Partner Remuneration in Law Firms

A Guide to Reward Structures, Performance Management and Decision-Making

Edited by Michael Roch

Not available to order

Publication date:

01 August 2016

Length of book:

182 pages

Publisher

Globe Law and Business

Dimensions:

240x160mm
6x10"

ISBN-13: 9781911078067

Law firms are constantly looking to improve the effectiveness of their partner remuneration systems and to make the administration of their partner review processes more efficient. This comprehensive volume, edited by Michael Roch and Polina Pavlova and published on behalf of the International Bar Association, looks at partner remuneration in the context of strategy implementation, the firm’s organisational design, governance and culture. The chapters cover all topical issues on partner remuneration systems from locksteps to “eat-what-you-kill” meritocracies, performance management and remuneration-related decision making. This volume also covers some special issues and provides a perspective of how the law firm of the future will view partner compensation. This practical book, full of real-life examples, addresses a variety of issues to be considered when designing, managing or administering partner remuneration / compensation systems. While the book does not advocate a single “best” approach to remuneration, it explores various alternatives that are suitable for law firms of different sizes and in different markets. It will be of interest to managing and senior partners, board members, HR directors and remuneration committee members of local, national and regional law firms alike.

Preface 5 Polina Pavlova Willis Towers Watson Michael Roch Internal Consulting Group Part 1: Partner remuneration in context 9 Aligning partner remuneration with strategy 11 Robert Millard Møller PSF Group The impact of organisational design and governance on a partner remuneration system 27 Leopoldo Hernández Romano KermaPartners Do you share profits or do you receive compensation? Patterns in law firm culture 37 Christoph H Vaagt Law Firm Change Consultants Part 2: Partner remuneration systems operated in practice 53 Lockstep systems and their variations 55 Aster Crawshaw Addleshaw Goddard LLP Table manners: rewarding performance without ‘eat what you kill’ 73 Norman Clark Walker Clark LLC Hybrid systems and contribution-based meritocracies: the golden mean? 87 Polina Pavlova Willis Towers Watson Systems typically operated in small firms: cost sharing, formulas and fixed-share systems 95 Patricia Gannon Karanovic´ & Nikolic´ Regional differences in partner remuneration: Latin America 103 Jaime Carey Carey Daniel Del Río Basham, Ringe y Correa Part 3: Reward determination: performance management and decision-making 107 Still trying to motivate by money? How remuneration impacts upon the motivation of lawyers 109 Rupprecht Graf von Pfeil KermaPartners The role of the remuneration committee 117 Marc Bartel Heidrick & Struggles Addressing currency, tax and cost of living factors in the internationalising firm 125 Michael Roch Internal Consulting Group ‘Open’ or ‘closed’ systems? 133 Máximo Luis Bomchil M & M Bomchil Part 4: Special issues in partner remuneration 135 Salaried partners and fixed-share partners 137 Andrew Wansell Boodle Hatfield LLP Lateral partner hires: investing in new markets? 147 Jörg K Menzer Noerr Law firm founders, goodwill and partner remuneration 153 Jaime Fernández Madero Fernández Madero Consulting Part 5: The way ahead 167 A partner remuneration system for the 21st-century law firm 167 Michael Roch Internal Consulting Group About the authors 175

The only thing which the book is missing is a health warning on the cover. As the first global guide for partners questioning the approach of their law firm during the ups and downs in legal markets, it is unequalled.