A media spokesperson from Allens told Lawyers Weekly yesterday that the move would see a salary freeze applied to all employees across the firm, but all bonuses and incentives relevant to last year and next year, will still be paid.

An increased flexibility program will also be introduced, offering staff the opportunity to work shorter days, purchase annual leave and take a career break.

While no forced redundancies will be made, and the firm has not committed to a structured redundancy program, staff have been offered voluntary packages. The media spokesperson said the key word was "voluntary", adding that there was no "plan b" to force redundancies later on.

Chief executive managing partner Michael Rose told Lawyers Weekly this morning that the voluntary redundancies were being offered in a bid to promote flexibility in dealing with the current economic climate.

"The voluntary redundancy programme has absolutely no targets in terms of either numbers, positions or any specific roles in the firm," said Rose.

"It is just one of a number of options being made available. We haven't elevated it in terms of its importance as part of our response to the global economic downturn."

Staff were informed of the decision via a series of briefings this week.

- Angela Priestley