There is no question legal employers across the country have been forced to cut costs to deal with the sharp downturn in the technology sector. Over the last few months, several large firms have been unable to maintain their high salaries for so many employees; as a result, associate layoffs have spread across the United States. From California to New York to South Florida, firms are tightening their belts in anticipation of further economic slowdown. In order to avoid the negative publicity that inevitably follows layoffs, many firms have eliminated associates through so-called "performance-based" cutbacks, while others have frozen or even cut associate pay in recent weeks, and a significant number have cancelled on-campus interviews.
Corporate associates have been the hardest hit by the cuts. The 32 associates laid-off by Fenwick and West, for example, came primarily from the corporate group, although some litigation and intellectual property attorneys were also let go. The patent and tax groups were untouched. Young associates have also been disproportionately affected. The majority of people laid off at Cooley Godward had been at the firm for two years or less. Silicon Valley's Venture Law Group has told its first-year associates not to report to work until January, four months after the traditional September start date for beginning lawyers. However, no group has felt the pinch as severely as part-time attorneys. Temporary lawyers hired for document review and project work and female associates whose firms in recent "boom" years have accommodated their family needs through part-time scheduling may well be the first to go, according to at least one hiring partner.
Is there any recourse available to you if you fall into one or more of these categories? Yes. Despite the recession, many legal employers continue to seek new talent. New York-based Proskauer Rose, for example, recently made offers to all of its summer associates. Schulte Roth announced recently that it would guarantee year-end bonuses of $30,000 to a maximum of $80,000. Moreover, smaller firms not only continue to hire, but, as a result of the recent salary increases, have been forced to offer new associates more collegial, relaxed work environments and better hands-on training to stay competitive with large firms. Finally, many legal employers - judges, public defenders' offices, prosecutors' offices, state and federal government agencies and law schools - have been relatively unaffected by the economic slowdown. What does all this mean for you? Whether you have been laid-off, work in an office rife with layoff terror, or are simply unhappy in your current position, there are attorney positions available, and Legal Authority can help you find them.
