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Staff Layoff Watch: General Motors Won’t Save Weil Staff

Friday, May 29, 2009 3:36 PM - By Elie Mystal

Weil.gifWorking at a firm that gets high profile work doesn’t make you immune to the ravages of the tanking economy. Above the Law can now confirm that Weil Gotshal has laid off 79 staffers. We received the following statement from a Weil spokesperson:

Effective today, the Firm has eliminated 79 administrative positions across its US offices. The decision to undertake this action has been an extremely difficult one; the fact that many peer law firms were forced to make similar moves is of little consolation. In taking these steps, we have made every possible effort to be fair-minded and those who are affected have received severance packages that provide transitional income and benefits, with access to a range of services that include healthcare and career guidance. We believe the package we have designed to assist those whose positions have been eliminated more than meets industry norms.

For those keeping score at home, this means that Weil believes it is perfectly able to handle the mega-bankruptcy work it is involved in without the benefit of extra staffers — or a fresh class of incoming associates.

If staff isn’t safe at Weil, are they safe anywhere?

The Weil statement goes on to cite cost concerns from its clients as the reason for the layoffs:

The buyers of legal services - many of whom are experiencing declining markets or even financial distress - are demanding that their service providers produce the most cost-efficient product possible. We have to be cognizant of this industry-wide expectation and plan accordingly.

Have Weil staffers been crushed under the wheel of economic efficiency? Congratulations to the survivors. Good luck to those that have been let go. Luckily, tomorrow is Saturday. Nobody gets laid off on Saturday.

Read the full statement after the jump.

WEIL GOTSHAL & MANGES — STATEMENT — STAFF LAYOFFS

Effective today, the Firm has eliminated 79 administrative positions across its US offices. The decision to undertake this action has been an extremely difficult one; the fact that many peer law firms were forced to make similar moves is of little consolation. In taking these steps, we have made every possible effort to be fair-minded and those who are affected have received severance packages that provide transitional income and benefits, with access to a range of services that include healthcare and career guidance. We believe the package we have designed to assist those whose positions have been eliminated more than meets industry norms.

The Firm’s management genuinely regrets the need for this action, but has determined that it is vital to our continued efforts to increase the efficiency and competitiveness of our organization in a rapidly evolving business climate. Given the current economic landscape, our Firm, like all organizations faced with the challenges of a changing marketplace for our services, must do more with less. Notwithstanding the balanced nature of our practice, we are not immune to the larger long-term forces shaping the industry or the economy at large. The buyers of legal services - many of whom are experiencing declining markets or even financial distress - are demanding that their service providers produce the most cost-efficient product possible. We have to be cognizant of this industry-wide expectation and plan accordingly. The steps we have taken today, while distressing, are consistent with meeting that need. We are not planning any additional reductions in administrative positions in the US at this time.

Earlier: Weil Gotshal Incoming First year Follow Up
Weil Gotshal Almost Sets the Market With Incoming First Year Associate Deferral Dollars

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