Linklaters LLP accounts detail £20.8m profit share for top management team

Linklaters’ key management personnel received a total profit share of £20.8m last year, the firm’s limited liability partnership (LLP) accounts have revealed.

The amount, which is up 6% on the equivalent figure of £19.6m last year, was shared between the 12 members of the firm’s executive committee and partnership board chair and senior partner Charlie Jacobs, equating to an average of £1.6m for each of the 13 individuals.

The executive committee includes managing partner Gideon Moore, corporate head Aedamar Comiskey, litigation lead Michael Bennett and US head Tom Shropshire.

The accounts show that turnover increased by 10% to £1.44bn from £1.31bn, but on a constant currency basis only increased by 2%. Profit available to share between partners was £456.1m, up 10% on last year’s figure of £416.1m.

The number of partners at the firm increased 3% to 312, from 303, while the numbers of lawyers increased to 2,457, up 3% from 2,393. The number of other employees also increased to 2,149, up 1.5% from 2,118 last year.

According to the accounts, the US and Southeast Asia were areas of strong growth, with the firm also performing well in the TMT and financial sponsors sectors.

In his statement introducing the accounts, Jacobs said: “The next financial year will see us rolling out the global implementation of our firmwide strategy refresh: increasing our investment in clients, our people and technology. The result will see the firm imbued with a stronger sense of purpose and collaboration, focused on acting for clients as a united, global team. “

The new strategy includes a change in how partner performance is assessed, as the firm moves away from a focus on billings towards a broader range of factors such as business development, marketing and innovation.

The aim is to make partners more collaborative and entrepreneurial, rather than focusing on their own financial targets.

Linklaters is currently piloting a scheme whereby associates can agree to a 40-hour week for about a third less money. Nine associates and counsel in the firm’s German offices have signed up to the pilot so far.