Norton Rose partners prepare for pay scrutiny as firm aims to boost profits for star performers
Remuneration review expected to result in reduced packages for several lawyers as firm focuses on merit
June 14, 2015 at 07:00 PM
2 minute read
Norton Rose Fulbright partners in London are preparing to see their remuneration packages put under scrutiny as the firm's management continues its crackdown on individual performance.
A review of partners is currently under way at Norton Rose's Europe, Middle East and Asia arm and is expected to result in several partners seeing their pay cut in a bid to boost the profit share of top-performing lawyers.
The remuneration review, which is run by a five-partner committee, will determine each equity partner's pay for 2015-16, with profit share backdated to 1 May 2015.
"We are looking at remuneration and where partners are positioned for the current financial year," says a partner inside the firm, adding: "The bands will be determined in the next month or so."
Norton Rose declined to comment in detail on the current review. It has been assessing partners annually since it ushered in a new performance-related pay system in May 2012 ahead of its 2013 merger with legacy US firm Fulbright & Jaworski.
When the firm moved away from lockstep partners were placed into pay bands running from 100 points to a new super-point plateau of 350 points. Partners were meant to move within their band annually but only be assessed to move up or down into different bands every three years. The move was intended to make it easier to reward high-performing younger partners as well as stars at the senior end who could be tempted by better pay elsewhere.
Former partners say there is still discontent among senior members about their share of the firm's profit. Norton Rose has lower profit per equity partner than many of its peer firms in the UK, reporting a figure of
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