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Boosted by booming international financial markets, the City of London has
not had it so good since the end of the dotcom bonanza in the late 1990s.
Basking in double-digit growth rates, London’s law firms have both contributed
to that success and benefited from it. The earnings of top City lawyers can now
exceed ￡2m a year.
Having opted to expand and go global ahead of most others, Britain’s
leading law firms tend to be bigger than their American rivals. Indeed,
according to a survey of the world’s top 50 law firms, compiled by Legal
Business, a British trade paper, five of the world’s top six law firms-in terms
of turnover-are now British (if DLA Piper, the result of an Anglo-American
merger, is included). But they have tended to lag behind in terms of their
profitability. That is now changing.
The profit margins of the City’s five "magic circle" firms-Clifford Chance,
Slaughter and May, Allen & Overy, Linklaters and Freshfields-have soared in
recent years and are now comparable with, if not higher than, those of New
York’s "white shoe" elite. Slaughter and May, the only one of the five not to
have gone global, has the joint second-highest profit margin among the top
50.
Not so long ago, a London surgeon could expect to earn as much as a City
lawyer. But even the recent big rises in hospital consultants’ earnings pall in
comparison with those enjoyed by London lawyers. At Slaughter and May, for
example, average profits per equity partner (PEP) jumped by almost a third (in
dollar terms) last year to $2.75m-more than at any other of the top 50 law firms
bar two in New York where PEP averaged $2.8m and $3.0m respectively. Some senior
partners get a lot more of course.
Competition for the best lawyers is fierce and poaching frequent. Hence the
need to keep headline PEP figures up-even at the cost of getting rid of equity
partners, leaving a bigger share of the bounty for the remaining ones.
Freshfields is in the process of shedding around 100 of its equity partners.
Other leading firms are also undertaking painful restructuring.
Newly qualified lawyers’ salaries have also been shooting up in the search
for the best talent. Both Freshfields and Allen & Overy now pay their
first-year associates ￡65,000, rising to around ￡90,000 after three years.
(First-year associates at America’s top law firms get the equivalent of
￡80,000.)
But, as many other top-rank City employers have discovered, big earnings do
not necessarily guarantee big satisfaction. Acording to a YouGov poll, published
by the Lawyer earlier this month, a quarter of Britain’s lawyers (including a
fifth of law-firm partners) would like to leave the profession. The disgruntled
complained about cripplingly long hours, intense competition and the
impersonality of the biggest firms (some with more than 3,000 lawyers). So why
don’t they quit? Because, say three-quarters, of the pay.
1. Which one of the following is TURE of the status quo of London’s
economy?
[A] London is enjoying its best time of economic development since
1990s.
[B] The growth rate of London is doubled since the beginning of the
1990s.
[C] The growth rate started to boost since the end of the dotcom era.
[D] The current economy of London is mostly driven by its legal instead of
financial market.
2. The world’s top 50 law firms are graded according to _____.
[A] their annual margin
[B] their profitability
[C] their sale volume
[D] their quantity of business
3.The phrase “white shoe” (Line 3, Paragraph 3) most probably
means____.
[A] white collars
[B] first-class law firms
[C] financial agencies
[D] international banks
4. In order to be competitive, the law firms take the following measures
except_____.
[A] dismissing equity partners
[B] carrying out restructuring
[C] having their best lawyers turn more competitive.
[D] raising salaries for recruiting talents
5. From the YouGov poll, it can be inferred that____.
[A] this profession is far from satisfactory
[B] most lawyers will leave the profession sooner or later
[C] most lawyers are satisfied with the profession because of the fat
pay
[D] high salary is always contradictory to big satisfaction |
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发表于 2017-8-6 14:10:57