A handful of Asian partners at Herbert Smith earned more than £1m each last year.
The highest-earning partners each scooped £1.07m, despite partners at the top of equity earning £950,000, according to the firm’s recently released limitedliability partnership accounts. Average profit per equity partner for the last financial year was £839,00.
Herbert Smith said this additional payment was made to cover the partners’ cost of living. The Asia practice is the largest revenue generator outside the City, and reported a turnover of £35.52m, or 12 per cent of worldwide revenue. The firm has offices in Bangkok, Beijing, Hong Kong, Singapore, Shanghai and Tokyo.
Herbert Smith operates a relatively short pure lockstep model. Partners typically enter the equity after spending three to to four years as salaried partners. Upon entering the equity, partners receive 43 points and automatically gain seven points a year over eight years.