We reported last week that Mallesons‘ pay freeze is apparently showing no signs of thawing. This remains true, despite encouraging news received earlier today that the firm is giving staff a Christmas bonus, of sorts.
Thanks to the anonymous Mallesons spy for the following information:
Warlock Milliner has just delivered some long overdue good news – we’re getting some money out of the partnership and just in time for Christmas! Not that it is very much, mind you. “3% of your wage” in the form of a bonus in the “December pay run”. Is this the “pay run of the milliner”?
It is interesting that the partners have chosen to carefully calibrate the bonus as a one-off payment, rather than a more permanent increase in our wages, annualised in each monthly pay. This means that when the time comes for our annual (and much anticipated) salary review in June/July 2010, the raises, if any, will come from a lower base. Clever, Gandalf!
Yes, very clever indeed! Still, some money is better than no money, even if it is only 3%. Hat tip to Mallesons for showing some merriment as this increasingly festive time of year.
Apparently even necromancers celebrate Christmas!
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I am cynical enough to believe that the bean counters did the analysis and decided that this was the absolute minimum that they could get away with to prevent a mass mutiny next year.
It’s the bonus you have when you don’t have a bonus – more importantly, it doesn’t address any of the structural and cultural issues which they have created (by way of salary freezes) by paying lawyers who’ve been in the game almost 2 years now about 20c per week more than they’ll be giving to the bright but clueless young things coming through the door in Feb. Don’t expect that these people won’t notice this, Mallesons.
As such, they are probably wasting the money – people will still be pissed off because it just comes across as tight.
That said, this is a great sign for the industry as a whole and I predict will be the first of many such moves over coming weeks. Remains to be seen whether other firms are slightly less scrooge-like leading up to the Xmas period. I suspect some firms in particular will still be handing out lumps of coal in the stockings, though…
Actually many of the good staff, i.e. the solicitors that are above budget are extremely mad that a 3% one off payment is being made to all staff. It is true now there is a 7k gap between graduates billing 30% of a 6 hour budget and third year lawyers billing 145% of a 6.5 hour budget and working late nights and weekends while others toddle along at 5 to enjoy their lives.
We were told the pay freeze would be reviewed based on how the firm is tracking to budget. Now we are told the firm is not tracking to budget so the pay freeze stays but everyone is getting a 3% rise. How can MSJ justify paying those below budget the same as those smashing their budgets in a GFC? It is a slap in the face to those putting in the hours to build the firm.
MSJ may be a great place to work, in terms of the people and the work we do, but that doesn’t keep junior lawyers earning less than people at other firms happy. Add to that people billing heaps so those well below budget getting the same bonsuses – seems like a recipie for losing good junior lawyers and keeping the useless pricks.