2021 End of Year Bonuses Forum

[Anonymous User]

Someone who knows antitrust better than me should explain why this article isn’t directly applicable to this delay in announcing bonuses by BOTH (1) market movers and (2) market followers, when a traditional “market leader” has already announced their “price”.

https://socialsci.libretexts.org/Booksh ... ame_Theory

Bump given the comment above

I don't know shit about shit (even though my undergrad specialization was in game theory),

but without clicking this link at all, my thought is maybe CSM isn't seen as a market leader in comp anymore?

Cravattth, all joking aside, hasn’t been much of a market leader at all, lately.

ATL has heard our cries: https://abovethelaw.com/2021/11/cravath ... e-bonuses/

I appreciate them putting the pressure on DPW, but I do not in fact want other firms to just start matching now. Everyone else needs to leave this weak CravaTTTh scale untouched and continue to signal that we fully expect Milbank or DPW to set a real scale for bonuses that everyone can then follow.

Totally agreed. And they should glorify DPW and Milbank in every article for their leadership. Huge dividends for Milbank in increased respect due to their move. HUUUUUGEEEEEE. And DPW has the chance to pass Cravath as v#1 if they really blow them out of the water. Who could vote Cravath higher if DPW says fuck you and doubles it. Nobody.

It seems like DPW gets all the credit for the salary bump, as seen in this article, even though Milbank started it. So neither Milbank nor Davis Polk has incentive to move first on bonuses. They'll wait as long as possible.

[Anonymous User]

If you keep getting logged out and redirected to the main page, you can bookmark this thread and click the link in the top left of the page once you log back in. Obviously, this won’t keep you logged in but at least let’s you bypass searching this topic each time.

[Moneytrees]

Any thoughts on whether retention/special bonuses will be announced? I think that's the bigger issue, rather than whether we get an additional 5-15k for the annual bonus.

[Anonymous User]

It seems like DPW gets all the credit for the salary bump, as seen in this article, even though Milbank started it. So neither Milbank nor Davis Polk has incentive to move first on bonuses. They'll wait as long as possible.

I strongly disagree. Milbank received a significant amount of credit on this form (and among other biglaw assocaites) purely by stepping up to become a comp leader. I hardly knew who they were before then (I'm in a smaller market). We all remember who started the salary wars, and getting topped by DPW is nothing to be ashamed of.

If Milbank bumps the CravaTTTh scale in a way that satisfies the masses, they will be loved by all regardless of whether DPW pleases us further.

[Anonymous User]

Any thoughts on whether retention/special bonuses will be announced? I think that's the bigger issue, rather than whether we get an additional 5-15k for the annual bonus.

This is indeed the key question. Will also help minimise attrition in January.

[Anonymous User]

Thoughts on whether the stub/first year distinction will survive all of the matches/raises? Stubs bonuses are already prorated, they're saving not even $1,700 per stub-year associate by making the bonus less than first years. How petty for a firm at this level.

With the benefit of a week's time, we can now say that every firm that has matched Cravath so far *is* sticking with the stub/first year distinction (15K pro-rated vs. 20K).[1] I agree that it's a petty distinction for rich firms to insist upon, but they can get away with it since it amounts to depriving stubs of a couple hundred dollars post-tax.

[1] SOURCE: https://abovethelaw.com/2021/11/biglaw- ... cker-2021/

[Anonymous User]

Any thoughts on whether retention/special bonuses will be announced? I think that's the bigger issue, rather than whether we get an additional 5-15k for the annual bonus.

I suspect that this is the real hang-up for at least some big firms. I think now the most likely outcome is the Cravath EOY scale is matched across the board, but at least some firm previews special bonuses coming around April-ish, and then we'll see how everybody else treats that.

[Anonymous User]

Any thoughts on whether retention/special bonuses will be announced? I think that's the bigger issue, rather than whether we get an additional 5-15k for the annual bonus.

I suspect that this is the real hang-up for at least some big firms. I think now the most likely outcome is the Cravath EOY scale is matched across the board, but at least some firm previews special bonuses coming around April-ish, and then we'll see how everybody else treats that.

NFW. Stop losing track. Either DPW or Milbank will absolutely raise the scale Cravath put out. That is the base case. Feel free to speculate beyond that on special bonuses, etc.

[Anonymous User]

Any thoughts on whether retention/special bonuses will be announced? I think that's the bigger issue, rather than whether we get an additional 5-15k for the annual bonus.

I suspect that this is the real hang-up for at least some big firms. I think now the most likely outcome is the Cravath EOY scale is matched across the board, but at least some firm previews special bonuses coming around April-ish, and then we'll see how everybody else treats that.

NFW. Stop losing track. Either DPW or Milbank will absolutely raise the scale Cravath put out. That is the base case. Feel free to speculate beyond that on special bonuses, etc.

Like Vince Vaughn in Dodgeball, I can't be disappointed if I don't have any expectations. You're just setting yourself up for teeth gnashing. I'm probably bailing from biglaw in early 2022 anyway so they can't retain me without something like a 2x scale minimum.

[TLSposter1990]

I'm legitimately surprised that neither DPW or Milbank moved today. I can understand the silence last week (Thanksgiving) and the silence yesterday was sort of expected too (just getting back from holiday, need time for partnership to confer, etc.). But I was almost certain that we were going to get answers today.

