NY GOES TO 180k! IT HAPPENED!!!! (CovingTTTon does a 180! Holder wept.) Forum

[MCFC]

Covington didn't forego an opportunity to lead and look where that got them.

[nealric]

Ms. Lees, who oversees the insurance company’s 1,400-person legal team, ends by reminding the law firms that clients like herself, “are fortunate to enjoy a robust legal marketplace in which competition prevails” and can reward those who innovate. “I encourage your firm to demonstrate prudence when considering the business decisions of firms such as Cravath,” she says. “To do otherwise is to ignore the realities of the marketplace and forego an opportunity to lead.”

So in this "competitive marketplace" where literally thousands of shitfirms would love to take Allstate's cases on for peanuts, they nonetheless keep telling Forrest & Gump LLP to fuck off in favor of Kirkland et. al.

Any in-house counsel who gives a flying flip what firms pay their first-year associates is completely missing the point. It's not the $180k first year that is causing your bill to inflate. It's the $5 million a year partner who wants to become a $10 million a year partner.

[Monochromatic Oeuvre]

To be fair, clients frequently send angry emails every time firms raise rates, but those emails are less likely to make it in the Journal when they're not tied to something newsworthy like associate raises.

But I agree that given that the base salary is only gonna be ~$90/hr of the bill, it makes much more sense to ask indignantly why partners are making $4M rather than why associates are making $180k.

[UnicornHunter]

Ms. Lees, who oversees the insurance company’s 1,400-person legal team, ends by reminding the law firms that clients like herself, “are fortunate to enjoy a robust legal marketplace in which competition prevails” and can reward those who innovate. “I encourage your firm to demonstrate prudence when considering the business decisions of firms such as Cravath,” she says. “To do otherwise is to ignore the realities of the marketplace and forego an opportunity to lead.”

So in this "competitive marketplace" where literally thousands of shitfirms would love to take Allstate's cases on for peanuts, they nonetheless keep telling Forrest & Gump LLP to fuck off in favor of Kirkland et. al.

LOL at this TTT Oklahoma dumbfuck highlighting the one variable that decimates her point. Maybe she doesn't hire the discount firms because she doesn't want to have to explain to the CEO that they lost a nine-figure case because some Simple Jack partner made an argument that dumb.

I assume her point is aimed at the firms who weren't going to get the nine plus figure cases anyway?

[Anonymous User]

cap was kind enough to share his data and some interesting metrics.

some interesting things so far:

for the most part, these are the players you'd expect. if you'd look at the PPP standings, we've heard from everyone in 1-20 except:

WLRK (lol)
GDC (shame!)
Boies (shame!)
Latham (shame!)
BuckleySandler (do they hire entry level associates?)
and Willkie.

With Weil coming in as the least profitable of the very-profitable group, PPP ranges from above 6MM (lol WLRK), to 2.5MM.

We also have two hero firms punching way above weight. Cooley and Winston are both in the 1.9-1.8MM PPP range and still signed up for this.

In terms of who is giving up the most (and who will be hurt), PW and Cleary are the movers who will take the biggest hit so far, but there's not much to support that Cravath did this to spite its close competitors: the salary move will cost CSM more than all but PW, DPW, Cleary and Weil.

but, if we include those who haven't moved, it'll also cost more for Cadwalader, White and Case, Orrick, DLA Pipe, K&L Gates, and Squire Patton Boggs to match than it did for Cravath to set.

In terms of firms we've talked about to shame, the PPP hit for Munger would only be about 27k. Compare that to Cadwalader who takes a 150k PPP hit, dropping their PPP by 7.25%.

Yes, can we please shame BuckleySandler? Thanks. And yes, we do hire entry levels but generally only through diversity programs.

[Anonymous User]

Should we (I) just give up on Perkins?

[smaug]

lmao didn't realize BuckleySandler hasn't raised yet. That's some BS

[Anonymous User]

I was assuming they bill the ny associates out at Atlanta rates. But don't really know.

K&S's rates vary by office.

[Anonymous User]

Received a firm wide email Friday 6/10 afternoon noting that management was aware of situation and would be looking into it to analyze how it would work within firms model and desire to stay competitive and would let us know when analysis was done....still have yet to hear how that turned out.

[Anonymous User]

I posted this in another thread, but no bites, so:

Does anyone have info on how K&L's non-major market offices went? Their memo said only a few markets would go to 180 for first years and other offices would be treated separately. Interested if anyone is in one of those smaller markets where salaries went.

[Anonymous User]

I posted this in another thread, but no bites, so:

Does anyone have info on how K&L's non-major market offices went? Their memo said only a few markets would go to 180 for first years and other offices would be treated separately. Interested if anyone is in one of those smaller markets where salaries went.

I know that at least a couple offices are waiting for others in their respective markets to move.

[Anonymous User]

I posted this in another thread, but no bites, so:

Does anyone have info on how K&L's non-major market offices went? Their memo said only a few markets would go to 180 for first years and other offices would be treated separately. Interested if anyone is in one of those smaller markets where salaries went.

I know that at least a couple offices are waiting for others in their respective markets to move.

LOL. "In keeping with our commitment to compensate our associates at a competitive level, we are pleased to inform you that you are already being compensated at the market salary in [insert whatever dumbass city K&L is in, maybe Toledo]. Cheers, fuckers."

[Anonymous User]

I posted this in another thread, but no bites, so:

Does anyone have info on how K&L's non-major market offices went? Their memo said only a few markets would go to 180 for first years and other offices would be treated separately. Interested if anyone is in one of those smaller markets where salaries went.

I know that at least a couple offices are waiting for others in their respective markets to move.

LOL. "In keeping with our commitment to compensate our associates at a competitive level, we are pleased to inform you that you are already being compensated at the market salary in [insert whatever dumbass city K&L is in, maybe Toledo]. Cheers, fuckers."

Anon above re not hearing back from firm yet...

Can't wait to get this response (we're nyc and some other markets too)

[HerculesQEinstein]

Should we (I) just give up on Perkins?

I can't imagine they won't raise in NY/DC/SV/LA/SF at least.

[Big Shrimpin]

bunch of firmz raised today i think

[Anonymous User]

Over/under $1.2M for the highest PPP of a firm that is paying less than $180k for first years in a major market as of July 1?

(Wachtell not included because Wachtell)

Well Holland & Knight only went to $160 about 2 months ago and have $1.25mm PPP sooo...over.

Any hope for H&K? Opening new offices.... high-ish PPP (relative to others that have raised)....

[Anonymous User]

bunch of firmz raised today i think

[Anonymous User]

bunch of firmz raised today i think

Someone just told me they think my firm is the most prestigious firm not to match yet.

Most prestigious woooooo

[El Pollito]

we're gonna get brexited

[Mr. Peanutbutter]

we're gonna get brexited

[smaug]

we're gonna get brexited

but srsly

[Anonymous User]

Didn't Linklaters just match today? They should have held off...

[lhanvt13]

Didn't Linklaters just match today? They should have held off...

Brexit can't hold us back.

[Mr. Peanutbutter]

Didn't Linklaters just match today? They should have held off...

Brexit can't hold us back.

Yeah, but lol if they're going to give extra raises to adjust for the new strength of the dollar. £125k won't be looking so hot in six months

[beautyistruth]

Didn't Linklaters just match today? They should have held off...

Brexit can't hold us back.

That's the spirit!