‘Where’s my raise?’
For the second time in less than a year, cash compensation in Biglaw is increasing. Eager to attract and retain associates during this hot lateral market, many firms have already adopted the new salary scale set by Milbank just last week. It’s still early in the cycle, but with salaries now ranging from $215,000 to $385,000, we suspected that some firms would wait for compensation leaders like Cravath and Davis Polk to make their own announcements prior to making a move, while other firms would simply not be able to match what the market would bear.
Some of Biglaw’s highest-grossing firms have already adopted Milbank’s new salary scale, but one top-ranked firm just isn’t in the mood yet.
Yesterday, associates at Norton Rose Fulbright — a firm that brought home $1,877,933,000 gross revenue in 2020, ranking it at No. 13 on the most recent Am Law 100 — received a memo from U.S. managing partner Jeff Cody informing them that a Milbank match was not yet on the way.
With a new salary scale that looks like this, associates weren’t exactly pleased:
| Class | Salary |
| 2021 | $215,000 |
| 2020 | $225,000 |
| 2019 | $250,000 |
| 2018 | $285,000 |
| 2017 | $325,000 |
| 2016 | $350,000 |
| 2015 | $370,000 |
| 2014+ | $385,000 |
Here’s what Cody had to say (full memo available on the next page):
“I wanted to let you know that we are monitoring these changes while recognizing that, as was the case in May and December last year, an additional increase may be forthcoming. We discussed the increase with the National NPAC and appreciated its members sharing their comments and concerns. As always, while we believe that other considerations drive retention, we understand that compensating our talented lawyers at market is essential. Rest assured that if and when we announce an increase, it will be retroactive to January 1, 2022.”
A source from inside the firm said, “Norton Rose is sitting out until DPW or Cravath (re)establishes dominance, I guess. Bonus memos regarding 2021 bonuses and 2022 compensation come out any day… guess they don’t want to have to update them.” Indeed. NRF is supposed to distribute compensation letters to associates this week, and in his memo, Cody noted that they will “not be reflective of any potential change in 2022 base compensation.”
On the bright side, Cody concluded his memo by stating, “We hope to be back in touch by the end of the week.” All eyes, of course, are now on Cravath and DPW. Are they prepared to meet Norton Rose’s deadline? We — along with thousands of Biglaw associates at firms across the country — will be waiting.
(Flip to the next page to read the full memo from Norton Rose Fulbright.)
Remember everyone, we depend on your tips to stay on top of this stuff. So when your firm matches, please text us (646-820-8477) or email us (subject line: “[Firm Name] Matches Milbank”). Please include the memo if available. You can take a photo of the memo and send it via text or email if you don’t want to forward the original PDF or Word file.
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Staci Zaretsky is a senior editor at Above the Law, where she’s worked since 2011. She’d love to hear from you, so please feel free to email her with any tips, questions, comments, or critiques. You can follow her on Twitter or connect with her on LinkedIn.
