International law firm Allen and Overy is to increase the salary of all newly qualified lawyers, after implementing pay reductions due to the Covid-19 (Coronavirus) pandemic.
From December 2020, Allen and Overy will increase the salary of newly qualified lawyers to £95,000 per annum. This will be backdated to November 2020. The organisation introduced pay cuts for newly qualified lawyers in June 2020, reducing their salary from £100,000 to £90,000 per annum.
During the pandemic, the law firm decided against introducing redundancies and has not made use of the government’s Coronavirus Job Retention Scheme (CJRS). However, the law firm in March announced that it would delay salary reviews for the first quarter of its financial year.
A spokesperson at Allen and Overy said: “Since the beginning of the Coronavirus pandemic, we have undertaken regular reviews of the measures we introduced to protect the organisation, including not undertaking salary reviews in the first quarter of the financial year.
“Following a recent review, we have taken the decision to increase lawyer salaries to align to the market as appropriate to their band or relevant discretionary increase for their role. This increase will be reflected in December pay, backdated to November. We would like to take this opportunity to thank all our people for their ongoing contribution to the firm in these extraordinary times.”