£12k rise 📈
US outfit Simpson Thacher & Bartlett (STB) has handed its newly qualified (NQ) lawyers an extra £12,000 as the City law pay war continues despite some Magic Circle firms’ more cautious approach associate pay.
STB’s near 8% wage hike came into effect from 1 November and will see its NQs in London earn a base rate of £170,000, according to an email seen by Legal Cheek.
Those further up the ladder are also cashing in. The US firm’s one-year PQEs will now take home £178k, whilst 2-PQEs get £198k and 3-PQEs near a quarter of a million at £233k, the email states. Further up the ranks still, four-year PQEs will now receive £273k and salaries for seven-year PQEs has grown from just under £300,000 to £328,000.
This marks continued pay rises for STB’s junior lawyers following increases at the start of 2022.
STB has been approached for comment.
A&O cited the “challenging” economic conditions as the reason for stalling on NQ pay rises, whilst Linklaters told its junior lawyers: “we do not believe that the right course of action is to rush into matching salaries at NQ level without properly considering the impact of any changes and the wider economic context”.