This came as good news after years of lull in the legal market where there haven't been any dramatic salary rises for in-house or private practice lawyers at junior level.

In Sydney, first-year senior associate salary at a top-tier firm ranged from $135,000 to $165,000 and for Melbourne, from $120,000 to $150,000, including super.

For associates, first-year associate salary at a top-tier firm in Sydney ranged from $75,000 to $90,000 and for Melbourne, $70,000 to $85,000.

Jumping at in-house opportunities

NSW Young Lawyers president Renée Bianchi, who has been practising law since before the GFC, said after many years of subdued salary growth, the legal market has started to turn for young lawyers.

Staff employed by the Commonwealth Director of Public Prosecutions have struck out another pay deal offered by the Turnbull government. Darren Pateman

"Everyone seems to feel much better after the current review season and most of the [salary] freezes now seem to have been lifted," she said.

She said demand for young lawyers was particularly strong in banking and finance, construction and litigation, which gave lawyers in these practice groups more negotiation power when it comes to salary.


On the other hand, getting a graduate role was getting harder and harder, which meant law graduates tended to be price takers when it comes to salary negotiation.

But she said meeting the billable target still remained a challenge for young lawyers and to get the necessary pay bump many lawyers are looking for opportunities outside private practice.

"Work gets fed down to you so if you're unable to hit your billable target, it comes down to the question of how you are able to create your own work," she said.

"People are jumping at the chance to work in-house for secondment so they're getting that training and experience," she said.

'There's the door'

Ms Sampson agreed junior lawyers still lacked the bargaining power to ask for a significant pay rise.

"If you ask for a pay rise [as a junior lawyer], most partners would say, 'There's the door'. But fortunately as you get to the third, fourth, fifth year your bargaining power should increase," she said.


Ms Sampson said young lawyers who want a salary bump should focus on getting their billable hours up and bringing in more work to the firm.

"You have to make sure you're recording all your hours and you're meeting or exceeding your budget. That is still a predictable, objective measure of how financially viable you are for the firm."

She said lawyers should also start encouraging clients to give more work to the firm or take steps to bring in clients themselves, even though this could be a challenge for someone in a junior role.

When it comes to a bonus, the market has also turned positive, with private practice lawyers receiving an average of a 5 to 10 per cent bonus and and three out of four in-house counsels receiving a bonus.

"As a junior lawyer you're not going to retire on the strength of your bonus, but it's still a good start," she said.