Well, it appears Texas is starting to feel the burn of the global economic recession. And that is not good news at all. We received word from Baker Botts today that the firm has decided to fire attorneys. This is from a firm wide email that just went out:

We initially hoped that by imposing a hiring freeze last year, we would be able through attrition to match staffing levels to the business environment. The recession has been so deep and long lasti ng, however, that we regrettably have also had to reduce our lawyer and staff levels through selective layoffs, particularly in those areas most impacted by the reduction in demand. This has been a painful process for all of us involved. The individuals affected by these reductions are our colleagues and friends, and they have performed admirably for the Firm and our clients over the years.

The memo does not contain the overall number of people the firm will be letting go. Our sources tell us that the cuts will affect “around 30″ attorneys. We don’t have any information on how deep the staff cuts will be. There is also no word on how these layoffs will affect incoming first years.

But don’t get us wrong, just because layoffs are coming to Texas, doesn’t mean that Texas isn’t maintaining its Texas sized sense of pride:

Back in 1933, when the Great Depression was at its peak, many who worked at the Firm feared what the year had in store for them. In January of that year, then-Managing Partner Walter Walne wrote a memo to partners dedicated to that topic. The closing paragraph of that memo is timely, relevant and speaks eloquently across the decades about who and what we are at Baker Botts:

“With the character and ability possessed by each person in the organization; the splendid spirit of cohesive team work that we know exists; the inspiration that comes from the efforts and lives of those who have gone before; the idealism which our creed and our traditions instill, we face the new year resolutely and with the assurance that in our hands the standard of this institution will not be lowered and that our forward steps will not falter.”

We date our Firm’s origins back nearly 170 years, to just after Houston was founded and when Texas was still a nation, not a state. We have been through the U.S. Civil War, two World Wars, the Great Depression and countless recessions, and together, we will get through this.

Update (4:19): We are now getting reports that Baker Botts is offering a three month severance package, but associates have to pack up and leave by tomorrow night. It looks like most associates were prepared for the news when the arrived to work this morning. According to a tipster:

When I go to work this morning and noticed that we were losing our free parking, I knew we were in or a long day.

Read the full statement after the jump.

Continue reading “Nationwide Layoff Watch: Texas is Starting to Look Like It’s Part of America After All”