1. Would you say that the legal industry today offers as much exposure and growth potential as the traditionally “booming” industries?

Commenting from the perspective of a transactional lawyer (as opposed to a litigating lawyer) and assuming legal industry to mean law firms - Assuming exposure to mean exposure to diverse mechanisms of structuring transactions, meeting expectations of clients across sectors and getting to work with middle management and top management of companies, I would say the exposure is immense. I have addressed the query about growth in the next paragraph.

2. We’ve read about the associates who’ve recently been hired by the many firms for anywhere between Rs 8-14 lacs per annum. But how quickly could these associates see themselves climbing the ladders within their respective law firms? Also, what is the relative timeline of growth of their compensation packages?

Assuming partnership to be the ultimate goal, I believe 8 years is the average time one takes to become a salaried (non- equity) partner- although one might take lesser/more no of years depending upon his/her performance and the policy of the firm. Depending upon the firm, there might be two or three designations under a partner- Associate (3 years or so) ---> Senior Associate (3 years or so) ---> Principal Associate/ Group Head (2 years or so) ---> Partner. However, a lot of firms don’t have a designation equivalent to Principal Associate/ Group Head in which case the time spent at other levels will be more.

As far as compensation packages are concerned, the law firm I work with (it’s a band one firm but for obvious reasons I prefer not to reveal the name) pays Associates about 12 lacs p.a., Senior Associates about 36 lacs p.a. and Principal Associates about 75 lacs p.a. I am not aware of the compensation package commanded by salaried partners but my guess is, it is at least twice as much as a Principal Associate earns. However, two points need to be kept in mind- one, these figures include monthly retainer fee (salary) and bonus (which might be anywhere between 25% to 40% or even more of the compensation); and two, even within levels say, Associates, there are hierarchies so the compensation of an Associate with 1 year experience would be more than that of a new Associate.

3. Oh - and if you happen to be reading this from your cabin in one of those firms - recession. Has she gone away yet? Any thoughts on the recruitment trends for the second half of the year?

The recruitment numbers have been quite healthy this year. In fact, quite a few stories about the same have been published on this website.

The traditional wisdom that lawschoolites follow - and quite correctly so - is that a law firm offers better growth potential and exposure than a company / banking sector. A few years earlier, most companies paid better than law firms to start with but a law firm chap overtook his batchmate at a company in 3-5 years in terms of pay. Today, its better still … most band 1 law firms pay better than companies. And of course, as always, exposure and responsibility at firms is much more.

This is why a shift from a law firm to a company / bank is often heard of but its not so the other way around. While one reason can be that many people leave firms despite the pay because they want work-life balance and better hours, it is also true that a lawyer working for a comapny may not be able to shift so easily into a company while a lawyer with a few years experience at a firm has many takers amongst the companies.

Also, at the top levels, a law firm partner gets much more to work on and earns a lot more than a company’s legal head.

so… can anyone give me an idea of exactly how much a salaried partner makes at a law firm? the firms are very hush-hush about this; therefore i don’t expect the name of the firm… just a figure and the band of the firm.

thank you.

a salaried partner in a tier 1 firm wud make a crore but that can go up to 1.5 crore depending on clients brought / bonus component shooting up due to deal volumes etc. an associate gets 12-18 lacs pa, senior asso. 30-40 lacs pa, principal asso. / group heads 75 + lacs pa.

I’ve passed out from ILS, Pune as a university topper, worked with ELP, Mumbai (WTO& internatonal trade dept) and HDFC, Pune. Was on a sabbatical for almost two years. Now I’ve geared up to look out for a job in Pune. I’ve uploaded my CV in Naukari.com and Monster. Is there a better way to go about this?

try contact ‘Rainmaker’ (www.rainmaker.co.in)…they are a bunch of brilliant people dealing with legal recruitments

Hi, I am from Suzlon, Pune. Can u reach out to +91 22 66393200. Let’s hope something works out. Regards, kumar

The best way still remains to figure out openings by way of word of mouth from friends and collegues. (i.e. if you are looking at a top tier law firm). Rainmaker is an excellent alternative. Monter and Naukri dont really have quality legal jobs.

Well you see…I am not looking at law firms, I was thinking of joining an MNC! Preferably a software Co. I’m getting a whole bunch of offers from Mumbai, Delhi, Hyd and even Bangalore… Nothing worthwhile in Pune!:( Thanks for the response:D

Thanks Kumar, I’d give you a call soon. Btw, I have been to the Suzlon office in Vadgaosheri and had tete-a-tete with Mr. Kutti! I could give you more details over he call. Thanks again!

As the year draws to an end, generally speaking, the recruitments at the top 3-4 law schools across the country weren’t as bullish as were initially expected. That is to say, not nearly as many firms were out to recruit. Even those which were, didn’t recruit in the numbers that were expected of them.

For instance, where a given Tier 1 firm in 2008 would come and recruit 20-25 students, in 2010 they settled for a modest 9-10 students. Where, in 2008, Tier 1 firms would collectively have taken 35-40 students, they chose to take around 20.

(Here, I don’t quote exact figures but just approximate numbers from what I believe were the figures from NLS/NUJS/NALSAR.)

Comments?

As far as campus recruitments go,

(1) Has the recruitment game changed for some reasons?

(2) Would this continue for a few years now?

Although I understand the general enthusiasm shared by my brethren at law schools when it comes to a debate on recruitments, I would most appreciate responses from actual practitioners / those with constructive opinions.

Thanks.

Dear Anon,

I work at one of the tier 1 firms that you mentioned which is known to recruit in, perhaps, the biggest numbers from the schools you mentioned. For this year recruitments underrepresented the actual needs. In the coming few years keeping in mind the expansions (new offices) and general growth in the amount of work being handled the market should ensure that many firms pick up in much bigger numbers than this year. For my firm at least I can confidently say that next years numbers should be two to three fold of the numbers from this year.

Of course, the recruitment scenario had changed this year. Next year should be different. Hope it answers your query sufficiently.

I agree. Should only get better from here. Way better.

Hey dont u think its high time that top tier firms increase their salary??? all firms are today paying almost same as the best law firm is paying…

I’m not sure what you are trying to say. Why should a law firm increase its salary when it is already paying what the best law firms are paying?

You describe yourself as a fresher. You have a long way to go. The first five years is really the formative stage of your career. If you have a well paying job - be happy and focus on your learning. This “entitlement culture” is typical of Douglas McGregor’s Theory X employees who want more of everything, irrespective of whether they are entitled to it or not. More perks, more incentives, more salary, more holidays, more benefits, more raises … the list goes on.

Here is a good test to figure out whether you really deserve more. Submit your resignation. If it is not accepted and the management tries talking it out with you - it indicates that you are an asset to the organization. Negotiate a better deal for yourself. If your resignation is accepted - too bad. The management feels that the organization is better off without you. Bottom line is that what you get from your employer is only a by-product of what your worth is.

Legal Dodo