Lane Powell’s recently-announced new compensation model for its Associates was featured in an article in American Lawyer titled ‘Aiming to Discourage Fear and Frenzy, This Firm Is Paying More for Fewer Billable Hours.’
The article details the firm’s increase in base pay for its first-year Associates, and simultaneous reduction in their mandatory billable hours, from 1,850 to 1,750 hours. It also highlighted the option for Associates to include up to 100 hours of pro bono, shadowing, and diversity, equity, and inclusion work in their annual billable hours total.
With the pandemic yielding a greater level of employee burnout in the legal industry, an increasing share of Associates are seeking out opportunities at firms that place less importance on rigid billing structures, and greater emphasis on professional and personal development. Lane Powell President Barbara Duffy was quoted in the article, detailing the rationale for the firm’s new compensation model, “We pride ourselves on our investment, and that starts with our people. We made the decision that we can’t make it hard for associates to stick around. If we want them to be partners, we know that doesn’t come with 2,200 billable hours. That comes with judgement, relationships, experience, and time. We don’t want associates billing more than 2,100 hours. We actively discourage it because it is no way to live."
The complete article can be found here.
(Please note: this article is behind a paywall.)