Research shows that US firms pay more as magic circle trainees report heavier hours
New research shows that the largest City law firms are paying their trainees less than US competitors while expecting them to work longer hours. The findings highlight the ongoing escalation of newly qualified salaries and widening contrasts in trainee experience across the legal sector.
Chambers and Partners, which gathered data from over 1,000 trainees at 95 firms in the top 200, also reviewed newly qualified pay levels. It found that most newly qualified solicitors in London accept a trade-off between salary and work-life balance. The average newly qualified salary at the top 200 London firms now exceeds £124,000, around 40% higher than the average outside the capital.
Although the pay gap between US and magic circle firms has narrowed in recent years, the highest US newly qualified salary reached £180,000 this year. Chambers found that this figure is 16.7% higher than the amount paid by magic circle firms. Across the US cohort, the average newly qualified salary stood at £168,000, compared with £150,000 at magic circle firms and £94,000 at national practices.
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The research further shows that trainee working hours do not always mirror salary levels. Magic circle trainees reported an average working week of 50 hours, slightly higher than the 49 hours reported by trainees at US firms. Trainees at other London firms averaged 42 hours, while those outside London recorded 38. Chambers noted that although the differences seem modest, they reflect growing competition among large London firms for clients and recruits. It added that the traditional “magic circle” label may be losing definition, with some now referring instead to a “UK elite”.
Across the market, trainees in London worked an average of 45 hours per week compared with 38 outside the capital. Despite the workload, 87% of trainees said their hours felt about right. However, 21% of magic circle trainees said their hours were too high, compared with 12% at US firms and 3% at regional firms.
The report found that regional firms had the happiest trainees and the lowest stress levels. Trainees at US practices followed closely, while those at magic circle firms were notably less likely to say that their stress levels were manageable.
Meanwhile, 11% of all trainees identified as neurodiverse. They were more likely to work in technical practice areas such as technology or transport and less satisfied in broader areas like litigation or corporate M&A. Only 47% believed partnership was achievable at their firm, compared with two-thirds of neurotypical trainees.
Cait Evans, global talent head of research at Chambers and Partners, said trainees recognised that higher salaries come with increased demands. She added that trainee preferences for certain practice areas may shape the long-term structure of firms and should inform strategic planning.