Magic Circle Meltdown: Layoffs at Allen & Overy, Linklaters, and Clifford Chance
The London-based “Magic Circle” firms may have had a strong presence on the 2008 global law firm rankings, but a few of them are off to a rough start in 2009. Earlier this month, we reported, “having already laid off 20 New York litigators, Clifford Chance today let go of 70 - 80 London lawyers.”
The layoff disease has spread to two other Magic Circle firms. Layoffs were announced in the New York office of Allen & Overy yesterday. Our sources says:
Allen & Overy just fired two paralegals and three attorneys in the NY office. These firings are said to be “performance based.” Word on the street is that there will be more, but they will come in bits and pieces to avoid bad press. Rumors have already started about other attorneys being let go in offices abroad.
[UPDATE (Jan. 26, 10:34 a.m.]: In response to our inquiry about layoffs, A&O spokesperson Jaime Bruck says, “This is nothing more than the normal management of our business. We don’t comment on the reasons for individual departures. The total # of attorneys in NY is 171.”]
And Linklaters plans layoffs soon. The Old World firm is going “New World” by axing 70 partners and 10 percent of its associates, reports The Lawyer:
Linklaters’ top management is to drastically overhaul the firm’s structure, slashing up to 70 partners and 10 per cent of associates in a bid to become a smaller, more profitable operation.The programme, understood to be called Linklaters New World, will also see redundancies among support staff. The firm’s offices in Western Europe are thought to be most vulnerable to cuts.
Those layoffs could start as soon as February.
With the Guardian reporting that “Britain has officially entered recession for the first time since 1991,” the layoff news from London seems inevitable. But some of the firms in the circle— Freshfields and Slaughter & May— are still feeling magical. Good news from those firms, after the jump.
While A&O is cutting back in New York, another Magic Circle firm is hiring. Freshfields Bruckhaus Deringer has raided Covington & Burling’s ranks to expand its New York office, reports Am Law Daily:
The Magic CIrcle firm has hired three partners in New York—Aaron Marcu and Adam Siegel from Covington & Burling and Benito Romano from the white-collar criminal defense group at Willkie Farr & Gallagher—to launch a U.S. litigation practice. The trio, who officially join on January 26, will form the base of a new complex litigation and white-collar defense and investigations practice.
Meanwhile, Christopher Saul, a senior partner at Magic Circle firm, Slaughter and May, tells The Times that the financial crisis has actually been good for the firm:
The last of the big traditional partnerships, with nothing as vulgar as a public relations department, it prides itself on never having hired a partner from outside the firm. But its restrained approach — compared to the gung-ho expansionism of Clifford Chance or Linklaters — once derided as old-fashioned, is now looking more appropriate in the credit crunch era.
Earlier: International Layoff Watch: Clifford Chance Knocks off 80 London Attorneys
Linklaters to axe up to 70 partners in massive shake-up [The Lawyer]
Freshfields Launches US Litigation Group with Three Partner Hire [Am Law Daily]
Slaughter and May sidesteps the financial carnage [Times Newspaper]
Recession Britain: It’s Official [The Guardian via The Daily Beast]
(79) Comments
Comments
Cleary would never do a thing like this.
Layoff news around the world!
What's going on with layoffs in India?
BITCH SPREAD DEM BUTTCHEEKS SO I CAN SMELL THE JUICY FISH AND CHIPS!
There's firm called Slaughterhouse?
Damn the devil to hell!
What about Cahill's London office?
what does this post have to do with RACIST LOBSTERS?!?!?!
Anyone remember there was a way to sort of bomb or nuke someone else's computer through the internet?
Don't know if that still works, as I haven't heard about it for a long time, but I'd sure like to nuke all those annoying What about Cahill asswipes.
May I Slaughter your horse
SRZ has been laying off people the whole year
Slaughter was a good band.
If I had a band though, it would be named "Moisha and the ASSLOBSTERS"
Hi ATL:
Can you please do some work and take all these layoff posts and combine them into a post about which firms laid off attorneys, % let go, offices affected, salaries frozen, bonuses given and practice areas affected? You can use this magical device called Excel to put it all in a nice format for us.That way instead of just depressing and freaking out your readers you can provide some valuable information for your readers and also your future readers. It may require a few hours of work, but we will wait and will not bitch about missing pointless posts about Tulane law schools stupid ugly people parties or the like. Thank you.
A loyal reader
Word on the street is that A+O had stealth pay freezes in London for US associates. Today was payday. No class year increases. No word from managment.
OMFG Elie PLEASSSSE tell me you were trying to make some kind of witticism by calling it "Slaughterhouse" and didn't actually screw up the name of Slaughter & May.
Also, the correct spelling is LinklaTTTers
If Slaughter & May merges with Wildman Herrold they could form a firm named Wildman May Slaughter which would also be a great name for a heavy metal band.
