As a growing number of large law firms expand their nonequity partnership tiers, the number of single-tier partnership firms is steadily decreasing. Currently, fewer than 15 firms in the Am Law 100 maintain a single-tier system, a notable decline from just a few years ago. Firms such as Cravath, Swaine & Moore and Paul, Weiss, Rifkind, Wharton & Garrison have recently adopted nonequity partners, contributing to the reduction in single-tier firms.
Despite this trend, some firms with a single-tier partnership structure defend it as the optimal system. Firm leaders and consultants argue that such a model offers benefits, including avoiding the challenges associated with a large nonequity tier and maintaining partnership quality. However, many of these firms prefer not to discuss their partnership structure publicly.
More details about this evolving landscape in major law firms can be found here.