2014 Biglaw Bonus Thread Forum

[Desert Fox]

Never think optimistically? Got it. Thx.

If you want a bigger bonus, why not work for a firm that gives it? KE, Cahill, etc. etc.

[B.B. Homemaker]

Never think optimistically? Got it. Thx.

Optimism can be useful as motivation when you could potentially do something to alter the outcome. For things totally beyond my control, like firm bonuses, I don't see much use.

[Anonymous User]

Any word on what Skadden NY plans to do for bonuses?

[Old Gregg]

Never think optimistically? Got it. Thx.

Optimism can be useful as motivation when you could potentially do something to alter the outcome. For things totally beyond my control, like firm bonuses, I don't see much use.

Exactly. Just saving people from their own stupidity.

[Anonymous User]

Any chance that SullCrom, Skadden, and DPW are waiting because they suspect that Cravath might go higher than Simpson, and don't want to look bad if that happens? Or is that wishful thinking?

DPW will wait for S&C and Cravath to announce and will match the more conservative of those two plus Simpson most likely. That's consistent with the institutional approach. They shouldn't be included in the hoping to raise market crowd.

[Desert Fox]

Anyone wanna make baseless speculations on why Simpson decided to set the market? Prevent someone else from raising junior bonuses too high?

[lhanvt13]

Anyone wanna make baseless speculations on why Simpson decided to set the market? Prevent someone else from raising junior bonuses too high?

good will

[Anonymous User]

Anyone wanna make baseless speculations on why Simpson decided to set the market? Prevent someone else from raising junior bonuses too high?

As an associate at STB (and this is still somewhat speculation but not baseless) -- competition for high-quality associates, especially with Kirkland. Kirkland is the real driver of this increase. STB has lost too many of its best associates who left seeking the $$$ at Kirkland in recent years, and there is real disgruntlement over it (definitely helps with awareness of the problem among partners that Kirkland has approached every rainmaker partner at STB and offered them a job, too). Why STB and not some other firm? STB has by far the most overlap in strong practice areas (mainly PE) with Kirkland of all of the top firms, which makes it most susceptible to poaching.

For the record, the chairman of the firm had a speech this spring where he said the associates shouldn't expect us to be compensation leaders. I guess he changed his tune.

[fats provolone]

market: shattered

[911 crisis actor]

Simpson Thacher to offer brownies to all associates

[Anonymous User]

Anyone wanna make baseless speculations on why Simpson decided to set the market? Prevent someone else from raising junior bonuses too high?

As an associate at STB (and this is still somewhat speculation but not baseless) -- competition for high-quality associates, especially with Kirkland. Kirkland is the real driver of this increase. STB has lost too many of its best associates who left seeking the $$$ at Kirkland in recent years, and there is real disgruntlement over it (definitely helps with awareness of the problem among partners that Kirkland has approached every rainmaker partner at STB and offered them a job, too). Why STB and not some other firm? STB has by far the most overlap in strong practice areas (mainly PE) with Kirkland of all of the top firms, which makes it most susceptible to poaching.

For the record, the chairman of the firm had a speech this spring where he said the associates shouldn't expect us to be compensation leaders. I guess he changed his tune.

Too bad K&E's bonuses have been worse in recent years. Top billers topping out at 2.5x market if they're lucky.

[jbagelboy]

Any chance that SullCrom, Skadden, and DPW are waiting because they suspect that Cravath might go higher than Simpson, and don't want to look bad if that happens? Or is that wishful thinking?

DPW will wait for S&C and Cravath to announce and will match the more conservative of those two plus Simpson most likely. That's consistent with the institutional approach. They shouldn't be included in the hoping to raise market crowd.

I don't anticipate DPW increasing over its peers, its a traditional follower, but the firm would never cheapen out below Simpson or Cravath. They had a very strong year too with PPP & revenue growth % exceeding the others so certainly no economic reason to be uncompetitive.

[jbagelboy]

Anyone wanna make baseless speculations on why Simpson decided to set the market? Prevent someone else from raising junior bonuses too high?

As an associate at STB (and this is still somewhat speculation but not baseless) -- competition for high-quality associates, especially with Kirkland. Kirkland is the real driver of this increase. STB has lost too many of its best associates who left seeking the $$$ at Kirkland in recent years, and there is real disgruntlement over it (definitely helps with awareness of the problem among partners that Kirkland has approached every rainmaker partner at STB and offered them a job, too). Why STB and not some other firm? STB has by far the most overlap in strong practice areas (mainly PE) with Kirkland of all of the top firms, which makes it most susceptible to poaching.

