Don't Worry, Some Firms Tell Attorneys, But Many Are Cutting Costs
As some law firms react to worldwide financial turmoil by calling meetings to tell partners and associates, essentially, “Don’t Worry, Be Happy,” many—including a number of those holding the meetings—are also focusing on cost-cutting.
Expenses that are being scrutinized include rising office rent ($40 per square foot is now common), equity partners who don’t produce, summer associate programs and other discretionary expenses, according to an American Lawyer article reprinted in New York Lawyer (reg. req.).
International megafirm DLA Piper, “which both reduced offers to summer associates and instituted a support staff hiring freeze, is also targeting discretionary spending,” the legal publication writes. “Last year the firm spent millions of dollars to hold its annual retreat on a yacht that sailed from Barcelona. This year, practice group retreats are replacing the firmwide fete, which will become an every-other-year affair.”
Related coverage:
ABAJournal.com: “Is Heller the First of Many?”
ABAJournal.com: “In Brave New Post-Boom World, Corporate Clients Now Want Value”
ABAJournal.com: “Critical Legal Skill in Hard Times: Collections”
ABAJournal.com: “Will 2008 Be Law Firms’ Worst Year Since Early 1990s?”
