Wednesday, September 15, 2010

Law firm Drinker Biddle slashes starting salaries, sets new training regimen - Philadelphia Business Journal:

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The Philadelphia-based firm will welcome its 37 first-year associates on time this September — unlike at some other where start dates have been delayedin cost-cuttingt moves — but starting lawyers will not handle clien matters for the most part. Insteasd they will be assigned to a trainingtprogram “far more rigorous and focused than any we have previouslyg provided,” Drinker Biddle management said in an internalk memo obtained by The Philadelphia Businessd Journal. During the initial Drinker Biddle will pay an annualo salaryof $105,000 — down from the $145,0000 paid previously. Any client work firsr years perform will be billed at a significanytrate reduction.
The training will be focused on traditional legal skills relevant to particular areasx of practice and education aboutclient businesses. The new lawyerzs will shadow partners, spend time in a classroom setting and be freeed from billablehour requirements. “We will also be looking to all of our lawyerz to make special efforts to find opportunities for our new lawyeras to gain the kindof real-world experiencde our clients expect even if we cannot bill for the the memo said. Drinker Biddle said it expectas to adjust pay to the markert ratefor first-year lawyers in spring 2010.
“In this way, we intendx to address the often-repeated criticism that we are traininh our lawyers atour clients’ expense while at the same time ensuring that our overal compensation system for associates is consistent and fair,” the memo said. Most largee Philadelphia firms have deferred the start datesa oftheir first-year associatexs for 2009. Drinker Biddle had been quiet about its plansuntil Monday. Drinker said it wantesd to make surethe firm’s economic perspective was alignedc with clients, who have made their viewpoints clea both in individual meetings and througnh initiatives from the Association of Corporatew Counsel.
In addition, Drinke r Biddle said it has begub a review of its associate compensatiob program to ensure that itis “aligned with the needsa of our clients and the professionalk development of our lawyers.” It expectsx the results to be implemented in 2010. The firm will also evaluat e its summer intern program structure and will announce a new strateg tohandle flex-time work arrangements. Drinker Biddle added that insteae of awarding bonuses solelyy based onhours billed, it will include otherf unnamed factors.
Associate evaluations will be moved from early in the yearto

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