The COVID-19 pandemic is still ravaging the country, with cases having surpassed the 4 million mark just earlier this week. Economic uncertainty continues to have an impact on law firms, with salary cuts, furloughs, buyouts, and layoffs still on the table. With the recent news that almost half of the Am Law 100 has adopted austerity measures in 2020, we can now add yet another law firm to the list — and it’s one of the most prestigious law firms of them all.
According to a well-sourced report from the American Lawyer, layoffs and buyouts abound at Sullivan & Cromwell, a firm that was ranked No. 18 in the most recent Am Law 100, with gross revenue of $1,467,398,000 in 2019. Up to 150 employees at the firm across numerous departments were either laid off or received buyout offers.
The layoffs number up to about 50 staff members over the past three months, said some sources.
The layoffs touched a variety of departments within the firm, including events, marketing and temporary workers, sources said, and laid off staff were offered a severance package of two weeks pay for every year served at the firm.
Apart from the layoffs, many older employees were given the option of an early retirement through what the firm called its voluntary retirement program, said some sources, including one who said the number of employees given that option was around 100. Those eligible needed to be at least 55 years of age, the sources said, and have a tenure at the firm that allowed their age and service time to add up to 70.
On top of the layoffs and buyouts, the firm recently parted ways with six chief or director-level personnel (although it’s unclear whether their departures were related to the staff layoffs). Those who left the firm include its chiefs or directors of knowledge management, global business development, internal auditing, hospitality services, legal personnel, and global contracts and special projects.
Karen Braun, the firm’s executive director, refused to comment on personnel matters.
Best of luck to all those who are affected by the layoffs at Sullivan & Cromwell.
If your firm or organization is slashing salaries, closing its doors, or reducing the ranks of its lawyers or staff, whether through open layoffs, stealth layoffs, or voluntary buyouts, please don’t hesitate to let us know. Our vast network of tipsters is part of what makes Above the Law thrive. You can email us or text us (646-820-8477).
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Multiple Staff at Sullivan & Cromwell Laid Off, Sources Say [American Lawyer]
Staci Zaretsky is a senior editor at Above the Law, where she’s worked since 2011. She’d love to hear from you, so please feel free to email her with any tips, questions, comments, or critiques. You can follow her on Twitter or connect with her on LinkedIn.