Skaddenfreude: Morrison & Foerster (Non-New York)
California may be the Golden State — but not when it comes to the handcuffs placed on Biglaw associates.
On the West Coast, the handcuffs are silver rather than golden. We previously posted the compensation memo for Morrison & Foerster’s New York office. Now, for comparison purposes, here’s the memo for the firm’s associates beyond the Big Apple:
——-Original Message——-
From: Wetmore, Keith C.
Sent: Thursday, January 25, 2007 3:05 PM
To: LIST/Non-Partner Atty/SF; LIST/Non-Partner Atty/PA; LIST/Non-Partner Atty/SA; LIST/Non-Partner Atty/WC; LIST/Non-Partner Atty/LA; LIST/Non-Partner Atty/OC; LIST/Non-Partner Atty/SD; LIST/Non-Partner Atty/DN; LIST/Non-Partner Atty/DC; LIST/Non-Partner Atty/VA
Cc: LIST/Partner/SF; LIST/Partner/PA; LIST/Partner/SA; LIST/Partner/WC; LIST/Partner/LA; LIST/Partner/OC; LIST/Partner/SD; LIST/Partner/DN; LIST/Partner/DC; LIST/Partner/VA; List/Patent/Agt/All; Office Managing Partners-US; Directors of Administration-US; Herman, Janet Stone (PA); Moser, Cheryl L.; Nashelsky, Larren M.; Reed, Pamela J.; White, Anna Erickson
Subject: 2007 Associate Compensation Announcement
I am pleased to announce our 2007 compensation for associates located in our DC, Denver, Los Angeles, Northern Virginia, Orange County, Palo Alto, Sacramento, San Diego, San Francisco and Walnut Creek offices. Base compensation increases will be implemented for each class as noted below:
Class of 2006 – $145,000
Class of 2005 - $155,000
Class of 2004 - $170,000
Class of 2003 - $190,000
Class of 2002 - $210,000
Class of 2001 - $230,000
Class of 2000 - $245,000
These adjustments to base compensation will be reflected in your February 15 paycheck retroactive to January 1, 2007. If you are not in one of the class years noted above, or you are Of Counsel or a Patent Agent, we will be following up with you separately in the next few weeks. The 2007 bonus schedule will be finalized and distributed in the near future.
On behalf of the Firm, thank you for your part in making 2006 a great year for the Firm and for your hard work and commitment to the Firm and its clients as we look to the future.
Keith
Keith C. Wetmore | Chair
Morrison & Foerster LLP
Earlier: Skaddenfreude: Morrison & Foerster (New York only)
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Today is the day for Chicago, I can feel it. Oh, and Rex Grossman will win the Super Bowl MVP.
It better be. Those Sidley/Mayer/Kirkland memos should be posted within 30 seconds of them being sent out.
For Denver, at least, that is huge. Especially given the relatively low cost living. $145 K goes a lot farther here than in San Francisco or DC.
Brobeck matches $160,000 in all offices. See that you California beotches!?
How big is Brobeck?
Umm, isn't Brobeck extinct and/or in bankruptcy liquidation proceedings?
http://www.brobeck.com/
"The Liquidation Committee of Brobeck, Phleger & Harrison LLP has learned that on September 17, 2003, creditors of the Firm filed an involuntary petition (naming the Firm as the Debtor) in United States Bankruptcy Court, Northern District of California, Bankruptcy Case No. 03 32715DM. The petition was filed under Chapter 7 of the Bankruptcy Code. The matter has been set for a status conference on November 7, 2003 at 1:30 PM."
Anon 8:58:
Yes, that's why it's so surprising that they didn't follow MOFO/OMM in only going to $145k in CA.
The handcuffs in New York aren't merely golden. They are diamond-studded platinum now.
This speaks to the herd mentality of law firms. They fail to act for significant periods of time, but only respond when pressed. The stagnant associate salaries for years was the way that law firms preferred it. They weren't willing to make even minor yearly COLA in associate starting salaries, and were only willing to respond when pressed due to high associate turn-over. Law firms are poorly managed. The way they treat their employees wouldn't be tolerated in any large company. Associates and staff are fungible in their minds.
I started out with a passion for the law. I truly dreamt of being a lawyer since I was a kid. I still enjoy the practice in the sense of the legal skills. However, the business of law and the still-born personalities of the partners has effectively killed that passion. I now regret ever being a lawyer. Regret having to work for these misfits of society. The partners (most) have defective personalities and lack any empathy for those who work under them. The land of law is like the land of misfit toys. The refuge of those who are too defective to function in normal society.
The comment about Brobeck was funny if you know who Steven Zager is. Study up young 'uns: those who ignore history are doomed to repeat it ...
Not raising California salaries commensurately is shameful. So much for the MoFo mojo. COL in San Francisco is on par with NYC. I’ve lived in both cities. We all have the same oppressive debt, why should my classmates make $15k more? Denver, ok, point taken. But San Francisco and Los Angeles? Give me a break. A $10k differential was bad enough but if New York pay continues to slip away from that in California, new law school talent is going to head East. I certainly would.
STOP IT WITH THE COST OF LIVING BULLCRAP! That has very little to do with firms willing to maintain higher NYC pay than its other offices. It's about portability of the assoc's services. Many more non-law firm opportunities in NYC that often pay more than law firms. Sure, firms might try to sell the COL crap to their assocs, but that is just PR bullcrap. The firms are really telling you that it takes less money for them to retain your services because you are not as portable as your NYC counterparts. Deal with it.
STOP IT WITH THE COST OF LIVING BULLCRAP! That has very little to do with firms willing to maintain higher NYC pay than its other offices. It's about portability of the assoc's services. Many more non-law firm opportunities in NYC that often pay more than law firms. Sure, firms might try to sell the COL crap to their assocs, but that is just PR bullcrap. The firms are really telling you that it takes less money for them to retain your services because you are not as portable as your NYC counterparts. Deal with it.
Pennie & Edmonds raised Palo Alto office to $160,000. CA represent!
How is the COL in Palo Alto?
Anonymous, aren't you a bundle of joy? Regardless of their reasoning, if the gap continues to grow, new law school talent will think twice before coming West.
A&O just matched
A&O just matched.
That is just jacked up man. I really hope Latham or Gibson, those a-holes, shows OMM and MoFo up.
I know so many of my fellow lawschool mates who regret that they turned down NY firm branch offices in CA for the big CA firms, thinking that it would help us in the long run. So many wished they had gone to NY instead. I seriously am not joking, its all what we've been talking about.
A&O just matched.
Curious as to how this will drive up Wachtell. Thought first years there made double market. If anyone has any details, please share.
This is a great oppurtunity for LW or GDC to get major PR play by raising to 160k. Imagine if they do it - they will make almost as big a splash as Simpson did in NYC. Every law student who is thinking of CA will immediately put LW or GDC over its peer firms. There is simply no justification for CA to be 15k behind NYC when CA and NYC salaries were both at 125k for several years. It is just a fake divide that has been created by cheap CA firms who want to nickle and dime their associates for the sake of profits per partner. They will surely start to lose talent to Quinn, Irell (have they raised yet?), and the NY firms with CA offices. For the love of God, please GDC and LW just raise to 160k.