It's written by Kash not Elie haters. God! He may be the worst speller and writer known to the legal community, but lets not give him crap for horrible writing that he did not do. I am sure his self-esteem is low enough as it is.
not surprising. the british firms have gotten killed by currency fluctuations in addition to the global financial crisis.
If it wasn't for urban dictionary, I wouldn't know what half the stuff I read online mean.
oh well . . .
Pendleton Mud Rub
look it up on urban dictionary. It is sure to make you smile.
While it's true that Freshfields did hire three litigation partners in New York, it already had a New York office.
If Clifford Chance merged with fashion company Phat Farm, they could be known as Phat Chance.
While it's true that Freshfields did hire three litigation partners in New York, it already had a New York office.
While it's true that Freshfields did hire three litigation partners in New York, it already had a New York office.
Slaughter My Fresh Ovaries Clifford
I hope now the legal press will get off their silly crush on the Magic Circle as the future of the legal profession with all their over-stretched offices and ridiculous lockstep. If the model was so superior, why would they be laying people off left and right?
Lol @ Linklaters, how many top American firms are publicly showing partners the door?
I bet all of the retarded law firm name posts are written by a loser law school student who does not get laid.
I'm NAILING a SHEEP right now as I post about some good ole fashioned Ovary Slaughtering.
Suck it.
many more layoffs to go. sadly, top 80% at shiTTT school of law =/= biglaw anymore, and never should have.
biglaw needs to shrink to 1970s staffing levels
26:
Go fail torts.
Thank you.
P.S. It's apparent that your penis is too small for the sheep to even notice.
Ha! Down with Linklaters. As a US Associate in London I've always thought that the Magic Circle sucked a fat one, especially Linklaters. So much for lockstep bonuses! Welcome to the New World Order bitches. London to 250K!!!
Ha! Down with Linklaters. As a US Associate in London I've always thought that the Magic Circle sucked a fat one, especially Linklaters. So much for lockstep bonuses! Welcome to the New World Order bitches. London to 250K!!!
@18 - Thanks. I lauged out loud. Had to shut my office door.
@18 - Thanks. I laughed out loud. Had to shut my office door.
I would rather nail KASH's ASSLOBSTER.
24 - I wonder how much of an impact this period will have on future associates, too. Will "I can just get into a big firm and everything will be dandy..." disappear?
It hasn't seemed to have been effected by the revolving door. I know many people who were so proud of being accepted as an associate after law school, only to be shoved toward the door two years later, without the opportunity to work on anything substantive.
It would be great if we could stop the constant insane competition which has been encouraged by the shakiness of the profession, but justified by the promise of stability. Obviously, there is no stability, and tearing each other down the way we do is pointless.
31,
You are very welcome.
:)
Word is there will be layoffs in the produce department at Freshfields now that the merger with Wholefoods has taken effect.
31/32 = very easily amused.
In order to survive at Linklaters and Clifford Chance, you're going to need to know a few basic things. Its a street fight. Never look away from your opponent. Everyone underestimates the kick to the groin. And no matter what you do, don't let them take that rear choke, because when you're out on the ground, God knows what they're gonna do with you.
37 = Buzz Killington
Look for impending layoffs at Freshfields. Bringing in litigation is a way to prop up the gutted structured finance practice. Wouldn't be surprised if a few heads roll in upcoming weeks as reviews are conducted.
@ 37. 31/32 here. Did you go to urban dictionary and look up Pendleton Mud Rub? If no, do so. If you don't laugh, I feel sorry for you.
I heard that lobster in London is not as good as that served in Maine.
I concur with 31/32. Just looked it up and had to close my door because I was laughing so hard. #18 -- well done.
I concur with 31/32. Just looked it up and had to close my door because I was laughing so hard. #18 -- well done.
Kash is one special woman.
And well done #3. Would be offensive except it's a stereotype of the English so who cares.
43/44 = 31/32 = 18
Are you 12 years old?
43, 37 here. I did look it up, so please extend your sympathies to me. I guess it takes a special type of person to appreciate such high-brow humor.
47:
43/44 here. I did not write 31/32 or 18. I merely agree. Granted, I can only say so -- can't prove it. But just know that, in fact, 43/44 is different from 31/32 and 18. And the 12 year old comment was unnecessary. People should be able to agree with others on this page without such bush league nonsense.
43/44 (aka not 31/32 or 18)
47:
43/44 here. I did not write 31/32 or 18. I merely agree. Granted, I can only say so -- can't prove it. But just know that, in fact, 43/44 is different from 31/32 and 18. And the 12 year old comment was unnecessary. People should be able to agree with others on this page without such bush league nonsense.
