Ashurst partners agree to extend lockstep and introduce bonus pool for star performers
The firm's partnership has voted to extend Ashurst's lockstep by 10 points and introduce a bonus pool
August 02, 2016 at 07:02 AM
2 minute read
Ashurst has voted in changes to its partner remuneration structure, adding an extra 10 points to the top of the equity ladder and introducing a bonus pool.
Legal Week first revealed that the firm was planning changes to its system last month.
The changes, voted in yesterday (1 August), take the top of the equity ladder from 65 to 75 points for star performers. The bottom of the ladder will remain at 25 points.
The firm has also introduced a bonus pool, which can be used to reward full equity and fixed share partners for strong performances in a particular year. It is understood that the firm will set aside a share of the profit pool to be used for partner bonuses.
Ashurst will also award fixed share partners a greater share of the equity, boosting the percentage of their pay that is linked to the firm's profits.
A spokesperson for Ashurst said: "This is an evolution of our system, which gives us more flexibility to reward high performance. We have had strong support and engagement from partners throughout the process."
The changes are intended to make it easier for the firm to reward strong performers and encourage partner buy-in at a time when average profit per equity partner (PEP) has fallen to its lowest level in more than 10 years.
Ashurst announced a 19% plunge in PEP to £603,000 and a 10% fall in revenue as a result of challenging economic conditions, exposure to currency fluctuations and investment in new partner hires.
One partner inside Ashurst said last month: "Given where our PEP currently is, we need something to reward people."
He added that the new plateau will be available only "to a very small, exceptional minority".
Ashurst's bruising set of financial results for the 2015-16 financial year saw turnover drop to £505m, down from £561m last year.
Ashurst last reviewed its lockstep in 2007, when it brought in a super-plateau 65-point level as part of an overhaul that rebased the ladder from 20-50 points to 25-65 points, with a number of gateways.
NOT FOR REPRINT
© 2024 ALM Global, LLC, All Rights Reserved. Request academic re-use from www.copyright.com. All other uses, submit a request to [email protected]. For more information visit Asset & Logo Licensing.
You Might Like
View AllWhat About the Old Partners Who Have No Interest in AI?
Netflix Offices Raided by Authorities in Paris and Amsterdam
The EU Top 30, 2024: Ranking the Largest Law Firms in the European Union by Headcount
5 minute readTrending Stories
- 1Judicial Ethics Opinion 24-61
- 2Decision of the Day: School District's Probe Was a 'Sham'; Title IX Administrator Showed Sex-Based Bias
- 3US Magistrate Judge Embry Kidd Confirmed to 11th Circuit
- 4Shaq Signs $11 Million Settlement to Resolve Astrals Investor Claims
- 5McCormick Consolidates Two Tesla Chancery Cases
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.
Featured Firms
Law Offices of Gary Martin Hays & Associates, P.C.
(470) 294-1674
Law Offices of Mark E. Salomone
(857) 444-6468
Smith & Hassler
(713) 739-1250