Firm Snapshots

Bingham McCutchen LLP

FIRM OVERVIEW

Bingham McCutchen has grown explosively in the past decade, from 225 lawyers in 1995 to approximately 1,100 attorneys in 15 offices around the world today.  Most of that growth can be attributed to the many firms that have merged with it.  Since 1997, at least 10 “legacy” law firms have merged with Bingham McCutchen—McKee Nelson being the most recent addition in 2009 (the second-largest law firm merger for 2009, according to Altman Weil, Inc.).  Not limiting its expansion to the law, the firm has also developed subsidiary branches—Bingham Consulting Group and Bingham Strategic Advisors—that offer strategic consulting services.  The firm has positioned itself in leading financial centers around the globe, including New York, London, and Tokyo, and its M&A and finance departments are correspondingly particularly strong despite the economic downturn.  To complement its core strengths in all things financial, the firm has an equally strong presence in the regulatory practice and serves institutional giants including Goldman Sachs and Charles Schwab.  In addition to its transactional clients, the firm’s litigation department also counts well-known bellwether companies like General Motors, BMW, Nokia, and Bank of America as clients, as well as celebrities such as Larry King and J.K. Rowling.  The firm's California offices are well regarded for their real estate and environmental work.  Lateral Link Members report generally that their co-workers are down-to-earth, genuinely friendly people.  In recognition of its strong performance during the recession, the firm earned a fifth place ranking on The American Lawyer's new 2010 Recession Performance Index.  After 15 consecutive years of revenue growth, the firm's gross revenue dipped for the first time in 2011, albeit only by 0.5%.  Profits per equity partner rose over 5%.  

Chambers Top Departments: Capital Markets: Securitization (#2); Financial Services Regulation: Broker Dealer (Compliance) (#2); Tax: Controversy (#1); Investment Funds: Registered Funds (#2); Corporate/M A: Highly Regarded (#2)

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COMPENSATION (SALARY AND BONUS)

The firm enacted a pay freeze in 2009, but in February 2010, it announced that salaries would be raised to market level for all associates who billed at least 1,900 hours in 2009, while those who billed 1,500 hours would only receive a single class bump in salary.  In October 2009, Bingham McCutchen announced a new merit-lockstep compensation structure, under which base salaries would remain based on a set lockstep system, but bonuses would be contingent on merit and the financial contribution of the associate as well as hours.  However, in February 2011, the firm returned to a single-scale base compensation system.  Starting salaries are $160,000 in all offices.  Bonuses at the firm are individualized, but they typically match market bonus levels for associates who meet hours requirements.  However, associates report that in 2009, only associates who billed at least 2,100 hours could expect market-level (i.e., Cravath-scale) bonuses.  In 2010 and 2011, the firm paid bonuses based on the Cravath scale, with an added special bonus for top performers.  The firm also paid 2011 spring bonuses that matched the Cravath spring bonus scale.  Lateral Link Members agree that the firm is a follower in terms of bonus amounts; so much of a follower, in fact, that the firm typically waits until March to pay out year-end bonuses.  The firm also awards bonuses and progression credits to new associates for judicial clerkships, and it may award similar compensation for advanced degrees.   

 
 

ASSOCIATE EXPERIENCE

To complement its employee-centric work environment, the firm looks for associates that are “smart, grounded people who have good judgment, are great communicators, and haven’t let a challenging career path rob them of their sense of humor.”  Staffing at Bingham McCutchen is a hybrid system, whereby associates are assigned to a partner who provides some work for their first two years, with the remainder of assignments coming from other partners the associate wants to work with or by going through the formal workflow system.  Opinions of the firm’s staffing practices vary among Members, with one Member complaining that the work received is not very substantive, and another pointing out that the process is “very sink-or-swim.”  Lateral Link Members also point out that associates are usually allowed to work for other partners outside their practice group, especially if their department is slow.  Associates are not required to select a primary practice group for their first four years; they instead work generally in either the litigation or corporate department.  In the first two years, associates can expect to receive a review every six months and then an annual review beginning in the third year, which one Member says provides “little useful feedback.”  In addition to standard associate reviews, the firm conducts an annual upward review process in which associates anonymously evaluate partners and senior attorneys.  The firm prides itself on the training new associates are provided through the Attorney Development Department, which focuses on practical skills training, workflow coordination, performance feedback, and career counseling opportunities.  While Lateral Link Members generally praise the availability and variety of formal training opportunities, they note that it varies by practice group.  For example, one Member in the tax group explains that all tax training is on-the-job.  Lateral Link Members note that the mentoring program is “subpar” and in most cases is nonexistent. 

Like most national law firms, Bingham McCutchen is committed to diversity and has been recognized for its diversity-related efforts.  In 2012, the firm made Fortune's “100 Best Companies to Work For” list for the eighth consecutive year, and in 2011 scored 100% on the Human Rights Campaign’s Corporate Equality Index for the third year in a row based on its treatment of its LGBT employees.  The firm is also passionate about its impact on the environment and has launched a firmwide Green Initiative “with the aim of significantly reducing firmwide consumption of plastic, energy, and paper.” 