[Anonymous User]

I'm legitimately surprised that neither DPW or Milbank moved today. I can understand the silence last week (Thanksgiving) and the silence yesterday was sort of expected too (just getting back from holiday, need time for partnership to confer, etc.). But I was almost certain that we were going to get answers today.

I think someone noted above that it is likely that the committee meetings were already set for later in the week and no one is leaving this month that is going to be retained by bonuses, so what is the gain in announcing early?

[Anonymous User]

I'm legitimately surprised that neither DPW or Milbank moved today. I can understand the silence last week (Thanksgiving) and the silence yesterday was sort of expected too (just getting back from holiday, need time for partnership to confer, etc.). But I was almost certain that we were going to get answers today.

I think someone noted above that it is likely that the committee meetings were already set for later in the week and no one is leaving this month that is going to be retained by bonuses, so what is the gain in announcing early?

I think they are probably watching this market craziness and waiting it out a few more days...just to be safe.

[Anonymous User]

This is starting to feel insulting ....

[Anonymous User]

This is starting to feel insulting ....

And DPW and Milbank (despite I'm sure not caring about this at all) realistically need to leave some time for other slow movers to match the scale! Someone like Morgan Lewis is going to be announcing their bonuses in January at this rate.

[Anonymous User]

So DPW pays its checks on the 15th and the 30th of each month. And historically (? I think) EOY bonus is paid out on 12/15. So I would imagine that this bonus announcement from them would come out sometime this week or next week at the absolute latest.

Obviously, they can send out EOY bonus whenever so there is some variability

[TigerIsBack]

There have to be some DPW/Milbank people reading this that have an ear to the ground on what might happen. What's the word over there?

[Anonymous User]

So DPW pays its checks on the 15th and the 30th of each month. And historically (? I think) EOY bonus is paid out on 12/15. So I would imagine that this bonus announcement from them would come out sometime this week or next week at the absolute latest.

Obviously, they can send out EOY bonus whenever so there is some variability

Yeah it's always been within 1 week on either side of 12/15 in my 4 years here (earliest I believe 12/13, latest 12/21).

[BrowsingTLS]

So DPW pays its checks on the 15th and the 30th of each month. And historically (? I think) EOY bonus is paid out on 12/15. So I would imagine that this bonus announcement from them would come out sometime this week or next week at the absolute latest.

Obviously, they can send out EOY bonus whenever so there is some variability

Yeah it's always been within 1 week on either side of 12/15 in my 4 years here (earliest I believe 12/13, latest 12/21).

This is another reason we need an announcement now.

Lol at cadwalader paying EOY bonuses in February 2022.

[Anonymous User]

So DPW pays its checks on the 15th and the 30th of each month. And historically (? I think) EOY bonus is paid out on 12/15. So I would imagine that this bonus announcement from them would come out sometime this week or next week at the absolute latest.

Obviously, they can send out EOY bonus whenever so there is some variability

Yeah it's always been within 1 week on either side of 12/15 in my 4 years here (earliest I believe 12/13, latest 12/21).

This is another reason we need an announcement now.

Lol at cadwalader paying EOY bonuses in February 2022.

I’ve always wondered what’s up with that. Is it a working capital problem for scrappier firms that rely on EOY client collections to stay cash-flush?

Are there sizable V100 firms that cannot “afford” an 8-figure outlay ($XX million to pay out all associate bonuses) at any particular moment?

[Anonymous User]

If only the partnership knew how much billable time is being lost not announcing early causing associates to stay glued to TLS and ATL for updates all day...

[Anonymous User]

So DPW pays its checks on the 15th and the 30th of each month. And historically (? I think) EOY bonus is paid out on 12/15. So I would imagine that this bonus announcement from them would come out sometime this week or next week at the absolute latest.

Obviously, they can send out EOY bonus whenever so there is some variability

Yeah it's always been within 1 week on either side of 12/15 in my 4 years here (earliest I believe 12/13, latest 12/21).

This is another reason we need an announcement now.

Lol at cadwalader paying EOY bonuses in February 2022.

I’ve always wondered what’s up with that. Is it a working capital problem for scrappier firms that rely on EOY client collections to stay cash-flush?

Are there sizable V100 firms that cannot “afford” an 8-figure outlay ($XX million to pay out all associate bonuses) at any particular moment?

No lol. It's just accounting - all firms pay bonuses after they close their books. Most firms close books on Sept 30 and pay bonuses in December. A handful of firms (W&C, L&W, Cadwalder, etc.) close their books Dec 31 and pay bonuses in Jan/Feb.

[Anonymous User]

If only the partnership knew how much billable time is being lost not announcing early causing associates to stay glued to TLS and ATL for updates all day...

my wife told me if i'm just going to post on this stupid forum all day instead of working I might as well help with the kids

[Anonymous User]

.

[Anonymous User]

If only the partnership knew how much billable time is being lost not announcing early causing associates to stay glued to TLS and ATL for updates all day...

my wife told me if i'm just going to post on this stupid forum all day instead of working I might as well help with the kids

Lol. My wife has said similar things to me but I always respond with this:

[Anonymous User]

If only the partnership knew how much billable time is being lost not announcing early causing associates to stay glued to TLS and ATL for updates all day...

my wife told me if i'm just going to post on this stupid forum all day instead of working I might as well help with the kids

Look partners, the floodgates are opening. If we don’t get a raise soon, we’re going to start realizing there are more important things in life than making you money 24/7.