Who's Who in Law Firm Layoffs

11/07/08

From small boutique firms with few staff members to mega-firms with a thousand plus attorneys, many have been affected by the financial turmoil experienced in recent months. Nearly 40 firms are on the list further proving that the mess on Wall Street is affecting everyone, and law firms are not exempt.

Some firms lost as few as 10 or less associates, while others lost hundreds. Heller Ehrman, a San Francisco based firm, was one of the hardest hit. Around for nearly 116 years, Heller Ehrman told nearly 500 employees in late September that it is shutting down permanently. Thought to be one of the more stable firms in the current economy, the news came as a shock to many, but is thought to be linked to a failed merger.

The first layoffs on the list occurred nearly one year ago in early January of this year. The firm was Cadwalader, Wickersham & Taft and they laid off 35 when markets first began showing signs of weakness.

All areas of the country have been affected, but New York City, Chicago, and San Francisco have experienced serious blows. Other affected areas of the country include Dallas, Atlanta, Washington, D.C., Charlotte, Miami, and Ft. Lauderdale.

Hardest hit practice areas are corporate finance, real estate transactions, securitizations, and leveraged buyouts. Some areas are expected to grow such as bankruptcy and employment litigation, while others like intellectual property, energy, and healthcare should remain the same.