Shearman & Sterling will splash out an estimated £500,000 this year on generous pay hikes for its UK-qualified lawyers in a bid to make itself more attractive to potential recruits.
The new packages, unveiled in London last week, will benefit all of Shearman’s 80 UK-qualified associates, both in London and across the firm’s international network.
Newly qualified lawyers will be paid £60,000, up from £55,000, with the six-monthly pay bands for all UK-qualified associates also being raised.
Last September saw the London office increase pay for first year trainees, from £30,000 to £35,000, and from £34,000 up to £37,500 for second years.
While the firm has made some headway in hiring trainees and partners in London, it has struggled to attract mid-level UK associates, despite the promise of significant bonuses.
Shearman London managing partner Kenneth MacRitchie told The Lawyer: “This reflects our desire to continue to recruit more associates. These increases put us in a position where we’re attractive both on quality and compensation.”