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ASSOCIATE COMPENSATION BY LAW FIRM SIZE Firm size: 1-9 lawyers (sample size: 156) 10-49 lawyers (sample size: 40) 50-99 lawyers (sample size: 9) year of call 2012 2011 2010 2009 2008 2007 2006 2005 median $60,000 $68,000 68,000 $71,000 71,000 $86,500 $93,000 $105,000 $95,000 $100,000 median 77,500 78,100 90,000 100,000 97,500 122,500 123,900 147,500 median lowest 66,000 36,000 73,800 45,000 85,000 58,000 95,000 63,000 102,500 85,000 107,500 85,000 112,500 80,000 121,250 100,000 and earlier lowest 40,000 50,000 45,000 57,000 50,000 70,000 45,000 45,000 highest 105,000 120,000 135,000 175,000 200,000 165,000 150,000 225,000 lowest 55,000 40,000 70,000 80,000 80,000 60,000 80,000 80,000 40% 36% ASSOCIATE COMPENSATION year of call 2012 2011 2010 2009 2008 2007 2006 2005 and earlier (SAMPLE SIZE: 207) median $66,000 $75,000 $82,750 $97,500 $96,293 $118,146 $112,500 $118,500 lowest 36,000 40,000 45,000 57,000 50,000 60,000 45,000 45,000 ANNUAL BILLABLE HOURS T ARGETS FOR ASSOCIATES (SAMPLE SIZE: 77) highest 105,000 120,000 135,000 175,000 200,000 200,000 400,000 350,000 15% J u ly 2013 www.CANADIAN RANGE OF ASSOCIATES' ANNUAL MONET ARY BILLING T ARGETS (SAMPLE SIZE: 80) 5% 4% 1,301 to 1,600 37% 1,601 to 1,800 12% over 1,800 1% 1,001 to 1,300 20% L a w ye r m a g . c o m highest targets 1,850 loWest targets 650 average targets 1,403 up to 1,000 7% The figures come amid much industry discussion about the need to rein in compensation packages for more junior lawyers. Asked about the areas of greatest dispute in establishing compensation rates, one respondent said: "Unrealistic new lawyers." Another complained about "associates not billing enough," while another put it as "paying associates higher and higher wages in return for them earning the law firm less and less." Does this year's survey suggest firms, concerned about the economic slowdown, are imposing a starkly draconian regime on their associates? Not exactly. Only seven per cent of firms penal34 highest 95,000 106,000 116,000 126,000 139,000 146,000 158000 180,000 un der $20 0,0 00 $20 0,0 00$30 0,0 00 $30 0,0 01$40 0,0 00 $40 0,0 01$50 0,0 0 $50 0,0 00 + NATIONAL highest 100,000 120,000 130,000 150,000 155,000 200,000 400,000 350,000 ize those who fail to hit their billable hours target, though this is a slight increase on last year's five per cent. Meanwhile nearly a third offer bonuses to associates who hit the hours target. Forty per cent of firms have annual monetary billing targets for associates, most commonly requiring them to bill under $200,000 a year. This is less ambitious than last year's average target of between $200,000 and $300,000. In the 2013 survey, 39 per cent of firms say they hand out bonuses for hitting the billing target but only four per cent penalize associates who miss it. Half of all firms paid bonuses to associates in 2012, worth $10,000 on