Partners in management positions at DLA Piper will have their basic pay capped under plans to encourage more fee-earning among practice and sector heads.

The proposals will see managers paid a fixed sum, with extra remuneration available based on their individual contribution to the firm's revenue.

The move comes as the firm is deciding its budget for the next financial year, which begins on 1 May.

One partner at the firm said the new structure will not be a "one size fits all" approach, with individuals' pay assessed using a merit-based system.

Another partner added: "People who have a management role need to do as much fee-earning as other partners. There are too many people at sector head level earning vast amounts of money who haven't billed in years. This way if they want to earn more they will have to bill for it, like at other firms."

Meanwhile, the firm is working on a new management structure to sit beneath its rejigged senior leadership team, with single global practice heads replacing regional leaders.

As part of the top-level shake-up, which was announced last month, co-CEO Sir Nigel Knowles will take over as chairman in January 2015. London intellectual property partner Simon Levine will replace Knowles as co-CEO and Americas co-chair and corporate and finance practice head Roger Meltzer will become joint global co-chair alongside Knowles. Americas co-chair Jay Rains will step into the joint-CEO role alongside Levine.

Additional appointments will now be made with the aim of integrating the firm's UK and US partnerships. The new roles will substitute existing heads across the two partnerships and will come into effect in January.

One partner commented: "The firm is working on a leaner and meaner approach to management."

DLA Piper declined to comment.