Clifford Chance offers voluntary sabbaticals to Singapore lawyers
Clifford Chance has asked capital markets associates in its Singapore office to take voluntary sabbaticals until the end of the year as the firm reacts to a downturn in work in the region.
The magic circle firm has asked a small single-figure number of lawyers to take leave for roughly four months until the close of 2012 on a lower salary alongside benefits. The firm currently has 17 associates in its Singapore capital markets practice.
The staff are set to return at the start of the 2013 when the firm expects the Asian capital markets environment to return to higher levels.
The move follows a meeting this week between Singapore management and staff in which the option was put to associates.
The initiative is restricted to Singapore, with the firm not currently intending to roll it out elsewhere in its network. The sabbaticals do not apply to any partners.
Clifford Chance Asia-Pacific capital markets practice leader Crawford Brickley said in a statement: “Capital markets is an important part of our practice in south east Asia and India. However, in common with any business, we always keep our resourcing under review to ensure that our capability is in line with client needs. We remain very busy in other practice areas and do not expect any further changes.”
Earlier this year Clifford Chance announced a redundancy round in London for banking and capital markets associates in what the firm described as a response to decreased attrition among newly-qualified lawyers (23 March 2012).
Meanwhile, magic circle rival Freshfields has announced a re-launch in Singapore, with the office set to open for business next month (12 September 2012).
For more on the Singapore market, see special report
Readers' comments (5)
Troy | 20-Sep-2012 12:40 pm
Not a bad way to handle the slowdown in work, but it still looks like a prelude to something more severe.
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Anonymous | 20-Sep-2012 1:17 pm
Lucky associates.
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AsianAdvisor | 20-Sep-2012 4:32 pm
The Singapore and HK markets are in technical recession. IPO fees have virtually disappeared since April this year. China on course for a hard landing.
Asia is not the place to be right now and like the comment above implies maybe this announcement is 'a prelude to something more severe.'
The rush to Asia by many UK and US firms may prove to be an expensive mistake.
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Asian Crash | 20-Sep-2012 5:32 pm
@AsianAdvisor
'The rush to Asia by many UK and US firms may prove to be an expensive mistake.'
If you're right, then a lot of UK law firms that have just done big deals in Australia on the basis that China/HK etc would never slow down will soon be very, very worried.
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AsianAdvisor | 21-Sep-2012 10:12 am
@ Asian Crash
I suspect that the expansion of many UK & US firms into Singapore and east Asia, over the last 3 years, has been triggered by market recession and consolidation in the western markets - more of a push effect outwards.
Seduced by the seeming inexorable rise of China and the ASEAN economies it would appear, in many cases, due regard for the business fundamentals has been ignored.
Employing western lawyers in Asia is an expensive business and if your capacity levels and pricing are out of sync with local demand, firms are in for an expensive shock and excessive cash burn.
As Macmillan once observed 'Events, dear boy events.'
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