Akerman Senterfitt Is Latest Firm to Cut Pay by 10 Percent
Florida-based Akerman Senterfitt has cut associate pay by 10 percent in an effort to avoid layoffs, a source tells a legal publication.
“The thought process was to preserve associate jobs,” the source told the Daily Business Review. Another source said job cuts may have to be made if the economy doesn’t improve soon.
The firm is also moving to a merit-based compensation system and plans to reward its highest-performing associates with bonuses so they won’t be affected by the pay cuts, a source said.
Above the Law posted an internal memo announcing the cuts that attributed the pay cut decision to “market conditions.” The memo stressed that the firm’s financial condition remains strong.
But the Daily Business Review reports that the firm’s clients are paying slower and demanding discounts. “There’s no doubt that it’s harder to collect money. That’s the case in every business, but Akerman has been strong,” the source said.
