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Partner Remuneration in Law Firms

Partner Remuneration in Law Firms

Mr Michael Roch | Ms Polina Pavlova

(2016)

Additional Information

Book Details

Abstract

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.

Table of Contents

Section Title Page Action Price
Front Cover\r 1
Title 2
Copyright 3
Table of contents 4
Preface Polina Pavlova Willis Towers Watson Michael Roch Internal Consulting Group 6
Part 1: Partner remuneration in context 9
Aligning partner remuneration with strategy Robert Millard Møller PSF Group 11
The impact of organisational design and governance on a partner remuneration system Leopoldo Hernández Romano KermaPartners\r 26
Do you share profits or do you receive compensation? Patterns in law firm culture Christoph H Vaagt Law Firm Change Consultants 35
Part 2: Partner remuneration systems operated in practice\r 51
Lockstep systems and their variations Aster Crawshaw Addleshaw Goddard LLP 53
Table manners: rewarding performance without ‘eat what you kill’ Norman Clark Walker Clark LLC\r 71
Hybrid systems and contribution-based meritocracies: the golden mean? Polina Pavlova Willis Towers Watson 85
Systems typically operated in small firms: cost sharing, formulas and fixed-share systems Patricia Gannon Karanović & Nikolić 93
Regional differences in partner remuneration: Latin America Jaime Carey Carey Daniel Del Río Basham, Ringe y Correa 101
Part 3: Reward determination: performance management and decision-making 104
Still trying to motivate by money? How remuneration impacts upon the motivation of lawyers Rupprecht Graf von Pfeil KermaPartners 105
The role of the remuneration committee Marc Bartel Heidrick & Struggles 112
Addressing currency, tax and cost of living factors in the internationalising firm Michael Roch Internal Consulting Group 119
‘Open’ or ‘closed’ systems? Máximo Luis Bomchil M & M Bomchil\r 127
Part 4: Special issues in partner remuneration 129
Salaried partners and fixed-share partners Andrew Wansell Boodle Hatfield LLP 130
Lateral partner hires: investing in new markets? Jörg K Menzer Noerr\r 140
Law firm founders, goodwill and partner remuneration Jaime Fernández Madero Fernández Madero Consulting 145
Part 5: The way ahead A partner remuneration system for the 21st-century law firm Michael Roch Internal Consulting Group 159
About the authors 167