43/44 (aka not 31/32 or 18)
47:
43/44 here. I did not write 31/32 or 18. I merely agree. Granted, I can only say so -- can't prove it. But just know that, in fact, 43/44 is different from 31/32 and 18. And the 12 year old comment was unnecessary. People should be able to agree with others on this page without such bush league nonsense.
43/44 (aka not 31/32 or 18)
47:
18 here. I'm not the other numbers. Sorry. I believe in Frank and am young at heart. Lighten up. I sit in a desk looking over boring documents 13 hours a day. Faces in poo makes me giggle. I have no shame. Actually, I'm proud it still makes me laugh. Proof that the boring drones I work with have not rubbed off on me yet.
I suggest you lighten up. Life is short, laughter is a daily necessity.
47:
43/44 here. I did not write 31/32 or 18. I merely agree. Granted, I can only say so -- can't prove it. But just know that, in fact, 43/44 is different from 31/32 and 18. And the 12 year old comment was unnecessary. People should be able to agree with others on this page without such bush league nonsense.
43/44 (aka not 31/32 or 18)
47:
43/44 here. I did not write 31/32 or 18. I merely agree. Granted, I can only say so -- can't prove it. But just know that, in fact, 43/44 is different from 31/32 and 18. And the 12 year old comment was unnecessary. People should be able to agree with others on this page without such bush league nonsense.
43/44 (aka not 31/32 or 18)
47:
43/44 here. I did not write 31/32 or 18. I merely agree. Granted, I can only say so -- can't prove it. But just know that, in fact, 43/44 is different from 31/32 and 18. And the 12 year old comment was unnecessary. People should be able to agree with others on this page without such bush league nonsense.
43/44 (aka not 31/32 or 18)
18 here! The original poster, and no other # except this one now. Lighten up kid! I sit in a desk, looking over boring patents and inventor documents all day. If poo in a face makes me laugh, then kuddos to me. Life is short, stay young. I hope things make you laugh as well. All conversations do not have to be intellectually stimulating. Don't worry. . . no one will think less of your legal skills if you laugh at a little potty humor on a website. In fact, it will show you are still part of the majority of humanity.
ass lobsters, pussy farts, cahill, wildman harrold, msyTTTal, gaza, layoffs?!?!, buttcheeks, CWT '05 females, and sheep.
Let's talk about the down market firms that are also doing salary freezes and letting go of associates. That is the real sign of how shitty this economy has become.
37/48:
43 here. I was not communicating with you. Rather, I was agreeing with someone else that #18 posted something funny. Nobody asked you to find it funny and I sure as hell did not ask you to look up the phrase in question.
Bit of advice: if you are going to inject sarcasm, your underlying premise has to be correct. Otherwise, you come off as oddly misinformed. Don't take offense. Just learn from your mistake.
37/48:
43 here. I was not communicating with you. Rather, I was agreeing with someone else that #18 posted something funny. Nobody asked you to find it funny and I sure as hell did not ask you to look up the phrase in question.
Bit of advice: if you are going to inject sarcasm, your underlying premise has to be correct. Otherwise, you come off as oddly misinformed. Don't take offense. Just learn from your mistake.
What's an asslobster? Is it an anus that has a claw? A giant mutant form of genital crabs? I am confused. Please advise. Thank you.
any word on shearman profits/revenue?
62: Any word on when you were officially granted douche status? Congrats!
LAYOFFS? Don't talk about -- LAYOFFS? You kiddin' me?!?!?! LAYOFFS?
You all should be following this on the BigLaw Layoff Tracker at http://lawshucks.com
Just saying.
61 - It's a lobster that lives in someone's ass. Duh.
i heard a rumor that skadden laid off some attorneys, but did not see anything on this website.
61, see comments 10,12 and 17 here for the explanation of the ass lobster.
http://abovethelaw.com/2009/01/perkins_coies_vegas_vacation.php#comment-911496
67 - I think the rumor you heard was actually about Cahill. Can anyone confirm?
First rule of KASSHLOBSTER is you do not talk about KASSHLOBSTER.
Pinchy Durden
First to say "Magic Circle Jerk"
O'Melveny is doing another round of layoffs... this one is super stealth though...
No wonder most people have abandoned this blog. ATL has morphed into some weird combo of Family Guy and South Park.
--Still Looking for Remnants of Intelligent Life on ATL.--
#3 - I normally don't laugh at the spread your buttcheeks posts (in fact, I think they're stupid spam), but your reference to fish and chips made me laugh. Well done!
73 -- STFU -- This blog makes me happy in these shitty shitty times, now stop tearing down my shitty wall, pretty prease?
75, damn mongowrians!
what about the South African layoffs?
Choate did a large layoff this morning too. Check it out: www.bostoncommonlaw.wordpress.com
"Our sources says:"
You are a fucking retard.