Large solicitors’ firms impose salary cuts whilst niche firms still have vacancies for good lawyers

Posted: Friday, 24 July 2009 @ 16:37

Solicitors firms outside London are showing no signs of a recovery. According to an article in The Times this week, many such firms saw their profits fall by more than a third last year. The Article reports that many firms are imposing salary cuts of 10% or so in return for longer holidays as a way of cutting costs. I have seen this happen in firms in the Midlands area too and many very able solicitors are finding their route to an equity partnership blocked – why would existing partners want to share their dwindling profits amongst more people?

With no real increase in property development and corporate deals taking place, I can only think this trend will continue for some time yet. Some commentators are saying that no substantial improvement is likely until 2012 or even later.

Worst affected seem to be the large regional solicitors’ firms and the small high street general practice firms. Specialist niche firms, such Cousins Business Law, appear to be bucking the trend.

Indeed, we still have vacancies for good commercial lawyers and commercial litigators. We offer a generous profit-sharing arrangement which means that good lawyers can expect a substantial increase to what they are earning now.

This goes to show once again that recessions do create winners as well as losers, even among law firms. Well-run, flexible and truly forward-looking firms will always do well, even in today’s economic climate.

Gary Cousins
Business Solicitor




Blog by Gary Cousins
Gary has been providing legal advice to shareholders, directors and business owners for over 25 years. Specialising in dispute resolution Gary is based in Birmingham with clients throughout the UK and overseas. View profile
Call Gary on +44 (0)121 778 3212 or by email
This blog is not intended to constitute legal advice, nor is it intended to be a complete and authoritative statement of the law, and what we say might be out of date by the time you read it. You should always seek legal advice to confirm whether or how any information in this article applies to your particular situation. We offer a free telephone consultation to discuss your particular circumstances.

Comments

  • There are no comments for this page - click here to be the first

Need legal advice for your business? We can help

Directors

Directors
Practical advice and legal support for company owners and directors.

Disputes

Disputes
In dispute with a customer or supplier? Get practical advice and support.

Your legal advisor

Your legal advisor
Board level legal advice without the costs of an in-house lawyer.

Speak to a lawyer

Speak to a lawyer
Cousins Business Law excels at demystifying potentially complex legal areas for small business owners
Simon Moore, MD Moore News Ltd

Get legal updates

Enter your email address to receive our monthly Blog Newsletter


We will keep your email safe in accordance with our privacy policy.

Get the FREE definitive guide to solving business disputes

Speak to a lawyer

Get legal updates

Enter your email address to receive our monthly Blog Newsletter
The Law Society
Top