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International Layoff Watch: DLA Piper Cuts 140 U.K. Employees

DLA Piper logo Above the Law blog.jpgIt should come as no surprise that one of the largest international law firms has suffered from significant international layoffs. The Lawyer reports today that DLA Piper has laid off 140 employees in the U.K.: 30 attorneys, and 110 support staff. According to the report:

An internal email announcement, seen by The Lawyer, told staff: “There has been a downturn in economic activity since we last reviewed resource and when we budgeted for our 2009 business year. We expect the current market conditions to continue for some time.

DLA released this statement in response to the reports:

Having carefully considered current volumes of business activity and the predicted impact of the ongoing downturn we are conducting a formal redundancy consultation process in the UK which is likely to result in up to 140 redundancies. Approximately 30 are likely to be fee earners and the remainder will be direct and indirect business support staff in our 8 UK locations. This is a difficult but necessary decision based on our reassessment of resource levels following the continuing deterioration of the market. This prudent action will align our capacity levels with existing client demands.

DLA spokespeople declined to comment on any U.S. fallout from these U.K. moves. DLA has already instituted a salary freeze, so hopefully their costs are under control.

Update (5:05): Additional sources have informed us that the process of laying off associates works differently in the U.K. than it does here. There is a “consultation” phase that happens before layoffs, and that phase can take a few months. Official numbers on overall force reductions won’t be available for a couple of months, as DLA goes through the consultation process.

DLA Piper: 140 more jobs to go [The Lawyer]

Earlier: Nationwide Pay Freeze Watch: DLA Piper
Prior ATL coverage on law firm layoffs

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