Linklaters will this year move its associates through its annual pay bands as normal in a move that looks set to end the effective pay freeze seen at many UK firms in 2009.

The announcement makes Linklaters the second magic circle practice to confirm its stance on associate salaries in 2010 and means that a one-year post-qualified experience (PQE) lawyer will earn £68,000 from May, against £61,500 for newly-qualifieds.

Those moving from one year PQE to two years' PQE will earn £73,000 in basic salary. The firm will also pay out a performance-related bonus to its top achievers as normal. The firm's underlying pay bands are unaffected by the discussion.

Last year Linklaters bucked the trend for pay freezes seen at many City rivals by progressing its associates through its pay bands. However, the firm reduced the levels of the bands, resulting to a pay rise of between 2% and 4%.

UK HR director Caroline Rawes told Legal Week: "We look carefully at our salaries on an annual basis and take into account what the market is doing and we thought it would be appropriate to reward, both in pay and bonus, the contribution that our associates have made to the firm over the last 12 months."

In February, Freshfields Bruckhaus Deringer became the first top UK law firm to announce its associate salary rates for 2010, with the magic circle firm lifting the total freeze on associate pay put in place last year.

The newly-qualified rate, which was reduced last year, will remain at £59,000, while a one-year qualified lawyer will take home £66,000, lawyers with two years' experience will pocket £73,000 and three-year qualified lawyers £86,000.

The decision to reinstate full lockstep pay rises will be seen as further evidence of rising confidence at major law firms.