Nationwide Layoff Watch: Almost 50 Partners And Staff Let Go At A Leading Law Firm

Which firm is dismissing 18 of its partners and counsel plus a slew of secretaries and staffers?

Law firm layoffs are back, sadly. March isn’t over yet, and we now have a third Biglaw firm announcing a reduction in its ranks.

First we had the Kasowitz cuts. Then we had not very good news from Goodwin Procter. Tonight we bring you word of layoffs at the D.C. powerhouse firm of Wiley Rein.

Back in November, Wiley let go of its bankruptcy department (eight lawyers in all). Tonight the firm confirmed the departures of almost 50 lawyers and staff, in a statement obtained by Above the Law:

Wiley Rein LLP’s Management Committee today confirms that 18 partners and of counsel, 18 secretaries, and 12 administrative support staff are leaving the firm. No associates are affected.

That comes to a total of 48 individuals. It’s interesting to note that associates weren’t cut; perhaps it’s because they’re profitable. Presumably the same cannot be said of certain partners, who can be expensive, and certain staffers, who might be less necessary than before in this age of increasing automation.

We are awaiting additional information and will update this post as we receive it. If you have info or opinion you’d like to share, please email us or text us (646-820-8477). Our condolences to the partners and staffers affected by this news.

UPDATE (8:54 p.m.): From one Wiley source: “It’s a decision of new management, trying to focus the firm on future success. I think it’s notable that no associates were affected. A bit of a bloodletting, but it’s a step in the right direction (hopefully).”

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UPDATE (9:02 p.m.): A different Wiley tipster echoed those sentiments: “The firm recently transitioned to second-generation leadership. There were a ton of partners who weren’t bringing in any business and were eating work up from all of the associates. The partner-to-associate ratio was much higher than comparable firms. I think the new leadership was willing to actually tackle this problem and the prior leadership was content to ignore it.”

UPDATE (9:15 p.m.): Peter D. Shields, the firm’s Managing Partner, released an additional statement. It reads, in part:

At the beginning of 2014, to maintain Wiley Rein’s competitive advantage in the marketplace, we undertook a thorough, year-long business review that resulted in the firm launching a strategic plan focusing on client service, practice management, strategic growth, and social responsibility. As part of this process, and in response to changes in client demand in certain areas, we needed to take steps to ensure our professional and staff resources were aligned with our strategic and practice area goals.

The complete statement appears on the next page.

UPDATE (3/27/2015, 11:13 a.m.): Katelyn Polantz has additional details and context about the Wiley layoffs over at the National Law Journal. The cuts did not affect McBee Strategic, the lobbying firm that Wiley picked up in December. A number of partners have left Wiley in the last year or so, including William Consovoy and Thomas McCarthy, who started their own appellate firm, and Helgi Walker, who jumped over to Gibson Dunn.

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In 2013, Wiley Rein’s $232 million in revenue secured it the #128 spot in the Am Law 200. In a departure from past practice, the firm declined to share its 2014 financial results with the American Lawyer.

(Flip to the next page for the full statement by Peter Shields.)

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