2008-08-04 19:35:03 -

www.incisivemedia.com - This month, The American Lawyer reports that midlevel associates outside the Big Apple have caught up to the salaries of their New York counterparts, although they still lag behind in bonuses. While few associates plan on staying at their firms forever, most report having no desire to leave at the moment. And, at least one Am Law 100 law firm and industry consultant are making the case for bringing pay-for-merit to the profession. For these and other stories and charts related to the 2008 annual survey of mid-level associates, visit www.americanlawyer.com.

The 2008 survey's median national salary for fifth-year associates was $230,000, a figure matched in New York, Boston, Chicago, Los Angeles, San Francisco and Washington, D.C.

Median bonuses, however, ranged from a high of $80,000 in New York to a low of $40,000 in a number of these markets.

Most associates reported confidence in keeping their jobs. On a 1-to-5 scale, respondents averaged a 3.79 on the question of whether they'd still be at the firm in two years, the highest score in six years. Associates in Chicago (13.3 percent) and Philadelphia (12.9 percent) were the most worried; associates in Dallas (6 percent) and Houston (7 percent) were the least.

"It's hard to moan that you want to be paid like an investment banker after Citi took a hatchet to its workforce and Bear Stearns stopped hiring, period. Still, for all the talk of layoffs, only 10.6 percent of our respondents fear getting laid off." said Aric Press, editor in chief. "But the recent generous associate salary hikes didn't buy the firms anything distinctive and what grows ever more striking is the paycheck uniformity of the profession. When it comes to salaries, the Am Law 200 operates as a lockstep civil service and not everyone agrees that's a great idea."

Two stories in this month's issue highlight the argument for merit-based salaries. One profiles Howrey, which leaped to 45th place in this year's associate satisfaction rankings from its 148th spot last year. The firm is about to launch a closely-watched pay-for-competency-rather-than-seniority program. In another story, industry consultant Dan DiPietro makes a modest proposal to start paying for performance, not longevity. He argues a performance-based pay structure would go a long way toward helping firms keep top legal talent, and would serve firms better financially.

The midlevel survey is based on responses from 7,259 third-, fourth-, and fifth-year associates from law firm offices around the globe. It examined 12 areas that contribute to job satisfaction. They include relations with partners and other associates, the interest and satisfaction level associates have in their work, training and guidance, the firm's attitude toward pro bono work, compensation and benefits, and the respondents' inclination to stay at their firm for at least two more years. Firms with ten or more responses are ranked by their averages on those questions. Averages include responses from all participating offices.

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Peters & Feldman for Incisive Media
Lee Feldman, 203-341-8922
lee.feldman@incisivemedia.com