Compensation issues, or the perceived fairness of compensation does more to fracture partnerships, cause partners to change jobs, or provide a feeling of pleasure or despair, than any other issue facing law partnerships. T here is no perfect compensation system guaranteed to function well in all law firms.
Compensation systems establish status and define each partner's reward and value to the firm.
A good compensation system will be perceived as fair and equitable by those who are subject to it. The lawyer having too much business must not be afraid to part with it. He must be encouraged to do so, and when he does so, the system must protect his natural and proper interest in the case and the fruits thereof. Clearly, not all firm's would agree with all of these objectives. Also, things that worked in 1940 may not work today.