Milbank has opted to raise associate salaries rather than issue a one-time special bonus, a move that legal industry observers say will have lasting consequences across the Biglaw market.
The new salary scale, effective July 1, 2026, sets first-year associate base pay at $235,000, rising to $455,000 by the eighth year of practice.
The raises range from $10,000 to $20,000 depending on class year, representing a structural shift in how top firms compensate their junior lawyers.
Within days of Milbank’s announcement, the new scale was adopted by McDermott, Hueston Hennigan, VKHH, Quinn Emanuel, and Katten, underscoring how quickly market norms can shift when a prominent firm moves first.
Stephanie Biderman, an associate recruiter for Major Lindsey & Africa, explained to the American Lawyer why a salary increase carries more weight than a bonus payment.
“Milbank’s decision to raise salaries as opposed to giving another bonus has a far bigger impact because it impacts so many associates over the long run,” Biderman said.
She added that the distinction between recurring salary and a one-time payment is fundamental to understanding why this move resonates so strongly across the associate ranks.
“The bonus is really, theoretically, meant for exceptional years — this is going to be more impactful than any bonus would have been,” Biderman said.
For associates, the difference is significant, as a higher base salary compounds over time through future raises, bonuses calculated as a percentage of salary, and lateral offers benchmarked against current compensation.
Milbank has long been regarded as the firm most willing to push Biglaw salaries upward, and this latest move reinforces that reputation at a time when competition for top legal talent remains fierce.
The speed with which competitors matched the new scale suggests that firms across the market were watching closely and prepared to respond, reflecting broader pressure to retain associates who have more options than ever before.
For law firm recruiters like Biderman, the raise signals a meaningful recalibration of what associates should expect as a baseline, well beyond what any seasonal bonus payment could deliver.