Ashurst partner pay falls to $2.26m
Global law firm Ashurst said on Thursday that a 10 per cent increase in revenue over 2022-2023 had failed to translate into more pay for partners as rising costs and inflation hit the bottom line.
Ashurst CEO Paul Jenkins: “When you have high inflation, wage pressures and rising costs… 10 per cent revenue growth is pleasing.”
Managing partner Paul Jenkins announced revenue had risen for the seventh straight year – from £798 million ($1.54 billion) to £879 million – and was up 74 per cent since 2016.
The profit per equity partner (PEP) of £1.170 million ($2.26 million) was down 0.4 per cent on the record PEP result of £1.175 million for 2021-2022. That figure has risen 94 per cent over the past seven years.
The result compares favourably with other international law firms based in the UK, which started rolling out results this week. Eversheds revealed revenue was up 8 per cent to £730.9 million and PEP rose 4 per cent to up to £1,290 million.
Unlike Australia, the UK requires law firms to report their results across their financial year, which runs from May 1 to April 30.
“All international firms are seeing more stagnant growth,” Mr Jenkins said.
“It has been a more subdued M&A market – and a more subdued transactional market generally — and that’s reflected in the outcomes for law firms.”
He said the result was still good.
“We have grown significantly in the past seven years, with revenue growing 8 per cent on average each year over that period, and growth accelerating in the past three years.
“When you have high inflation, wage pressures and rising costs… to achieve 10 per cent revenue growth is pleasing. The more subdued PEP reflects those pressures.
“The Am Law 100 firms (in the USA) on average reduced their
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