The 'Milbank Scale'​

The 'Milbank Scale'

On January 20th Milbank in New York continued to set the pace with associate remuneration. Traditionally pay in Manhattan has been led by Cravath leading to the 'Big Law' salary scale becoming known as the 'Cravath Scale’. Recently however pay has been led by Cravath's rivals down in Hudson Yards.

The new salary scale is:

• Class of 2021: $215,000

• Class of 2020: $225,000

• Class of 2019: $250,000

• Class of 2018: $285,000

• Class of 2017: $325,000

• Class of 2016: $350,000

• Class of 2015: $370,000

• Class of 2014: $385,000

Firms that have confirmed the new scale in the US are: Milbank, Cadwalader, McDemott, Fried Frank & Goodwin. It is assumed that the remaining Big Law firms in the United States will shortly adopt the scale as well

What does this mean for Lawyers in London?

Unlike New York, salaries paid by US firms in London can vary dramatically. It is also important to note that the majority of US firms in the City don’t pay salaries on a floating exchange rate but rather pay a fixed exchange rate which is normally calculated over the year however some firms will do this monthly. Generally speaking this rate in 21-22 has been £1:$1.4.

Should the Milbank Scale be adopted by firms in London, the top of the US firm market will move to the following:

• NQ: £153,500

• 1PQE: £160,500

• 2PQE: £178,500

• 3PQE: £203,500

• 4PQE: £232,000

Again, these salaries would only reflect the top bracket of US firms and although it may not match Manhattan exactly, it certainly is not a bad payday!