Folks Are Big Mad Over Biglaw Firm's Recent Cuts

A&O Shearman is being slammed for 'distasteful' office closure.

Shop Closed Sign On Wooden BackgroundLast week came news that the newly merged A&O Shearman was making some big cuts. Ten percent of the equity partnership, the firm’s Johannesburg office, and their consulting business were all put out to pasture as part of a “difficult but necessary step forward.” As you might imagine, folks aren’t happy about being axed, but the blow back to closing the Johannesburg office has been particularly fierce.

The firm’s Johannesburg office was in the midst of planning their 10th anniversary party when the cuts were announced (the celebration was also axed along with the office), so maybe it isn’t a surprise insiders are calling the move “incredibly distasteful.” Law.com International spoke with some pretty pissed-off people about the firm’s decision. One former A&O Shearman lawyer said the decision to close the office was “a complete shock to me and from what I understand from people there, a shock to the partners too.” Others did not hold back in ripping the firm for the closure.

Another lawyer, now at a rival firm, said Khalid Garousha, senior partner and co-chair of the executive committee and board, had visited the office only months earlier, painting a picture of a bright and promising future. Khalid told lawyers he was “committed to Africa and growing the S.A. practice. I find the whole thing incredibly distasteful.” the person told Law.com International on condition of anonymity. “To me, it feels very much like the continued commoditization of Africa.”

Another source said firing the people who gave up successful domestic practices to join Allen & Overy, the pre-merger firm, was “disgraceful”.

Another partner provided a clear understatement, saying, “It’s obviously not a happy time, as you can imagine.”

If your firm or organization is slashing salaries, closing its doors, or reducing the ranks of its lawyers or staff, whether through open layoffs, stealth layoffs, or voluntary buyouts, please don’t hesitate to let us know. Our vast network of tipsters is part of what makes Above the Law thrive. You can email us or text us (646-820-8477).

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Kathryn Rubino HeadshotKathryn Rubino is a Senior Editor at Above the Law, host of The Jabot podcast, and co-host of Thinking Like A Lawyer. AtL tipsters are the best, so please connect with her. Feel free to email her with any tips, questions, or comments and follow her on Twitter @Kathryn1 or Mastodon @[email protected].

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