Biglaw

COVID-19 Salary Cuts Are Still A Thing In Biglaw

COVID-19 cuts aren't done yet.

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Yes, it is June, but as rising cases of the novel coronavirus across the country have proven, that doesn’t mean that COVID-19 is done with us yet. And that includes the pandemic-inspired austerity measures sweeping Biglaw. The latest firm to announce cuts is Holland & Hart, a firm that made $243,515,000 in gross revenue last year, making it 128th on the Am Law 200.

According to the firm, the equity partnership is expected to take the biggest hit to their compensation: “equity partners’ profit distributions will be reduced such that equity partners will incur the highest percentage reduction in expected compensation over the entire year.” But salaried attorneys are also taking a hit to their paycheck — to the tune of a 15 percent reduction, beginning in June. Employees that make between $60,000 and $99,999 have their compensation reduced by 5 percent, and those making under $60,000 will not be impacted by the reductions. And the employer portion of the 401(k) matching program was suspended.

A spokesperson for the firm had this to say about the austerity measures:

Like many firms, Holland & Hart preemptively implemented compensation reductions at the beginning of June that will allow the firm to weather the continued uncertainty caused by the Coronavirus pandemic and position the firm for success as the economy ultimately improves. The firm may dial back these measures at any time based on its financial performance.

If your firm or organization is slashing salaries, closing its doors, or reducing the ranks of its lawyers or staff, whether through open layoffs, stealth layoffs, or voluntary buyouts, please don’t hesitate to let us know. Our vast network of tipsters is part of what makes Above the Law thrive. You can email us or text us (646-820-8477).

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headshotKathryn Rubino is a Senior Editor at Above the Law, and host of The Jabot podcast. AtL tipsters are the best, so please connect with her. Feel free to email her with any tips, questions, or comments and follow her on Twitter (@Kathryn1).

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