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Skaddenfreude: Winston & Strawn, Blank Rome, and Morning Open Thread

100 dollar bill Above the Law Above the Law law firm salary legal blog legal tabloid Above the Law.JPGA few more announcements have floated in, including ones from Blank Rome and Winston & Strawn. More details, plus a memo (in the case of Blank Rome), after the jump.

(These were the announcements that were into us and confirmed by the time we left for New York this morning. If you submitted confirmation of an announcement after 5 AM today, we'll include it in our next round-up of pay raise news. Thanks.)

WINSTON & STRAWN

"Winston & Strawn has bumped in Chicago and Washington, DC, to the standard 145, 155, 170, 190, 210, etc. Our New York office has gone to the standard NY 160 etc. rates."

"We all got individual memos, so there is no firm wide memo to send to you."

BLANK ROME

A Blank Rome memo was posted in the comments yesterday. As another commenter notes, it would be appear to be authentic, in light of this Legal Intelligencer article. So here's the memo:

MEMORANDUM

TO:
All Attorneys

FROM:
David F. Girard-diCarlo, Chairman
Carl M. Buchholz, Managing Partner and Chief Executive Officer

DATE: February 7, 2007

RE: Associate Compensation

We are pleased to announce that in response to recent changes in the marketplace as well as in recognition of the significant contributions of our Associates toward the success of the Firm, the Firm is increasing starting salaries for Associates effective January 1, 2007. Starting salaries for Associates in New York will be increased to $150,000, in Washington they will be increased to $145,000, and in Philadelphia they will be increased to $135,000. All other offices will be appropriately adjusted to reflect their respective markets.

Market adjustments are also being made for Associates in all subsequent class years, and the information on these adjustments will be communicated directly to Associates by the Practice Group Leaders over the next week. These market adjustments are in addition to the merit increases and bonuses being awarded to our Associates.

Law Firm Salary Increases Raise Eyebrows, Expectations [Legal Intelligencer]

Comments
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1 Posted by guest | Permalink Thursday, February 8, 2007 11:45 AM

Hello? Squire Sanders?

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2 Posted by No.1BrownsFan | Permalink Thursday, February 8, 2007 11:51 AM

If Jones increased in Cleveland, how does Squire Sanders not keep up?

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3 Posted by guest | Permalink Thursday, February 8, 2007 11:51 AM

Jones Day Chicago???

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4 Posted by guest | Permalink Thursday, February 8, 2007 11:58 AM

Baker and McKenzie SF raised! Woohoo! Now I can stop reading this board all day!

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5 Posted by guest | Permalink Thursday, February 8, 2007 12:01 PM

I wonder if Squire Sanders will WHITE GIRLS WITH ASIAN GUYS?

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6 Posted by guest | Permalink Thursday, February 8, 2007 12:02 PM

JD Chicago - white girls with asian guys?

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7 Posted by guest | Permalink Thursday, February 8, 2007 12:07 PM

Hey Lat:

It's hard to keep track of all this information on different threads. Can we consolidate it in a new thread for white girls with asian guys?

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8 Posted by guest | Permalink Thursday, February 8, 2007 12:08 PM

I agree with 12:07. It's important that information on white girls with asian guys is easily accessible.

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9 Posted by future baker | Permalink Thursday, February 8, 2007 12:13 PM

What about the rest of Baker & McKenzie offices?

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10 Posted by guest | Permalink Thursday, February 8, 2007 12:13 PM

White girls with asian guys? I don't get it.

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11 Posted by highly offended | Permalink Thursday, February 8, 2007 12:32 PM

i am an asian guy married to a white girl - so f.u. - i guess you guys don't get it because u r 40 y.o. virgins?

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12 Posted by Rice Queen | Permalink Thursday, February 8, 2007 12:55 PM

For those that don't get wgwag, it started as a joke a couple of days ago in these threads, and quickly went into a tit-for-tat that included some, uh, choice words. Then wgwag kept it up at random times (see Orrick DC post in previous thread) largely jokingly but also, in my view, to drive home a point about diversity. So, everyone, lighten up. It's funny. A bit of levity in all this obsession with the food bowl.