For the record, the chairman of the firm had a speech this spring where he said the associates shouldn't expect us to be compensation leaders. I guess he changed his tune.

This sounds more like a Kirkland associate to me.

[Desert Fox]

Anyone wanna make baseless speculations on why Simpson decided to set the market? Prevent someone else from raising junior bonuses too high?

As an associate at STB (and this is still somewhat speculation but not baseless) -- competition for high-quality associates, especially with Kirkland. Kirkland is the real driver of this increase. STB has lost too many of its best associates who left seeking the $$$ at Kirkland in recent years, and there is real disgruntlement over it (definitely helps with awareness of the problem among partners that Kirkland has approached every rainmaker partner at STB and offered them a job, too). Why STB and not some other firm? STB has by far the most overlap in strong practice areas (mainly PE) with Kirkland of all of the top firms, which makes it most susceptible to poaching.

For the record, the chairman of the firm had a speech this spring where he said the associates shouldn't expect us to be compensation leaders. I guess he changed his tune.

This sounds more like a Kirkland associate to me.

guy MAF they didn't get a KE callback.

[911 crisis actor]

Any chance that SullCrom, Skadden, and DPW are waiting because they suspect that Cravath might go higher than Simpson, and don't want to look bad if that happens? Or is that wishful thinking?

DPW will wait for S&C and Cravath to announce and will match the more conservative of those two plus Simpson most likely. That's consistent with the institutional approach. They shouldn't be included in the hoping to raise market crowd.

I don't anticipate DPW increasing over its peers, its a traditional follower, but the firm would never cheapen out below Simpson or Cravath. They had a very strong year too with PPP & revenue growth % exceeding the others so certainly no economic reason to be uncompetitive.

You have knowledge of firms' 2014 financials?

[jbagelboy]

Any chance that SullCrom, Skadden, and DPW are waiting because they suspect that Cravath might go higher than Simpson, and don't want to look bad if that happens? Or is that wishful thinking?

DPW will wait for S&C and Cravath to announce and will match the more conservative of those two plus Simpson most likely. That's consistent with the institutional approach. They shouldn't be included in the hoping to raise market crowd.

I don't anticipate DPW increasing over its peers, its a traditional follower, but the firm would never cheapen out below Simpson or Cravath. They had a very strong year too with PPP & revenue growth % exceeding the others so certainly no economic reason to be uncompetitive.

You have knowledge of firms' 2014 financials?

Obviously no, I'm referring to this

[Desert Fox]

DPW will wait for S&C and Cravath to announce and will match the more conservative of those two plus Simpson most likely. That's consistent with the institutional approach. They shouldn't be included in the hoping to raise market crowd.

I don't anticipate DPW increasing over its peers, its a traditional follower, but the firm would never cheapen out below Simpson or Cravath. They had a very strong year too with PPP & revenue growth % exceeding the others so certainly no economic reason to be uncompetitive.

You have knowledge of firms' 2014 financials?

Obviously no, I'm referring to this

That's almost a year ago.

[911 crisis actor]

Obviously no, I'm referring to this

22.5% surge in profits on 5.4% growth in revenue isn't suspicious at all

[cookiejar1]

Cravath just announced. Matched STB. Fuck our optimism.

[dixiecupdrinking]

Link?

I'm just glad CSM matching sets a hard floor. No question what "market" is now.

[WhirledWorld]

Cravath just announced. Matched STB. Fuck our optimism.

If anything, that's good news. Cravath never leads by increasing comp, only by decreasing comp, as it did with the "half-Skadden" bonus debacle.

[lhanvt13]

Link?

I'm just glad CSM matching sets a hard floor. No question what "market" is now.

http://abovethelaw.com/2014/11/associat ... nounces/2/

[DoveBodyWash]

How do people think KE will respond for their own bonus scale?

[Anonymous User]

How do people think KE will respond for their own bonus scale?

It will be something like market is the floor, above 2,000 gets around 1.2x-1.3x market, 2,200-2,300 gets around 1.4x-1.5x market, 2,400-2,600 gets around 1.6x-2x the market. If you're above class or top of class (so a very small minority of each class year), you're looking at around 3x. Assuming they take into account this bump (during the last bump... they didn't, so bonuses were lackluster then as well).

[Anonymous User]

How do people think KE will respond for their own bonus scale?

dude chill out