Are We There Yet?: NY Firm Delays Deferred Associates' Start Again

Shearman & Sterling has further delayed the start dates for some of its already deferred associates into early 2011, according to a memo sent Friday. Shearman in April 2009 offered its then-incoming associates the option of delaying their start dates one year in exchange for a $65,000 stipend.

While the 54 lawyers who opted-in were not given a specific date to join the firm, they were expected to join this year. The deferred associates on Friday were instead given a choice of three start dates in January and February, according to the memo.

They will receive information in the coming months about a salary advance, according to the memo, signed by the heads of Shearman's associate development committee, Azam H. Aziz and Lona Nallengara. "Although the economy is improving and we are encouraged by current activity levels at the firm, we believe that these dates will be the most conducive to providing you with the quality and breadth of work that we feel is necessary to properly train new associates," the memo said.

Like many firms, Shearman has struggled with its head count since the economic downturn began. In addition to deferring its 2009 class, Shearman implemented mandatory year-long deferrals for incoming associates who graduated this year. The firm informed those lawyers they would start no later than October 2011. Shearman last year also gave its already-employed associates the option to take one year off in exchange for a stipend. Some of those have already begun to come back, a spokesman said. The firm meanwhile has 27 summer associates in New York this year, down from 57 last year.