Slaughter & May has given its newly-qualified lawyers a seven per cent pay rise after upping their salaries to heights of £115,000.
The pay hike will see Slaughter & May’s NQs see their salaries jump from current rates of £107,500 to £115,000 a year from May. Slaughter & May also said it would pay out bonuses twice each year.
The salary hikes come after Freshfields Bruckhaus Deringer outbid its London rivals in hiking pay for its freshly trained lawyers to £125,000 a year.
However, the increases put Slaughter & May’s salaries ahead of those paid out by the rest of Magic Circle – including Clifford Chance, Linklaters, and Allen & Overy.
Senior Partner Steve Cook said Slaughter & May’s decision to raise “salaries significantly” is aimed at “recognising the importance of our associates at all levels”.
The salary boosts come as firms face fierce competition to recruit and retain legal talent.
The talent war has seen law firms offer increasingly eye-watering salaries as they struggle desperately in their efforts to keep hold of staff.
Either way, the recent pay hikes leave London’s Magic Circle lagging behind firms from the US, which pay their NQs as much as £161,700 a year.