Cadwalader, one of Wall Street's longest-standing law firms, hasn't had an easy ride in 2025. From significant partner departures to a sudden leadership overhaul, the firm's year has been anything but smooth. However, as 2025 draws to a close, there's a silver lining for Cadwalader’s attorneys: a generous bonus announcement that might just offset the year's upheavals.

Late yesterday, the firm’s co-managing partners released a memo detailing the baseline bonuses for attorneys based on their class year. Here’s the breakdown: Newer associates from the class of 2025 will receive a pro-rated $15,000, while their more seasoned colleagues, up to the class of 2017, could see bonuses as high as $115,000.

But there’s an additional sweetener. Attorneys clocking in more than 2200 hours this year are eligible for special bonuses. These range from $6,000 for the newest associates to $25,000 for those who have been with the firm longer, such as the class of 2020 and earlier.

These bonuses are scheduled to be paid out by the last pay period in February, giving lawyers a substantial financial boost early next year.

The timing of this news is particularly notable. Cadwalader recently confirmed entering merger discussions with Alston & Bird, another top 50 BigLaw firm. This move could signal strategic shifts and expansion, but also brings uncertainty about the firm's future direction and structure. Amidst such significant corporate decisions, the bonus announcement might serve as a morale booster for Cadwalader's workforce.

Despite a challenging year marked by high-profile exits and some unwelcome headlines—like the firm's controversial engagement with the Trump administration—the end-of-year bonuses represent a strong commitment to compensating its attorneys for their hard work and dedication.

As Cadwalader navigates through these transformations and potential mergers, the substantial year-end bonuses could help in retaining top talent and maintaining stability within its ranks. For now, Cadwalader’s attorneys have a lucrative end to the year to look forward to, even as they wait to see how the merger talks—and their implications for the firm’s future—will unfold.