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Organizing your law firm: diamonds dazzle but pyramids lose punch

By: Melody Finnemore//January 31, 2012//

Organizing your law firm: diamonds dazzle but pyramids lose punch

Melody Finnemore//January 31, 2012//

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(Editor’s note: This piece originally ran in the May 5, 2011 issue of the BrieflyLegal e-newsletter)

Between the recession and baby boomers choosing to work longer, a growing number of law firms are stepping away from the traditional pyramid structure, which features a small number of senior partners at the top, a larger number of mid-level attorneys and an even bigger base of new associates.

They are shifting instead to a structure that’s more diamond shaped, where senior associates and junior partners make up the bulk of the staff. The change is more a matter of natural evolution than conscious strategy for most firms, says Linda Green Pierce, president of Portland-based Northwest Legal Search Inc.

鈥淚 am seeing this kind of arrangement at law firms,鈥 Pierce says, 鈥渁nd I think it’s largely due to the overall maturity of the legal industry and the population of the generations working in firms, including the boomer generation not retiring.鈥

She also points to other factors as possibly contributing to the switch, including sluggish growth in demand for legal services overall and lower levels of hiring those just out of law school over the last few years. Corporate clients are more willing to pay for the higher end expertise provided by senior associates and junior partners than foot the bill for training a new associate, according to Pierce.

In addition, the bulge in the middle of the diamond is comprised of mid-level attorneys trying to climb up through the ranks. 鈥淧artner tracks are longer so those people stay in the stomach of the snake longer instead of moving up the pyramid to become a partner,鈥 she says
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Lewis Horowitz, managing partner at , oversees the firm’s Portland and Seattle offices and says it has never been structured in the traditional pyramid shape.

鈥淥ur model has always been based on having more experienced attorneys,鈥 he says. 鈥淚t has its challenges, but we have found that model to be successful because clients often hate paying for associates with only a few years experience.鈥

The tough reality is that it’s expensive to hire the best and the brightest, and somebody ultimately has to pay for it. 鈥淚f the market for first-year lawyers was $50,000 or $60,000 a year, it would be easier to hire more of them,鈥 Horowtiz says.

So, then, how are young attorneys supposed to get experience if no one will hire them?

鈥淭his problem is no different from other professions,鈥 Horowitz says, adding there are several entry-level tasks for which young associates are well-suited. 鈥淭here is absolutely a role for them, but the idea of one partner keeping four associates busy is an outdated model.鈥



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