Facts & Figures: GC pay rising faster than that of other top executives
From FCPA compliance programs to the top 50 law firms for women, an inside look at the numbers that count
November 16, 2012 at 07:49 AM
11 minute read
The original version of this story was published on Law.com
Climbing Compensation
Good news general counsel: Your companies like you. They really like you—at least if a new report on GC pay is any indication. The study from compensation researcher Equilar Inc. showed that GCs' salaries are rising at a faster rate than those of many other top executives, perhaps spurred by an increasing focus on compliance and regulatory reform.
$1.55 million Median pay for Fortune 1000 general counsel who report directly to the CEO
$1.7 million Median compensation for general counsel in the tech, media and telecom industries (the highest-paying industries)
$1.1 million Median pay for GCs at retail and consumer firms (the lowest-paying industries)
$1.3 million Median salary for female GCs, compared to roughly $1.1 million for men
12.8% Increase in GC pay in 2011, compared to 6.2 percent for CEOs and 8.9 percent for CFOs
Approaching Anniversary
The Foreign Corrupt Practices Act (FCPA) turns 35 on Dec. 19 (although companies such as Wal-Mart and Pfizer probably won't be celebrating its birthday.) A new Deloitte survey of more than 2,100 professionals shows that most executives are planning to upgrade their anti-corruption programs next year, but notes that the vast majority of businesses are not making use of the newest technologies to help them in their quest for compliance.
55.4% Executives surveyed who plan to improve their companies' corruption prevention and detection programs next year
23.2% Respondents who believe that the cost of those programs will be their biggest challenge in 2013
6% Executives who believe that their companies effectively use data visualization and analytics to prevent corruption
48.5% Respondents who say that offering rewards to whistleblowers encourages earlier internal reporting
Sinking Spending
Last month, an HBR Consulting survey reported that businesses spent more on both in-house and outside legal counsel than they had in the preceding two year period. Unfortunately, that trend may be coming to an end, at least according to the new 2012 Chief Legal Officer report from Altman Weil. The study shows that corporate legal departments are using various tactics to cut outside counsel spend, such as negotiating for lower rates, moving more work in-house or even taking their business to less expensive law firms.
39% CLOs who said they decreased their outside counsel budget between 2011 and 2012, up from 25 percent in the period between 2010 and 2011
71% Companies that negotiated with their law firms for lower rates
47% Law departments that shifted work from law firms to in-house attorneys
41% Companies that moved some of their work to less expensive firms
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Who Got The Work
Michael G. Bongiorno, Andrew Scott Dulberg and Elizabeth E. Driscoll from Wilmer Cutler Pickering Hale and Dorr have stepped in to represent Symbotic Inc., an A.I.-enabled technology platform that focuses on increasing supply chain efficiency, and other defendants in a pending shareholder derivative lawsuit. The case, filed Oct. 2 in Massachusetts District Court by the Brown Law Firm on behalf of Stephen Austen, accuses certain officers and directors of misleading investors in regard to Symbotic's potential for margin growth by failing to disclose that the company was not equipped to timely deploy its systems or manage expenses through project delays. The case, assigned to U.S. District Judge Nathaniel M. Gorton, is 1:24-cv-12522, Austen v. Cohen et al.
Who Got The Work
Edmund Polubinski and Marie Killmond of Davis Polk & Wardwell have entered appearances for data platform software development company MongoDB and other defendants in a pending shareholder derivative lawsuit. The action, filed Oct. 7 in New York Southern District Court by the Brown Law Firm, accuses the company's directors and/or officers of falsely expressing confidence in the company’s restructuring of its sales incentive plan and downplaying the severity of decreases in its upfront commitments. The case is 1:24-cv-07594, Roy v. Ittycheria et al.
Who Got The Work
Amy O. Bruchs and Kurt F. Ellison of Michael Best & Friedrich have entered appearances for Epic Systems Corp. in a pending employment discrimination lawsuit. The suit was filed Sept. 7 in Wisconsin Western District Court by Levine Eisberner LLC and Siri & Glimstad on behalf of a project manager who claims that he was wrongfully terminated after applying for a religious exemption to the defendant's COVID-19 vaccine mandate. The case, assigned to U.S. Magistrate Judge Anita Marie Boor, is 3:24-cv-00630, Secker, Nathan v. Epic Systems Corporation.
Who Got The Work
David X. Sullivan, Thomas J. Finn and Gregory A. Hall from McCarter & English have entered appearances for Sunrun Installation Services in a pending civil rights lawsuit. The complaint was filed Sept. 4 in Connecticut District Court by attorney Robert M. Berke on behalf of former employee George Edward Steins, who was arrested and charged with employing an unregistered home improvement salesperson. The complaint alleges that had Sunrun informed the Connecticut Department of Consumer Protection that the plaintiff's employment had ended in 2017 and that he no longer held Sunrun's home improvement contractor license, he would not have been hit with charges, which were dismissed in May 2024. The case, assigned to U.S. District Judge Jeffrey A. Meyer, is 3:24-cv-01423, Steins v. Sunrun, Inc. et al.
Who Got The Work
Greenberg Traurig shareholder Joshua L. Raskin has entered an appearance for boohoo.com UK Ltd. in a pending patent infringement lawsuit. The suit, filed Sept. 3 in Texas Eastern District Court by Rozier Hardt McDonough on behalf of Alto Dynamics, asserts five patents related to an online shopping platform. The case, assigned to U.S. District Judge Rodney Gilstrap, is 2:24-cv-00719, Alto Dynamics, LLC v. boohoo.com UK Limited.
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