AmLaw 100 Moves to In-House Roles: 3-Year Analysis
Law firm attrition differs from an economic perspective based on whether the departing attorney transitions to another peer law firm or joins an in-house legal department. When attorneys move to another peer law firm, the immediate impact often involves potential loss of revenue and talent for the departing firm, along with the costs associated with recruitment and training replacements. However, when attorneys opt for in-house roles, the departure could offer unexpected advantages. For instance, it may lead to potential new business opportunities as the attorney moving in-house may enlist the services of their former employer, thereby mitigating revenue loss and possibly even expanding the firm’s client base. Moreover, if the in-house employer was already a client of the law firm, the transition could solidify existing client relationships, potentially enhancing client retention rates.
Should you Work with a Legal Recruiter? It Depends.
Associate attorneys contemplating a lateral move often wonder if they should enlist the services of a legal recruiter. To answer this question, associates should analyze the current demand for their specific skill. If the associate’s services are in high demand, then law firms are typically willing to pay the fee associated with the placement, and the associate can leverage some of the many benefits associated with working with a good legal recruiter. If not, then the associate might be better served by undertaking the search on their own.
Record-Breaking Transactional Hiring by Law Firms in 2021
Much has been said and written about the robust lateral hiring of 2021, and it was, in fact, a very busy year. For example, Firm Prospects tracked 27,245 attorneys moves in 2021, as compared to 17,383 in 2020 and 22,362 in 2019, a 56% and 22% increase, respectively. What really stands out about 2021, however, is not necessarily the total number of hires but rather the unprecedented demand for transactional attorneys.
