Thanks to the AFR for the following profile:
Partnership Remuneration System
Performance-based across eight levels, up from six, with a bonus.
Partnership Pay 2008/09
The lowest level partners drew $380,000.00 and the highest $1,200,000.00, with the handful of fixed-share partners taking between $300,000.00 and $700,000.00. No bonuses were paid last year after a restructure of the remuneration system but they are expected to return this year.
Pay
Estimated Profit Margin = 37%
Estimated Profit = $136,000,000.00
revenue lowerEstimated Profit Per Lawyer = $190,000.00
Estimated Profit Per Equity Partner = $790,000.00
Revenue
Revenue 2008/09 = $368,000,000.00
Revenue Change = -0.5%
Revenue Per Lawyer = $520,000.00
Revenue Per Partner = $2,070,000.00
Revenue Per Equity Partner = $2,130,000.00
The Verdict
New managing partner John Carrington says “it was a very challenging year”, though the firm showed resilience and will manage costs rigorously. Blake was hit by lower transactional work but the insolvency group was busy, including working for McGrathNichol on the Allco voluntary administration, as were the employment and government groups.
Comment
Blake has been battling a market perception that its partnership lacks depth and its Melbourne office is stronger than Sydney. Still, the firm counts BHP Billiton and ANZ as key clients. Blake’s margins are expected to improve this year as the benefits of redundancies flow through but the firm will need to restore its market image before revenue catches its big five rivals.
Send the Firm Spy your news and views!
Loading...