Lateral Link Members report that there were stealth layoffs of associates from all class years in 2009.  While current morale at the firm is mediocre, Lateral Link Members are seemingly confident in the management and trajectory of the firm.

 
 

FACE TIME AND VACATION POLICY

Bingham McCutchen offers four weeks of vacation time, which rolls over to the following year.  Lateral Link Members say that while associates do not take most of the vacation time allotted to them, when associates do take vacation, partners generally respect their time away from the office.  However, Members also note that associates are expected to check email on vacation and, depending on the partner and/or practice group, may have to occasionally cancel a vacation for work.  Pressure for face time "depends on your practice group," and even on the partners within the practice group, according to Lateral Link Members, with some saying it is more typical for litigators to need to be in the office.  Associates regularly work on weekends, but they can usually do so from home, and working on holidays is not common.  The firm offers 14 weeks of paid maternity leave, and eight weeks of paid paternity leave.

 
 

BILLABLE HOURS

To be eligible for a bonus, associates must bill 1,950 hours, 50 of which can be pro bono.  In addition, bonus amounts increase when an associate reaches the 2,100-core-hour level, with core hours being composed of up to 150 hours of firm citizenship, training, business development, and recruiting.  One Lateral Link Member praises this system, saying it is "structured to encourage you to make your hours, but not go over them."  But all Lateral Link Members surveyed agree that the firm is very strict about associates meeting their billable minimums.  Lateral Link Members note that the consequences of not meeting the billable hours requirements vary depending on circumstances, but they typically are no bonus and/or no raise.

 
 

PRO BONO POLICY

The firm is a founding signatory to the Pro Bono Institute's Law Firm Pro Bono Challenge (PBI) and has placed increasing emphasis on pro bono.  Firmwide, pro bono hours per attorney have doubled since 2003 to 95 hours annually per associate, and an impressive 80% participation rate among associates in 2010.  Some of the many legal issues handled through the firm’s pro bono efforts include constitutional law and civil rights, adoption and children’s rights, nonprofit counseling and community economic development, and jail and prison conditions.  The firm also recently created a pro bono fellowship program to allow two associates to pursue pro bono work full-time for one year while remaining with Bingham McCutchen.  Officially, there is no minimum requirement or maximum allowable number of pro bono hours.  However, an attorney’s pro bono participation, or lack thereof, is a factor considered during the attorney evaluation process.

PARTNERSHIP PROSPECTS

Bingham McCutchen has a one-tier partnership track, with an average of between eight and ten years to reach partner.  Lateral Link insiders have mixed feelings about whether partnership is a realistic goal, with one Member noting that "in the last three years, [the firm] elected six partners who were working part-time schedules when elected" and another calling the process "a long and difficult path."  Lateral and homegrown associates appear to have similar chances of making partner; however, the partnership chances of its “legacy” associates (from the recently merged firms) are as yet unknown.  In 2010, the firm’s new partner class was 71% female.   

 
 

BENEFITS (INCLUDING NEW ASSOCIATE BENEFITS)

Some of the unique perks of working at Bingham McCutchen include an emergency child care center and in-home child care for working parents, discounted gym membership, an in-house café, regular happy hours, free dinner delivery and car service if working late, and a budget to take fellow associates to lunch.  New associates are reimbursed for most bar-related expenses and relocation expenses, and they can opt to receive a bar study loan.  However, several Members noted that recent cost-cutting measures at the firm have affected some insurance and expense reimbursement policies.

SUMMER ASSOCIATE PROGRAM

Keeping pace with the firm’s “employee-satisfaction-based” accolades, Bingham McCutchen’s summer program also earns high marks and was ranked third nationally in the 2011 American Lawyer Summer Associates Survey.  The firm offers 10-week summer programs in all of its domestic offices.  Summer associates surveyed praise the "positive environment" of the summer program, noting the best parts are the "great people, quality assignments, [and] manageable hours and workload."  Summer associates typically receive their work assignments from an attorney summer coordinator, and are expected to complete about 11 to 15 assignments during the summer.  Survey respondents say the training opportunities are ample with one respondent experiencing “great deposition training.”  In addition to offering summer associates the chance to work in various practice areas, the firm also provides specific pro bono opportunities for summer associates, such as representing indigent clients in Boston on disability benefits appeals and completing one-week rotations in New York public interest organizations.  The firm does not provide summer associates with BlackBerrys, and respondents report that there is no face time requirement, they generally leave the office by 6:00 p.m., and they do not usually work weekends.  In addition to unlimited attorney lunches, the firm holds weekly social events for summer associates, such as tequila tastings and a Top Chef competition.  In 2009, 67% of the firm’s 76 summer associates received offers; in 2010, 88% of the firm’s 43 summer associates received offers.  The firm delayed start dates for the incoming Class of 2009 associates to January 2010 (but offered a $10,000 deferral stipend as well as an optional $10,000 salary advance), but Class of 2010 associates started on time.  The firm does not plan on deferring the start date for the incoming Class of 2011 associates.

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