Now, for my two baht's worth: white guys with asian guys!

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13 Posted by guest | Permalink Thursday, February 8, 2007 1:06 PM

That didn't explain the substance of the joke at all. Thanks.

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14 Posted by guest | Permalink Thursday, February 8, 2007 1:09 PM

i can understand white guys for asian girls since I have a bit of the yellow fever myself, but don't see too much of the opposite going on ... asian guys get nada.

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15 Posted by guest | Permalink Thursday, February 8, 2007 1:32 PM

What thread was the original joke in? Or the choice words? It's just annoying now, but maybe it would less so, or even funny, if I could tell what the hell you were talking about.

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16 Posted by anon | Permalink Thursday, February 8, 2007 1:34 PM

I agree. How often do you ever see a white girl with an asian guy? I know it happens, but it's really rare. I think it has to do with their lack of endowment.

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17 Posted by anon | Permalink Thursday, February 8, 2007 1:39 PM

I agree. How often do you ever see a white girl with an asian guy? I know it happens, but it's really rare. I think it has to do with their lack of endowment.

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18 Posted by anon | Permalink Thursday, February 8, 2007 1:40 PM

I agree. How often do you ever see a white girl with an asian guy? I know it happens, but it's really rare. I think it has to do with their lack of endowment.

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19 Posted by anon | Permalink Thursday, February 8, 2007 1:47 PM

I always assumed wgwag was an attempt to grab porno-seeking google feeds.

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20 Posted by Anonymous | Permalink Thursday, February 8, 2007 1:49 PM

Sheppard Mullin announced salaries for all class levels:

To All Associates:

As announced in my e-mail of January 27, 2007, the Firm raised first year associate base salaries retroactive to January 1, 2007. Base salaries have now also been raised for second years through Counsel 3, also retroactive to January 1, 2007. The new base salaries by class are as follows:

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
Counsel 1: $225,000
Counsel 2: $240,000-$250,000
Counsel 3: $250,000

New York:
Class of 2006: $160,000
Class of 2005: $170,000
Class of 2004: $185,000
Class of 2003: $210,000
Class of 2002: $230,000
Counsel 1: $250,000
Counsel 2: $265,000-$280,000
Counsel 3: $280,000
We believe these new levels are in line with our competition.
You will be receiving your new compensation and retroactive payment with your next paycheck.
Adjustments for Special Counsel, Senior Attorneys and Contract attorneys will be made on an individual basis.
We are also in the process of reevaluating our bonus program for 2007. Robert Beall will continue to work with the Associates Forum to solicit your input on the current system and to evaluate potential changes to our bonus structure. We intend to complete this process by May, 2007.
On behalf of the Firm, we appreciate all of your contributions and hard work and look forward to another successful year in 2007.

Guy N. Halgren
SHEPPARD MULLIN RICHTER & HAMPTON LLP

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21 Posted by guest | Permalink Thursday, February 8, 2007 1:51 PM

1:34/1:39/1:40 -- ZOMG!!1! That's like the most original joke ever!

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22 Posted by anon | Permalink Thursday, February 8, 2007 1:54 PM

It's true, isn't it. Why does it have to be original? Where, besides brothels, will you find white girls with asian guys? They no "rikey."

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23 Posted by anon | Permalink Thursday, February 8, 2007 1:57 PM

It's true, isn't it. Why does it have to be original? Where, besides brothels, will you find white girls with asian guys? They no "rikey."

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24 Posted by anon | Permalink Thursday, February 8, 2007 1:58 PM

It's true, isn't it. Why does it have to be original? Where, besides brothels, will you find white girls with asian guys? They no "rikey."

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25 Posted by orricksummerassoc. | Permalink Thursday, February 8, 2007 2:02 PM

When people mention Orrick SF, they have generally said that orrick is a joke or not a leader for compensation. Is that true? is orrick a real player in SF?

