Welcome back to the Big Law Business column. I’m Roy Strom, and today we look at why law firms aren’t firing associates who are working less and getting paid more than ever. Sign up to receive this column in your Inbox on Thursday mornings.
Nobody says life is easy for the lowest lawyers on Big Law’s totem pole. They are known to grind overnight and work plenty of weekends. Partners can be, well, demanding.
But associates have never had it better than they do right now.
Big Law associates have never logged fewer hours and never brought home bigger paychecks. Who doesn’t like working less and getting paid more?
A combination of stagnant demand for Big Law time and law firms’ newfound unwillingness to reduce headcount has driven the average hours lawyers worked at the top 100 firms to its lowest point on record, according to data from Wells Fargo’s Legal Specialty Group. At the same time, associate compensation has risen to record highs.
Lawyers at those top firms billed an average of 1,551 hours last year. That’s down from an all-time peak in 2021 of 1,683 hours, Wells Fargo data show.
It might not sound like much. It works out to about 2.5 hours of extra time per week. Hit the Peloton, go see a movie, give yourself a little treat. You’ve earned it.
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