Reed Smith confirms it won't raise associate salaries
One large law firm is holding the line as more law firms match new associate pay scales that, according to the new Cravath standard, range from $190,000 to $340,000.
Reed Smith has no current plans to raise associate starting salaries at any location, the American Lawyer reports, citing information provided by Casey Ryan, a Reed Smith partner and global head of legal personnel.
Ryan said its decision is based on “the interests of clients.” Ryan added that the firm continues to monitor the market, however.
The first law firm to announce a new pay scale for associates was Milbank, Tweed, Hadley & McCloy, which announced on June 4 that it would pay $190,000 to new associates and $330,000 to eighth-year associates. Cravath set a new standard the following week when it announced pay scales that started at $190,000 and topped out at $340,000. Cravath is also paying special bonuses ranging from $5,000 to $25,000.
More than two dozen firms have jumped on board, according to a running tally kept by Above the Law. Recent law firms added to the list include Kramer Levin; Vinson & Elkins; Cooley; Fried Frank; White & Case; Gunderson Dettmer; Greenberg Gross; Keker Van Nest & Peters; Wilson Sonsini Goodrich & Rosati; Morgan Lewis; Sidley Austin; Freshfields; Bruckhaus Deringer; Ropes & Gray; Goodwin Procter; Cahill; and Clifford Chance.