Law firms struggling with partner compensation — which is to say, almost all firms — often blame the compensation system. But more often than not, the problem lies with the ways in which the compensation process plays out, including expectations of partner behavior and the communication of the process by which a figure is reached.
Law firms frequently call me to say they need help with their compensation system. Sometimes, they’ll indicate that it’s simply part of the strategic review. After peeling back the layers and determining what they really want, however, it is often apparent that the compensation system is just fine “as is.” It is the deployment of the compensation process that can create unnecessary challenges.
In this article, I will explore why so many partners may be griping about a compensation system that, in fact, is just fine.