National labor and employment firm Ogletree, Deakins, Nash, Smoak & Stewart is not yet making any pay cuts in response to the novel coronavirus pandemic, but it is furloughing some staff and reducing hours for others whose jobs are not suited for remote work.
“While we are considering cost-saving measures like many firms, at this time we have not made pay cuts or salary reductions in response to the COVID-19 pandemic,” said Ogletree’s managing shareholder, Matt Keen, in a statement. The firm has about 860 lawyers in the United States.
“We are watching our business closely and considering additional measures that may be necessary as we continue to navigate this unprecedented time,” Keen added.
Keen said in the statement that most of Ogletree’s employees continue to work full time servicing the firm’s clients, but that the firm has reduced hours for some staff who can’t work remotely. Those affected are receiving two weeks of COVID-19 paid leave from the firm that they can apply to their reduced hours shortfall in addition to whatever paid leave that they already have available.
Ogletree has placed “a few” staff who can’t work remotely on temporary unpaid leave, Keen said, but the firm will cover their full health insurance premiums (employee and employer share) through May 31.
With a furlough, workers are eligible for state unemployment benefits, plus $600 per week from the federal government that is available through July 31.
“It is our goal to recall those employees as soon as business conditions allow,” Keen said.
Ogletree announced Monday that it was canceling its summer associate program due to the challenges of a remote-work environment. The firm had planned to field a summer class of 36 law students in 22 of its 56 offices.
According to preliminary data from The American Lawyer, Ogletree reported a 2% revenue increase last year to $520.1 million and a 3.2% increase in net income to $151 million. Profits per equity partner was flat at $777,000.