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Herbert Smith prepares to cut up to 51 jobs, 23 in corporate

I agree with the majority of sentiments expressed here but I think it's a bit simplistic to just say that partners should take a pay cut. Some might argue otherwise but the reality is that most lawyers are primarily driven by money. If PEP drops then star partners will likely move firms (see all the recent movement of partners from MC to US firms). If the star partners leave then the clients will leave and PEP will reduce further. This could easily lead to an even greater number of associate redundancies being made at a later stage than the number that would have needed to be made up front to prevent this process starting (as well as do much more damage to the reputation of the firm).

1-May-2012

5:39 pm