News Law firms A&O to slash partnership in £44m restructuring By The Lawyer 19 February 2009 15:03 13 December 2015 21:49 Sign in or register to continue reading. It's FREE Sign in Email Password Keep me logged in Forgot your password? Not registered? It's FREE! Register now Register with The Lawyer Anonymous 19 February 2009 at 15:28 What a surprise! Not. What the article should really say is: The firm’s global managing partner Wim Dejonghe said: “Linklaters having taken all the heat, we feel we can safely announce this move and expect that we won’t get quite such a bad press as the legal press can’t afford to p*ss all the Magic Circle firms off at the same time. My thanks to Simon Davies for making this all alot easier for me”. Reply Link tim 19 February 2009 at 15:54 Good morning That must have been a nice email to get. Hello. Things are rubbish. We are doing everything all other firms have been doing, but we are doing everything at once. Hope there were no elderly of counsel with weak hearts in the audience. Reply Link Anonymous 19 February 2009 at 15:55 magic circle cuts… “Freshfields Bruckhaus Deringer is now the only magic circle firm not to have announced widespread job cuts…” Errrr – ever heard of Slaughter and May? Reply Link Shane Williams 19 February 2009 at 15:56 Get your facts right… Dear Anon, it was CC that went first and was upfront with its people so didn’t take that muich flack. Linklaters then scored a massive own goal by leaking the story, annoying all its staff and thereby incurring the wrath of the press…. Reply Link Anonymous 19 February 2009 at 16:28 Magic circle Anon, what is this Slaughter and May thing you speak of? Reply Link Anon 19 February 2009 at 16:55 Magic circle argument again Oh no – we’re not getting onto the ‘who is in the magic circle’ argument again are we?And surely The Lawyer’s not recycling copy in that last paragraph?! Reply Link Anonymous 19 February 2009 at 16:56 Greedy cuts Not so “friendly face of the magic circle” now! I wonder how they’re going to spin this one. Most of the people I know at A&O are still busy. It’s all about that magic PEP. Reply Link Anonymous 19 February 2009 at 16:56 stubborn crusade I’m beginning to think that The Lawyer’s crusade to eliminate Slaughters from the Magic Circle (by stubbornly omitting them from MC references) is beginning to get tiresome and even misleading, as demonstrated by an earlier comment. Whether Slaughters is in the Magic Circle or not should be dictated by trade custom (which means strongly ‘yes’) and not by your law magazine, highly regarded as it might be. So the facts should be that: as it stands, Slaughters is the only Magic Circle firm not to make any cuts or pay freeze. They should be lauded, not relegated. Reply Link Burt Bacharach 19 February 2009 at 17:18 247 associates!!!!????!!!! That is more than CC and Linklaters put together! PLUS a pay cut to boot for those who don’t get fired. I think A&O just stolen the crown of being tthe most unpopular MC from Linklaters…. Reply Link Anonymous 19 February 2009 at 17:46 Clifford Chavs If Clifford Chavs want to be the world’s top international law firm then they really need to go back to basics and ensure that they offer value for money to clients. They seem to carry a lot of deadwood partners who don’t care about providing excellent legal services but only care about clinging on to their partnership. Reply Link John Flood 19 February 2009 at 17:50 The future What is going to be interesting is how law firms in the future pitch their career opportunities to lawyers who might want to join them. “We value commitment.” From you but not from us. “We take the long term view.” But don’t think we care. “Our talent is our greatest resource.” You obviously don’t have any which is why we are getting rid of you. That’s going to be fun to watch. At least with banking you knew it was only for the money. Reply Link Anonymous 19 February 2009 at 17:53 Who cares? Sorry but who cares about whether or not Slaughters is a MC firm or not???? More important things are of issue right now I would think ! Reply Link Anonymous 19 February 2009 at 18:02 Clifford Chance CC only announced they were cutting partners after Linklaters did. CC went first with the redundancy cuts because they have always carried more staff than they need. Also, I would be amazed if CC didn’t cut more associates and support staff going forward. Reply Link Anonymous 19 February 2009 at 18:09 A&O To be honest, A&O deserves some creds for doing everything at once, at all levels. It’s not like partners will get away unscathed, are they. Reply Link Misled 20 February 2009 at 00:02 What about… Herbert Smith? I thought they are a Magic Circle firm? No? Reply Link Anonymous 20 February 2009 at 09:38 dws is dws in the MC ? Reply Link Anonymous 20 February 2009 at 10:55 Noone cares Just calm down, we all are witnessing the end of the era of MC as a phenomenon. Who really cares if Herbies or Slaughters belong there. Well, there is nothing you can keep or possess… Reply Link Anonymous 20 February 2009 at 14:18 reality I always thought the definition of a law firm as an organisation where the loyalty of the individual towards to organisation always exceeds the loyalty of that organisation to that individual. Reply Link Anonymous 20 February 2009 at 14:40 not MC No DWS is not magic circle Reply Link Anonymous 20 February 2009 at 15:44 Hammonds Is Hammonds in the MC? Reply Link City Lawyer 20 February 2009 at 15:52 Get rid of