How did firm deferment programs work during the Great Recession?

[Sawtooth]

Obviously I imagine deferral programs varied between firms, but I'd love some info on how they generally worked. My understanding is that the firm would pay the deferred associate between 60-80k to work for a nonprofit, government entity, or client for a year? Is that correct?

Was this paid in one lump-some, or as a paycheck?
Did the firms match deferred associates to these positions, or did the deferred associates go out and find them?
Did the deferred associates get firm benefits (i.e. health insurance)?

I know some of these programs were "optional." What were the pros/cons of taking the deferral vs. starting?

Totally understand that how deferral programs would work this time around or even their existance is total speculation.

[nealric]

It varied from firm to firm (both deferral, length, and payment terms). Some firms were optional, others mandatory. Length varied from 6 months to 18 months. Some firms also just rescinded offers. Some firms cut salaries during the downturn. And of course, some firms folded.

I ended up with 6 months unpaid (c/o 2010) at a v100.

[legalpotato]

Also interested in this. Would be particularly interested if any of the v20s did this and if associates (including midlevels) had the option to elect in to this.

[Libya]

Didn't Cravath do this in the great recession

[tuesdayninja]

Apparently WilmerHale had a decent year long deferment not tied to doing pro bono work. Latham apparently had a decent one too but I couldn't find specifics. https://abovethelaw.com/2009/04/nationwide-start-date-watch-winston-strawn-wilmerhale-baker-mckenzie-and-sonnenschein-delay-start-dates/

[Anonymous User]

Talked to a partner today about an offer who said Cravath did this, as did Latham.

[TrynaLaw]

See https://abovethelaw.com/deferral-stipend/ for a bunch of firm responses.

[BrainsyK]

https://abovethelaw.com/2009/12/nationw ... t-in-2010/

Mega list of treatment of 2009 incoming class. Changes were made later, but gist is that higher ranked firms treated people better--though I suspect that that's because they were richer, not because they were nicer. The distinction matters because richness and Vault are a lot less correlated now than then (e.g. Cahill, SRZ, etc.) so this time around may be different.

[s1m4]

What happened to midlevels? Anyone asked to take time off or something?

[nealric]

What happened to midlevels? Anyone asked to take time off or something?

A few firms did paid sabbaticals, but it was mostly the exception.