Here are the numbers, according to a September survey for WSJ by the Association of Corporate Counsel, a bar association for in-house lawyers: More than 20% of the 366 in-house legal departments that responded are refusing to pay for the work of first- or second-year attorneys, in at least some matters.
Almost half of the companies, which have annual revenues ranging from $25 million or less to more than $4 billion, said they put those policies in place during the past two years, and the trend appears to be growing.
A combination of the legacy of financial crisis and higher rates for junior associates — $200 or $300 for an hour’s work, which typically includes research, proofreading or culling important documents from boxes of paperwork — appear to be driving trend. The line is simple: Chief legal officers don’t want to absorb the costs of training newly minted lawyers.
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