trainees – especially non-law ones and cut GDL & LPC fees Firms are already making trainees defer their TCs and its only a matter of time before these firms come to their senses and stop paying for their trainees’ GDL and LPC courses. LPC I can understand but GDL??? There are many highly competent law students with LLB degrees from top universities who don’t have TCs. Firms, the SRA and the Law Society should start opening their eyes to the atrocities of taking students who have studied other courses at uni with 2:is and 1sts and offering them TCs. It is about time that law students are prioritised again. No other commonwealth jurisdiction offers a more idiotic deal! What you learn in 3 years cannot be learnt in a year! The variety may be there but the quality is simply not the same. Reply Link Anonymous 20 February 2009 at 16:54 faded magic Not so much magic about the Magic Circle any more Reply Link Anonymous 20 February 2009 at 17:23 Still magic It’s still magic if you are one of the remaining partners. Reply Link Anonymous 20 February 2009 at 18:18 New York comparison Ask yourselves why the elite New York firms are not cutting partners or associates. They pay much higher salaries that their London counterparts — and continue to earn much higher profits. Consider why. Reply Link Yoshi! 21 February 2009 at 08:03 In response to New York Comparison (i) You obviously don’t know the logic of New York firms. They don’t fire partners and associates. They retreat and close down the entire office. (ii) Law firms in New York ARE firing left right and centre. Read above the law. Reply Link Linda Fitzgerald 21 February 2009 at 11:38 A&O No wonder. I heard of one of their associates – she is writing erotic novels instead of work, so noone can even speak about confidentiality of client matters. Leave alone the quality of services. Did she possibly bill the clients for her time when she was writing her so called novel? HAHA. Reply Link M 21 February 2009 at 17:16 Exasperating The white shoe firms are able to weather the storm differently because they have a different financial cycle (and hence the pressure on headline profitability occurs at a different time of year – let’s see if they maintain no layoffs/pay freezes for a full cycle before making that judgment), they have fewer staff and overseas offices (whilst still retaining a degree of diversification in work origination thanks to foreign companies need to do business in the US – let’s see how that goes, shall we?) and higher proportions of remuneration linked to the bonus pool, a cost that is not a fixed overhead. I’m not saying they aren’t resilient – I am saying that they run a different model, less international, and given that the US appears to be coping better than the UK and Europe, a certain degree of protection comes from operating in a less painful environment, rather than from necessarily a better law firm. Have you forgotten that the economy as a whole has an effect? “Think about it.” Reply Link Anonymous 22 February 2009 at 18:41 Redundancy Diversity Lets see how “diverse” all this redudancy stuff will be. Will it be a round of Oz and Kiwi’s first, please? Somehow these intricate details have yet to make headlines. Reply Link Anonymous 22 February 2009 at 20:41 I’m not sure cutting a few GDL allowances will quite do it… “…atrocities of taking students who have studied other courses at uni with 2:is and 1sts… It is about time that law students are prioritised again. No other commonwealth jurisdiction offers a more idiotic deal! What you learn in 3 years cannot be learnt in a year!” Absolutely, I could not agree more. We need less diversity in the profession and more people just like you. Oh no, hang on, you’re an idiot. Reply Link Anonymous 23 February 2009 at 10:01 You’ll like this, not a lot If Paul Daniels opened a law firm would it be in the Magic Circle? Reply Link Girt 23 February 2009 at 11:27 ?! A&O had a *private client* department? What is this, 1996? Reply Link Anonymous 23 February 2009 at 23:28 British jobs for British People I think A&O will let go of Aussie, Kiwi, Indian and Saffa lawyers first. These are the ones who are currently on work permits sponsored by the firm. It would make sense to so that they can keep the “British jobs for British people.” Does this mean that Chelsy Davy will still be joining the firm? She’s Saffa, isn’t she? Or African of some sort anyway. Personally, I think they should get rid of 50 more partners and keep the other 200 members of staff on board. I can’t imagine a (part-time) PA’s annual salary of £18,000 is going to make a huge difference to the millions they are hoping to save. Reply Link Queen of England 26 February 2009 at 12:51 Antipodeans – time to dust off the rucksacks… Let’s hope it is the Aussies and South Africans that get the chop. Finally, we may be able to live and work in London without their whiny, irritating accents and their nauseating obsession with sporting supremacy. Reply Link You're all bally racists 26 February 2009 at 14:34 Leave the antipods alone Jeez, what’s next, someone advocating sending them to spearhead the firm’s new push into Gallipoli? Reply Link Rolf 26 February 2009 at 15:20 I like Aussies And Kiwis tend to be even nicer. So lay off them. South Africans are usually fairly straight up, and wouldn’t be so bad if they stopped being all macho. So you should probably lay off them too. Reply Link Name Email Cancel reply Threaded commenting powered by interconnect/it code.