Two City firms have announced big increases in salaries for newly qualified solicitors in the face of competition from US-based rivals.
In its first pay boost since 2001, international Reed Smith announced that NQ salaries are to rise by 16% from £107,500 to £125,000. The new salary will take effect from 1 September 2024.
As well as the new base salaries, associates will continue to be eligible for a bonus programme, subject to completing the set number of target hours. Trainee salaries will remain the same with year one trainees receiving £50,000 and year two £55,000.
Andrew Jenkinson, Reed Smith’s London office managing partner, said: ‘The new salary is an investment in our lawyers, which keeps us in line with other leading international law firms, and supports the firm’s strategic growth objectives enabling us to continue to deliver the highest quality, legal services that we are known for.’
Meanwhile Ashurst also increased its newly qualified salaries to £125,000, in a 9% rise with effect from 1 May. Trainees can expect to earn £52,000 in their first year and then £57,000 in their second year.
Trainees also receive a bursary to study for the SQE1&2 at the University of Law in Moorgate London, along with a £17,000 maintenance grant, and can access interest-free loans of £2,000.
