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Nixon announces associate pay cuts

Thu, Apr 30th 2009 12:00 am
By MATT CHANDLER
Buffalo Law Journal

The recession has dealt another blow to a law firm with offices in Buffalo.

Nixon Peabody LLP confirmed that it is implementing salary cuts for all incoming and summer associates at the firm, which employs 800 attorneys at 17 offices worldwide, including five in New York state.

In a prepared statement, managing partner and CEO Richard Langan Jr. cited the need to "maintain staffing levels in the best interests of our clients" as a reason behind the cuts. Associates in "major financial centers" will have their starting salaries reduced from $160,000 to $145,000. The memo also announced the reduction of base pay for current Nixon Peabody associates "based on their individual performance and contribution to our firm," though it was not clear whether those pay cuts would affect lawyers in all offices.

Nixon Peabody has offices in such cities as New York City, London, Paris and Shanghai.

A call to the firm's Buffalo office, which employs approximately 20 lawyers, was directed to Allison McClain, media-relations director for the firm. Asked how the how the salary reductions for new and existing lawyers would impact Nixon Peabody's Buffalo office, McClain, responding via e-mail, declined to comment.

The pay cuts come on the heels of the firm's decision to lay off 56 employees, including 20 lawyers, in February.