The move, which follows an internal consultation, will be Barlows’ first ever associate bonus scheme and will include the introduction of a firm-wide bonus for all staff if the firm exceeds its budgeted profit.
For every £1m the firm surpasses its budget, Barlows will allocate at least £100,000 to be divided up in bonus payments.
In their appraisals, non-fee earners who are assessed as ‘very good’ or ‘excellent’ — the highest grades — will be eligible for a bonus of up to 10% of salary. Fee earners attaining the same grades will be eligible for up to 20% of salary. Early indications suggest fee earners will qualify as ‘very good’ if they charge 1,600 hours or more and ‘excellent’ if they charge 1,750 hours or more.
The move brings Barlows in line with a number of its City rivals, many of which offer bonuses of 20%-40% of salary.