WithumSmith+Brown, Certified Public Accountants and Consultants, announced the results of its 2014 NJ Top 50 Law Firms Benchmarking Survey. The goal of the survey was to uncover trends and gauge current market conditions in the law firm profession. Managing partners, executive directors, CFOs and other decision makers responded to the law firm survey. The results obtained convey a positive outlook for 2014 along with several interesting key findings.
Over half of the survey participants anticipate fee income and partner compensation to increase in the coming year. Over 80% of the firms anticipate salaries and healthcare benefits to increase in 2014. Additionally, almost 60% of the firms expect employment levels to increase. Realization rates are also predicted to improve in 2014. The majority of NJ law firms have no plans to expand their practices outside of NJ, with only 27.8% of respondents considering a move.
Partner compensation is expected to increase in the coming year for almost 60% of law firms surveyed. All respondents reported giving an average pay increase of 1%-4% to their employees in 2013, while 75% expect either the same or greater increase in their employees’ salaries in 2014.
Other interesting findings show that over 70% of the top 50 NJ law firms offer flexible work hours to their employees; almost half of respondents do not know how the federal healthcare reform law will affect their practice; and almost 70% of law firms do not have a formal succession plan in place.
To view the complete survey and results, please visit Withum’s law firm services website at https://www.withum.com/industry/professional-services/.