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26 Posted by anon | Permalink Thursday, February 8, 2007 2:11 PM

hey 1:58 -- do you always triple-post like a douche or only when you're making retarded racist gags?

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27 Posted by Anonymous | Permalink Thursday, February 8, 2007 2:11 PM

My impression is that Orrick doesn't want to be a market leader in compensation, but wants to be with the pack paying market rates. They aren't going to be a mover, but will keep up. It fits in with the firm's overall long-term strategy.

I also think that Orrick hasn't pulled a MoFo and improved their PPP just by working associates harder.

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28 Posted by Rice Queen | Permalink Thursday, February 8, 2007 2:12 PM

H+K went to $160k in NY, $145k in DC/LA/SF/Chi, and $130k in ATL. www.dailyreportonline.com

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29 Posted by china syndrome | Permalink Thursday, February 8, 2007 2:16 PM

i bet your lawfirm no "rikey" your comments - i hope your IT department is not flagging you

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30 Posted by guest | Permalink Thursday, February 8, 2007 2:17 PM

Does anyone know what Winston did for years 6 and 7? There has been some variation in DC. Akin did 220/225, Covington did 225/235, Latham and Hogan did 225/240.

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31 Posted by anon | Permalink Thursday, February 8, 2007 2:17 PM

Again, why is the truth racist? Is it common, no. Perhaps in fantasy land. Hey, you're obviously earning a good living, so maybe you can find a gold-digger that's willing to look past your obvious oriental shortcomings.

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32 Posted by anon | Permalink Thursday, February 8, 2007 2:17 PM

Again, why is the truth racist? Is it common, no. Perhaps in fantasy land. Hey, you're obviously earning a good living, so maybe you can find a gold-digger that's willing to look past your obvious oriental shortcomings.

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33 Posted by guest | Permalink Thursday, February 8, 2007 2:20 PM

Does anyone know what Winston did for years 6 and 7? There has been some variation in DC. Akin did 220/225, Covington did 225/235, Latham and Hogan did 225/240.

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34 Posted by guest | Permalink Thursday, February 8, 2007 2:21 PM

Does anyone know what Winston did for years 6 and 7? There has been some variation in DC. Akin did 220/225, Covington did 225/235, Latham and Hogan did 225/240.

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35 Posted by anon | Permalink Thursday, February 8, 2007 2:22 PM

the wgwag is disgusting - it is the classic white male viewpoint that pervades lawfirms and underlies diversity problems - think about why you always see asian women TV anchors - because it appeals to the white male eros - fight the power!

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36 Posted by anon | Permalink Thursday, February 8, 2007 2:25 PM

the wgwag is disgusting - it is the classic white male viewpoint that pervades lawfirms and underlies diversity problems - think about why you always see asian women TV anchors (and never asian men) - because it appeals to the white male subjugation eros - fight the power!

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37 Posted by guest | Permalink Thursday, February 8, 2007 2:25 PM

Protip: "wgwag" is a running joke/meme on autoadmit.com's law discussion board.

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38 Posted by guest | Permalink Thursday, February 8, 2007 2:26 PM

Holland + Knight raised? I thought they were about to go bankrupt?

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39 Posted by guest | Permalink Thursday, February 8, 2007 2:27 PM

Protip: "white girls with asiasn guys" is a running joke/meme on autoadmit.com's law discussion board.

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40 Posted by guest | Permalink Thursday, February 8, 2007 2:53 PM

H&K also raised to 125k in Miami. I can't believe that Miami is making less than Atlanta ...

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41 Posted by anon | Permalink Thursday, February 8, 2007 3:10 PM

Where is Reed Smith in this salary talk? They had better increase in NYC if they want to be consider top tier there. Who cares about phila and pitt though.

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42 Posted by Anonymous | Permalink Thursday, February 8, 2007 3:11 PM

While the cost of living in Miami is higher than Atlanta, the rates firms charge in Miami are generally less than the rates charged by firms in Atlanta. Market driven. Plus I think the level of business differs between the cities. Atlanta is, after all, the "Capital of the New South," a title Charlotte is trying to steal.

