Allen & Overy (A&O) has moved a number of German partners down its lockstep, with the firm also making it more difficult for those in the country to move beyond 40 points on its 50-point ladder.

The magic circle firm has moved down or frozen about 50% of its German partners in a bid to improve profitability, with only a handful of the firm's 51 German partners now understood to be sitting above 40 points.

One former partner told Legal Week there are now two German partners sitting above 40 points, with a current partner suggesting both are at the top of the lockstep.