Thacher Proffitt Warns of Associate Layoffs
Posted Nov 28, 2007 6:02 AM CST
By Debra Cassens Weiss
Thacher Proffitt & Wood has warned associates of upcoming layoffs unless its structured finance practice shows substantial improvement.
The law firm notified 24 associates who are second years or above that they will be laid off in January unless circumstances change, according to a statement issued by the firm to Above the Law.
The firm has also offered 29 first-years in the structured finance and real estate groups a four-month severance package if they leave the firm, the New York Law Journal reports.
“These associates are good, hardworking lawyers that any law firm would be fortunate to have,” the firm’s statement said. “Unfortunately, these associates are working in areas that are currently slow and that will not be active for some time to come.”
The firm's chairman, Paul Tvetenstrand cited the declining market for mortgage-backed securities as the reason for the warning. He told the Wall Street Journal Law Blog that despite the loss of work, the firm is still working on some complicated deals.
“The overall firm is healthy and has good prospects,” he said. “We are confident the firm is going to do well.”