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National firm cancels 2020 pay rises

There will be no pay rises for partners or employees this year at one national law firm, as part of its steps to manage the impact of COVID-19.

user iconJerome Doraisamy 22 April 2020 Big Law
Phillip Salem
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In a statement provided to Lawyers Weekly, Sparke Helmore national managing partner Phillip Salem (pictured) said that – in order to weather the storm brought on by the global coronavirus pandemic – the firm has opted for a “course of cost containment”, whereby non-matter-related spending is to be incurred only in business-critical cases.

“Accordingly, there will be no pay rises for partners or our people this year,” Mr Salem said.

The firm intends to manage the impact of the pandemic with as many people still employed, he said, while noting that “nobody knows what the future holds”.

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Sparke Helmore will, he continued, examine current working arrangements within teams and will work through options with some individuals pertaining to adjusted hours or taking leave.

A spokesperson confirmed with Lawyers Weekly that, if an individual opts for adjusted hours, their pay will be adjusted accordingly. Leave options may include purchasing additional leave to be taken in FY21.

The firm also said that “there are no enforced furloughs [and] at this point in time we are not laying off staff”.

“The values of Sparke Helmore have informed every decision we have made, and that means that every action we intend to take is fair and the wellbeing of every individual is front of mind,” Mr Salem continued.

“What we are not intending to do is implement a ‘one-size-fits-all’ approach, with sweeping mandates applied without consideration for individual circumstances.”

Sparke Helmore management and partners are committed, Mr Salem continued, to “getting the firm through these unprecedented times in such a way that we come out the other side stronger than ever”.

“Our people and our clients are our priority. Our approach is to take balanced, prudent and measured steps to protect and preserve our business, while looking after our people the best we can in the circumstances,” he concluded.

The news follows reports earlier this week that HopgoodGanim Lawyers is cutting salaries for staff earning more than $65,000 by 20 per cent, and that directors and senior executives for plaintiff firm Slater and Gordon will see their pay reduced by 10-15 per cent.

Lawyers Weekly has also reported on the measures taken by dozens of law firms with Australian presence in the wake of the pandemic. Those stories can be found here.

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