Bircham Dyson Bell has announced it is freezing salaries across its entire workforce and is scrapping one of its summer vacation schemes.
The London firm has told its employees that the freeze will apply to all members of staff and will be in place until at least May 2010.
Meanwhile, the firm has axed one of the three two-week vacation schemes it runs for students during the summer months.
The firm denied the cut in its vacation scheme was a money saving measure and instead put the move down to the fact that supervisors were “getting tired” by the time the third scheme came around.
“Having three schemes in the summer is too much and we found that supervisors were getting tired by the third vacation scheme. We didn’t feel students on the last programme were getting the same experience as students on the first two were,” said an insider at the firm.
The news comes after magic circle firm Allen & Overy axed its forthcoming Easter vacation scheme due to “lack of interest” from students.
Charles Russell has also announced plans to cut its two-week summer vacation scheme in half while Field Fisher Waterhouse has decided to cancel both its Easter and summer programmes.