In a significant development, hiring at “Biglaw” firms has seen a strong decline, effectively ending the lateral hiring spree that characterized previous years. According to a report by the National Association for Law Placement, associate hiring has plunged by an alarming 43%, while partner hiring has witnessed a drop of 10%. This comes in the wake of an explosion in hiring that marked 2021, as law firms comprehensively padded their associate ranks to deal with increasing workloads. However, as work decreased, these firms realized they no longer required the large volume of attorneys they had amassed.
California-based legal recruiter Summer Eberhard, of Lateral Link, analyzed the situation. In her comments to Bloomberg Law, Eberhard noted that the decrease in corporate work and increased compensation packages led to law firms adopting a more conservative approach to lateral hiring. Straw-on-wind observations clearly indicate that the lateral hiring party, it seems, is over for Biglaw firms.
Concerns now are if layoffs might be the next step for these firms, or if they will adopt a more cautious approach to recruitment in the future. This recent trend reversal comes as a blow to those associates looking to climb the corporate ladder or seeking better remuneration packages. The ‘lateral hiring hangover’, as it is being called, leaves us all watching with keen interest how law firms will navigate their hiring strategies in these changed circumstances.
This detailed report and analysis can be found in the original article published on Above the Law:
Biglaw Associate Hiring Plunges By 43%, Officially Ending The Lateral Party.