, Links NQs will still all be paid £65,000, matching the amount announced by Slaughter and May earlier this month.
1st seat trainee |
NQ |
1PQE |
2PQE |
3PQE |
|
Linklaters | £40,000 (£39,500) |
£65,000 (£64,000) |
£70,500 (£69,500) |
£77,500 to £82,000 (£78,250) |
£87,500 to £93,500 (£89,000) |
Slaughter and May |
£39,500 (£39,000) | £65,000 (£63,000) |
£70,000 (£69,500) |
£79,000 (£78,000) | £89,000 (£87,500) |
Allen & Overy |
£39,000 |
£64,000 |
£69,500 | £78,500 |
£89,000 |
Clifford Chance |
£39,000 | £63,500 | £69,500 | £78,200 |
£87,800 |
Freshfields | £39,000 | £65,000 | £72,500 | £80,000 | £90,000 |
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I work in the regional office of a large firm and I'm in the office most days 9-7. A decent NQ pay in the regions is £37k, in London, £60k. I don't feel this reflects the 'London cost of living' and the extra hours Londoners put in, it's worth much more. Further, in the regions I get much more responsibility and client contact (which is great) but if I was doing what I'm doing in London it'd be for the work and salary of a 2/3PQE.
Also - I'm often working on deals from the London office so the work is identical!
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