Cotterman On Compensation

This blawg discusses all levels of law firm lawyer compensation, from associates to service partners, to rainmakers, to lawyer-managers, and senior lawyers who are phasing down in preparation for retirement. It comments on external market forces as well as the complex internal issues of system design, productivity, and motivation. It draws on Altman Weil’s extensive survey databases as a source of compensation trends and benchmarks.

Author: Jim Cotterman is a principal with Altman Weil, Inc., based in Newtown Square, Pa. He is the lead author of ABA’s Compensation Plans for Law Firms. He is a member of the board of editors of American Lawyer Media’s newsletter Accounting and Financial Planning for Law Firms. Another Altman Weil principal, Charles A. "Biff" Maddock, authors Maddock on Marketing.

Blawg Related Categories: Careers • Lawyer Pay • Law Firms • Associates • Partners • Consultant

Recent Posts from Cotterman on Compensation

Start Working on AR Now
Today’s Wall Street Journal had an article on corporations hoarding cash. While not directly citing a slow down in paying bills, the mindset of holding onto cash to retain “operational and strategic flexibility” is not a…
What Ever Happened to Mandatory Retirement?
Whatever happened to mandatory retirement? Just two years ago in 2007 the New York State Bar Association (NYSBA) and the American Bar Association (ABA) developed position statements urging abandonment of mandatory retirement. According to the NYSBA report,…
The Changing Associate Model
The recession has challenged businesses everywhere. Law firms have been more profoundly affected by these extraordinary times then any I can remember. Unfortunately these changes have disrupted lives and livelihoods — significant associate layoffs, associate pay reductions,…
Discussing Law School Change
Paul Lippe, Founder of Legal OnRamp, wrote an interesting commentary, Welcome to the Future: Time for Law School 4.0. In it he advocated a change in direction for the nation’s law schools including an accelerated curriculum,…
Open or Closed Compensation Programs
I was recently asked about my views on open or closed partner compensation programs. Here is my response. Law firms predominantly have open programs; about 80% to 85% are open; 3% to 5% semi-closed (either…
Credit Markets
While not as bad as the 4th quarter of 2008 and the 1st quarter of 2009, credit markets continue to be less friendly. Credit limits are often lower as banks modify their ratios. Loan covenants are…
Accounting Firms Cope with Recession Pressures
This article is a good summary of how the recession affected the accounting firms. It may all sound a bit unsettling as I found myself easily substituting “law firm” for “accounting firm” and finding it spot…
Are Your Premises Secure?
Beware of the troubled landlord who is not maintaining their properties, paying property taxes or are late on its mortgages. This CNN Money article on commercial real estate mortgages identifies the worrisome trends — declining rental…
Responsibility
Interesting post on the Legal Watercooler yesterday that demonstrates the tension between making sharp business decisions and doing right by people. We see this play out in a variety of ways from firm to firm.
Some Thoughts on Origination
Measuring the source of new work for purposes of remuneration decisions continues to challenge law firms. Clearly when a partner or team of partners bring a new client to the firm there is measurable origination. …