Small law question that may resonate with all: Signs you’re in a failing firm? Asking for a friend. He works at a firm that just cut two attorneys and three staff and imposed major across the board salary cuts as soon as Covid hit. All bonuses on hold. No end date provided. Firm ostensibly successful for many years prior.

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It also seems that some firms are leaning into covid as an excuse to go leaner and/or remove staff/attorneys that either didn't have a defined place or role or who weren't cutting it. I know at my previous firm they've let go some legal secretaries who were terrible and had no desire to learn even basic tech skills (like changing font size in Word). I don't think they're struggling, but used the opportunity to cut some dead weight.

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Honestly that could be the sign that the firm is surviving. The ones that fail are the ones that don’t do those things until it’s too late.

They may have seen huge drop in hours so planning for potentially low or slow revenue in next couple quarters. Could be getting less new matters from big clients ie if insurance defense. We are seeing that. Could just be cutting fat and planning for big expenses in the near term or medium term maybe new lease etc. can friend ask someone in the know? It’s stupid that this can’t be somewhat transparent for a firms attorneys

Zero transparency. The associate attorney salary cuts ranged 25-60%. Indefinite duration.

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