In these heady days of MoneyLaw, step back for a moment and consider the mood when London emerged from the financial crisis.
When ‘white shoe’ firm Sullivan & Cromwell began offering UK training contracts in September 2013, jaws dropped as the firm revealed trainees would start on £50,000, a record at the time. Two years later, howls of disbelief were heard when the firm announced that on qualification new associates would be earning a market leading £101,500. Over the course of the next few years SullCrom’s pay scale was overtaken by other US firms, but it’s now back at the top (or close), with London newly qualified solicitor remuneration at the elite outfit increasing this year to £139,500.
SullCrom’s office in the British capital is the firm’s second biggest. The firm has relatively deep roots in the UK, having first set up in London in 1972. Nevertheless, its 80 or so fee earners pale in comparison with the 550 at the New York headquarters. The fact that more than 60% of the firm’s employees work in the Big Apple should indicate to potential trainees that they are joining an outpost of the mothership rather than just a standard City law firm.
As if to emphasise the point, London trainees are whisked away to New York at the start of their training contracts for a week-long orientation. Further London training sessions are streamed online all the way from the New York office, located across the road from longstanding client Goldman Sachs. SullCrom has close ties to the megabank. Goldman Sachs recently appointed a former SullCrom partner as executive vice president.
The links between SullCrom and the higher echelons of the US establishment don’t stop there. The current chairman of the US Securities and Exchange Commission (SEC) was a SullCrom partner before being nominated by President Trump.
Back to training contracts, which the firm started offering in 2013. SullCrom has since increased the size of this programme to between six and eight. With such a small trainee intake, the firm does not yet have the extensive infrastructure in place to offer the sort of structured training associated with large UK firms. Although frequent, much of the instruction is done on an ad hoc basis by more senior colleagues, as and when they can fit it in.
It’s worth noting that since 2017, the firm has attempted to improve its formal training by hiring a dedicated training supervisor. Like most US firms, trainees are expected to get stuck in and learn on the job. This small group are given plenty of responsibility from the start.
As a result of the firm’s small trainee pool and high profile work, trainees can find themselves doing the job of associates at other firms. “In addition to the normal diet of trainee work you are quite quickly given fairly stretching tasks which can be very stimulating,” comments one insider. Trainees have also been known to deal with clients and QC’s directly. The other side of this work is the unpredictable hours and weekend working that it necessitates.
Furthermore, trainees can expect to have several partners and associates coming to them simultaneously with work. Those who can’t manage multiple deadlines should look elsewhere.
A large chunk of S&C trainees do get to complete an international secondment. New York and Hong Kong are popular destinations. Although, beware that work demands can see placements shortened! One disappointed respondent said they were in “Hong Kong for three months, instead of the advertised six months.”
The work/life balance is as you would expect for a US firm. There is a silver lining, though, and the firm offers free taxis home for those that leave after 9pm.
In terms of other perks, a cake trolley goes around the office every Tuesday and Thursday, we’re told, and the firm provides lunch from the adjacent Pizza Express once a month. Employees have access to a concierge service which is known for its ability to secure places at restaurants which are fully booked. From time to time, SullCrom also offers free tickets to music and sporting events.
From the outside, SullCrom’s London office on New Fetter Lane seems unassuming. However, the individual offices within it are among the most spacious of any law firm in the City. Employees also have access to an in-house gym in the basement. The roof terrace is a pleasant spot for lunch in the summer.
International M&A, finance and restructuring are central to the London office. Recent deals include advising Amazon when the online retailer acquired Whole Foods and acting for Apollo Management as the American private equity firm attempted to purchase FirstGroup.
This work translates into huge profits. Indeed, SullCrom is one of the most profitable law firms in the world, with profit per equity partner (PEP) coming in at a cool $4.51 million (£3.71 million). This stellar PEP is derived from revenues of $1.44 billion (£1.18 billion). By way of comparison, magic circle firms turnover £1.5 billion, but do so with over twice as many lawyers.