Two more New York firms have raised their associate salaries, suggesting the recent wave of rises among West Coast firms is being mirrored in the East.
Davis Polk & Wardwell and Milbank Tweed Hadley & McCloy increased associate pay on Wednesday (8 February) by $20,000 (£11,000) across the board, with first-years due to receive $145,000 (£82,000). The firms follow Simpson Thacher & Bartlett in matching raises announced last week by Sullivan & Cromwell.
The raises mean New York firms continue to pay first-year associates more than their West Coast equivalents. The recent round of salary hikes among West Coast-based firms including O’Melveny & Myers, Morrison Foerster, Gibson Dunn & Crutcher and Foley & Lardner boosted first-year salaries to $135,000 (£77,000) from $125,000 (£71,000).
The surge began in September last year, when associate salaries were raised at mid-sized LA firms Irell & Manella, Quinn Emanuel Urquhart Oliver & Hedges and Tolles & Olson.
However, associates will have to wait for news of their bonuses to know if total pay has increased. Last year, top New York firms paid first-years $125,000 in base salary with $35,000 (£20,000) bonuses.