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Salary Trends In The Legal Industry

Earlier in 2018 The Australasian Legal Practice Management Association (ALPMA) released their annual legal industry salary and HR issues survey. You can find a link to the full results here.

There were several trends identified in this survey of 288 firms and 73 roles across legal, management and administration roles. We have included the highlights below.

This can be useful industry information, particularly as we approach end of financial year and salary review time.

Salary Increases

The survey found that 58% of staff can expect to have a modest salary increase in 2018. Around 28% can expect an increase of above CPI. 30% can expect to have a CPI increase. 14% can expect either a below CPI increase or a wage freeze. 3% of employees can expect a wage freeze.

This represents a 4 year low in salary increases where wages continue to flat line. The average increase in salaries was 0.7% last year (compared with 1% 2016, 2.8% 2015 and 4.8% 2014)

Salary Bands

Salary bands have not changed significantly over the last few years and are presented below.

For Lawyers

These salary bands represent what a Lawyer can expect to be earning in 2018 based on their year of admission and number of years of experience. These salary figures are inclusive of superannuation.

Year of Admission

Year Level

Annual Salary Pkg

2018/2017

1 st /2 nd

$60,000-$75,000

2017/2016

2 nd /3 rd

$70,000-$85,000

2016/2015

3 rd /4 th

$82,000-$115,000

2015/2014

4 th /5 th

$88,000-$130,000

2014/2013

5 th /6 th

$100,000-$135,000

Associate


$105,000-$130,000

Senior Associate


$125,000-$200,000

Special Counsel/ Consultant (non-equity)


$160,000-$230,000

Salary Bands for Legal Support

These salary bands are representative of Legal Support Roles. They are based on the role, the number of years experience, the seniority of the role and the size of the law firm. Note that these salaries are inclusive of superannuation.

Role

Large law Firm (300+)

Medium Law Firm (100-300)

Small Law Firm (Under 100)

Executive Assistant (Snr Partner, Practice Group Head/ In-house)

$80,000-$95000

$80,000-$90,000

$75,000-$85,000

Senior Secretary (5+ Years) Partner level.

$75,000-$80,000

$75,000-$80,000

$70,000-$85,000

Intermediate Secretary (3-4 years)

$60,000$70,000

$60,000-$70,000

$60,000-$65,000

Junior Secretary (1-2 years)

$50,000-$60,000

$50,000-$60,000

$50,000-$60,000

Entry Level Secretary

$45,000-$50,000

$45,000-$50,000

$45,000-$50,000

Law Clerk

$80,000-$95,000

$80,000-$95,000

$75,000-$85,000

Receptionist

$60,000-$65,000

$60,000-$65,000

$55,000-$60,000

Office Services Clerk

$50,000-$60,000

$50,000-$60,000

$45,000-$55,000

Accounts Clerk

$50,000-$70,000

$50,000-$70,000

$50,000-$70,000

Expected Industry Growth

Based on the ALPMA benchmark study, 75% of Australian Law Firms expect to grow by at least 10% in 2018.

At Legal People we are finding that the earnings gap between small and large firms has narrowed over time.

One of the positive industry trends is that firms are starting to shift their focus from cost savings, to investing in their people. This is aimed at improving employee retention.

The ALPMA survey also found that 25% of firms have partners who are due to retire in the next 12 months, so succession planning is vital to managing any key person dependencies!

Being across industry trends, salary banding and expected industry growth can help ensure you are earning market rates in your current role. And if you are not? Consider whether it is time to move on to a challenging new role. It is a great time to be landing a new role if you are an experienced and talented employee!

Are you looking for a new and challenging role in the legal industry in Melbourne? Legal People is your gateway to legal opportunities. We are specialists in the Legal Industry. We recruit Lawyers, Support staff and HR professionals in Melbourne, Australia. If you enjoyed reading this article, you can follow our Company Page on LinkedIn for regular updates. To browse our currently available roles click here.

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