Ropes & Gray Offers Voluntary Buyouts to US Staff, Citing 'Unpredictability'
The latest billion-dollar firm to announce austerity measures is taking a different approach to cutting costs—but did not rule out further measures.
May 14, 2020 at 04:59 PM
2 minute read
Ropes & Gray is offering voluntary buyouts to some U.S. staff members, the firm confirmed Thursday, as the coronavirus economy continues to erode confidence among even the richest law firms.
The buyouts, which apply to U.S. business support teams and for which lawyers are not eligible, will give approved employees one week's severance pay for every year of service the firm, plus an additional four weeks of pay, for a minimum of 12 weeks to a maximum of 30 weeks of compensation.
Ropes & Gray said it will also pay health insurance benefits for affected employees through the end of the year. Most departures will take place between June 19 and August 3.
Asked whether the Ropes & Gray had adopted or was considering further steps beyond buyouts, a spokesperson offered this statement: "Our firm is strong economically, and as a community. This is a period of change and unpredictability. The world, the workplace, and how we work are changing, and people's views on the workplace are changing. We are being proactive to take steps now to address our new reality; this offer of voluntary separation for our U.S. business support teams is one."
Above the Law first reported the buyouts.
Ropes & Gray, which ranked 13th on this year's Am Law 100 with a gross revenue of $1.9 billion in 2019, is the latest among the top 25 highest-grossing law firms to announce some form of austerity measures as the coronavirus has wrecked the economy and stolen thousands of legal industry jobs. Other firms around the country have delayed their partner draws, cut associate pay and instituted layoffs.
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