An update on the associate salary outlook: The press focuses on firms who are reducing salaries or otherwise seeking creative ways to adjust compensation (i.e. Howrey’s apprenticeships), the truth is, most firms who traditionally start first year associates at a base salary of $160K are still doing so. These include Folger Levin & Kahn, Keker & Van Nest, Howard Rice Nemerovski Canady Falk & Rabkin, Farella Braun + Martel, Munger Tolles & Olson, Townsend and Townsend and Crew, Shartsis Friese, Irell & Manella, Quinn Emanuel Urquhart Oliver & Hedges, Fenwick & West, and Loeb & Loeb. Some firms who have reduced salaries include Allen Matkins, Foley & Lardner and Troutman Sanders. Also, we’re seeing summer associate programs diminished or abandoned entirely (Morgan, Lewis & Bockius and Weil, Gotshal & Manges). My belief is that as the market recovers, these “adjustments” will be tossed, and “business as usual” will continue. Highly hourly rates will be charged for associates; General Counsels will continue to grumble; profitability will increase as will salaries. When times are buoyant, memory is short.
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