Davis Polk cuts associate bonuses

Davis Polk & Wardwell has followed the lead of US rivals Cravath Swaine & Moore and Simpson Thacher & Bartlett by halving its bonus payouts for 2008.

The New York elite firm has announced to the firm that associates will receive year-end bonuses ranging from $17,500 pro rated for the class of 2008 up to $32,500 for 2001 and more senior associates.

Last year junior associates received $35,000 while the most senior associates were paid $65,000 in bonuses.

The bonus structure is in line with US rivals Cravath and Simpson Thacher, which announced associate bonuses early last week (24 November and 25 November respectively).

Skadden Arps Slate Meagher & Flom has been the only firm to buck the trend so far this year by paying associates 2007 rates minus special bonus.