Los Angeles' Allen Matkins cut first-year associate salaries on Tuesday, an indication that cracks are starting to show in the compensation model for new associates. All first-years at the firm are now making $145,000, and those joining in the fall will make that much as well, said managing partner Brian Leck. Some associates at higher levels will also see their pay cut. The firm has laid off a "small number" of people, but Leck said more layoffs were averted by the salary reductions.
Allen Matkins Cuts First-Years' Salaries
April 1, 2009