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43 Posted by guest | Permalink Thursday, February 8, 2007 3:24 PM

3:11 -- I'd be interested to see the billing rates at H&K, for example, in Miami and Atlanta. You might be right, but I'd be surprised. The reason that the COL in Miami is higher (much, much higher in any reasonable Miami neighborhood) is simply that there's more money flowing into and through Miami (the undisputed Gateway to Latin America) than any city in the New South.

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44 Posted by guest | Permalink Thursday, February 8, 2007 3:32 PM

2:21, Akin did 225/240 for year 6 and 7 partnership track associates in DC, who are referred to as "counsel."

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45 Posted by Anon | Permalink Thursday, February 8, 2007 3:54 PM

2:17 - an earlier thread said that Winston associates are being compensated at "prevailing market rates" according to class year from $160,000 to $280,000 in NY and $145,000 to $250,000 elsewhere.

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46 Posted by Anon | Permalink Thursday, February 8, 2007 7:32 PM

As far as Winston goes, it's not completely clear--there may be certain differentiations, especially after the 5th year.

The memo states, "Assuming satisfactory performance, associate salaries are fixed by class at prevailing market levels for the first five years. Base salaries may vary in senior classes (2001 and above) based on evaluation grades and other performance factors, rising to $280,000 in New York and $250,000 in other domestic offices for top rated associates in our Class of 1999."

Typical Winston---vague and secretive, and likely unnecessarily so. Knowing how miserly they are, there will be one associate who meets the $280K in NYC and one in a domestic office that meets the $250K mark to make the memo not a technical lie, but they'll keep the salaries lower for everyone else and claim its because they aren't performing quite enough. It's been a well known gripe by senior associates that they don't pay market base saleries in the later years and I wouldn't expect that to change anytime real soon. Though I'm sure management will insist its really market despite objective evidence to the contrary--they've perfected the "If I say it often enough, it will eventually be true" marketing strategy.

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47 Posted by anon | Permalink Thursday, February 8, 2007 9:31 PM

3:24. I can confirm that my biglaw firm's rates in atlanta are materially higher than our rates in Miami. From a quick comparison, i would say more than 10% across the board.

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48 Posted by anon | Permalink Thursday, February 8, 2007 11:30 PM

7:32 - thanks for the clarification. The secrecy does seem odd. Do you think W&S suffers from higher attrition at the senior associate level b/c of their lower pay?

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49 Posted by anon | Permalink Friday, February 9, 2007 1:57 AM

Yes, I think that they probably do suffer from higher attrition rates at the senior levels (and especially at the midlevels), but I don't have any hard facts on their attrition--and being that they're so secretive, info isn't readily available.

But from anecdotal observance, I'd say that (aside from Chicago where the name Winston may go far) they have very few home grown senior associates in other big market branch offices (NYC, DC, LA/SF). They're home grown associates jump ship in the junior or midlevel years--those that stay in biglaw go to more prestigious firms with better pay (i.e. Winston does a fairly good job of recruiting top 10 school associates, but doesn't seem to be good at keeping them in the past few years) once they figure out that there is such a gap on the senior levels or that there isn't much trade-off for quality of life anymore (this may not have been the case in years past). It appears that a higher percentage of senior associates (versus the associate pool in general) tend to be from less prestigious schools, oftentimes part of lateral acquisitions in a specific group or specific partners. So people they'd never let in the door as first years, they have in the ranks higher up. I imagine that's because those who can leave, do leave---for better pay or better experience opportunities. In the end, W&S wants the quality of associates in a top 10 firm, close to the hours of associates in a top 10 firm, but with significantly lower pay. What the phrase? Champagne tastes on a beer budget.

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50 Posted by Anon | Permalink Friday, February 16, 2007 8:07 PM

Did Winston up the SF salaries as well?

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51 Posted by anon | Permalink Saturday, February 17, 2007 10:23 PM

I believe all non-NYC offices are on the $145K pay scale (i.e. California/DC pay scale). So I imagine that would include SF as well.

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