Staff Layoffs

Over the course of the past two months, we’ve been able to allow only one week to pass without the mention of a layoff or buyout of some sort, whether it be from a law firm or a law school.

These layoffs haven’t affected only handfuls of people — with about 20 people here, and more than 50 people there, hordes of law firm and law school personnel have been thrust into the unemployment line in recent weeks. Today, we’ve got word on yet another double-digit law firm layoff, this time coming amid the “surreptitious firing” of associates and the defection of several partners.

Which firm is the source of this unfortunate action?

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For months, if not years now, the Biglaw buzzword of choice has been “rightsizing.” The practice has infiltrated all sectors of the legal profession, even law schools. Pushing aside all the flowery BS explanations, we know what that phrase really means. There’s not enough money to go around, and whatever is left isn’t worth spending on you.

This week, yet another law firm decided that some of its employees were more expendable than others, conducting a double-digit layoff.

How many were let go, and which firm was it?

double red triangle arrows Continue reading “Nationwide Layoff Watch: A Double-Digit Dump”

As we noted earlier today, the legal sector has added 2,300 jobs since the start of 2014. For an industry that currently employs more than 1.1 million people, 2,300 new jobs doesn’t sound like a lot — but hey, it’s better than shedding jobs.

Note that we’re talking about net job growth. Some legal employers are hiring, while others are firing.

Which major law firm just laid off a total of 52 lawyers and staffers last week?

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Trade-ins happen all the time. Texas lawyers trade in their Lexuses (Lexi?) for newer models. Law firm partners trade in their wives for newer models too.

Today’s Biglaw layoff story involves a trade-in of sorts. A prominent law firm restructured its IT department, resulting in double-digit departures. But then the firm turned around and posted some of those positions to a job board.

How many positions, and which law firm?

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Smokey Bear, please report to Patton Boggs.

Is Patton Boggs on fire — and not in a good way?

The prominent lobbying and law firm recently announced the closing of its office in Newark, New Jersey. Discussing the move with Politico, managing partner Edward Newberry said, “We’ve lit intentionally a forest fire, we’ve controlled that forest fire. While we’ve lost a few people over the last year, who are good friends and good partners, our firm is much stronger today than it’s been in a long time.”

The firm has lost “a few people” over the last year? How about roughly 100 attorneys, representing 20 percent of lawyer headcount, plus an unknown number of staff? With additional prominent partners said to be eying the emergency exits?

Somebody call 911, law firm fire burnin’ on the dance floor….

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More than a week after we broke the news, the New York Law Journal got around to covering the Kasowitz Benson layoffs. (Thanks for crediting us, NYLJ.)

Although the report is untimely, it contains a few new bits of information about the Kasowitz cuts. Here are the highlights, along with additional info from Above the Law sources….

(Please note the UPDATE at the end of this post.)

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When it comes to Biglaw word-processing jobs, Williams Lea is the grim reaper. As we’ve chronicled in these pages, numerous leading law firms have outsourced their word processing and proofreading functions to this prominent provider.

This has led to layoffs — lots and lots of layoffs. Some affected employees have been sad, and some have been angry. One complained of the “callous disregard for the welfare of long-time Foley [& Lardner] employees” that a Williams Lea takeover displayed.

But could these changes be beneficial — not just for law firm bottom lines, but for the affected individuals? The latest law firm to outsource its WP and proofreading functions, one of the most prestigious and profitable firms in all the land, makes the case….

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The legal profession is not what it once was. It seems like every week, we’re writing about the same topics, over and over again: tumbling profits, partner departures, and layoffs. Biglaw’s focus on the bottom line is even sharper than in years past, and that means that when firms are hurting for cash, the first thing they’ll cut is “excess” personnel.

For a firm that sank like a stone in the most recent Fortune “Best Companies to Work For” rankings, sliding from #62 to #81 in just a year’s time, reducing ranks is sure to earn it another demotion.

Not so fast, though, because to our knowledge, this leading law firm isn’t desperately seeking dollars, and it’s not conducting layoffs just yet, either — instead, generous buyout packages are being offered…

(Please note the UPDATES to this post below.)

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On our recent post about bonuses at Bingham McCutchen, some commenters complained about our coverage of the firm. Here’s what one said: “What this article fails to mention is that NO ONE made their hours, it’s THAT slow. Good job, ATL, for eating whatever it is Bingham pays you to NOT report [on bad goings-on at the firm].”

Actually, we’re perfectly willing to report on negative developments at Bingham (or any other major law firm). Just email us or text us (646-820-8477), and we’ll investigate.

There’s certainly a lot to cover over at Bingham: tumbling profits, partner departures, and unfortunately timed staff layoffs. We’ve collected some reporting from around the web, which we’ve combined with inside information from ATL tipsters at the firm. Let’s have a look, shall we?

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When a Biglaw firm gets a new chairman, you can be relatively sure that things are going to change, especially if the firm is in the middle of the pack in terms of size and profitability.

Sure, the firm might have been happy being in its Goldilocks position before, but this is the New Normal. Maybe being not too big, but not too small just isn’t going to work anymore.

This firm may have the urge to merge — it’s already spoken to “three or four” potential partners. As we know, with mergers come reductions in redundancies, and it seems like this firm is looking to slim down to be a more attractive mate.

Which firm are we talking about, and how many heads are expected to roll with its planned cuts?

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