McDermott Plans to Compensate Employees Taxed on Domestic Partner Benefits
At least two more law firms plan to begin compensating employees who are taxed when domestic partner health benefits are counted as taxable income.
McDermott Will & Emery announced Thursday that it will provide the “tax gross-up payment” to employees in same-sex relationships beginning in January. A press release quotes law firm co-chair Peter Sacripanti, who says the firm is “proud to be among the first in the legal industry to offer this important benefit.”
“A tax gross-up eliminates the tax inequity faced by employees with same-sex domestic partners and is a progressive step designed to provide equal pay for equal work by gay and lesbian employees,” Sacripanti said.
Morrison & Foerster also plans to compensate employees, both gays and heterosexuals, who are taxed when they elect to take domestic partner benefits, Above the Law reported in November. The firm plans to begin paying the benefit next year.
Other law firms that compensate for the tax on benefits include Cadwalader, Wickersham & Taft and Linklaters, the New York Law Journal reports.
The Human Rights Campaign reported in July that it was aware of only four for-profit employers that compensated for the tax, but said several large businesses and law firms planned to add the benefit in 2011.
