Can anyone explain why some AmLaw 100 firms pay market to all of their associates regardless of location (like mine, I make cravath scale at a satalite office) and some vary widely based on region? How do they get way with that? I am at a firm at the bottom of the AL100 but get paid more than my friend at Faegre in the same city.

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I’m at a satellite office of an AmLaw 100 firm that pays less than other offices and they promised better WLB than firms paying market (which, turns out, has not been my experience).

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Basically the rates they charge clients out of every office is the same. I was in a satellite office when I first started practicing and our partners had a hard time getting (and keeping) clients because our rates were way too high for the area our office was in. But The rates had to be high to make our market based salaries work.

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Because they can get away with it.

If you want a somewhat “typical” justification, the billing rates at those satellite offices are usually much lower so, in theory, those lower billing rate satellite office attorneys don’t make the firm as much money as the higher billing rate ones. No client is going to pay NYC market rates in Cleveland or Pittsburg, for example.

Okay this at least makes sense. Almost all of my clients are in in NYC, TX, or CA. I am a specialist so I would be remote from a lot of clients/partners I work for no matter where I was located. But I am pretty sure every associate is paid market firmwide.

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