CanaryInCoalMine

On free streaming platform Tubi the addictive series "The Following"  is triggering thinking about cults. Former FBI agent Ryan Hardy is called back into service to hunt down cult leader/serial killer Joe Carroll.   As we bear witness in that series, cults are characterized not so much by a belief system but by the mandated behavior. That includes: Blind obedience to a small group or a single person in complete control Banning of critical thinking or any type of questioning Heavy time commitment, usually resulting in sleep deprivation Reward system tilted toward the leadership Shame-based Difficulty leaving, for any number of reasons. Okay, it's bonus season in Big Law. Among those eligible for this recognition of their performance contentment might deter grousing for a bit. For now.  The balking usually settles on the structure and culture of large law firms. On professional anonymous networks such as Reddit and tabloids like Abovethelaw there's often questioning ...

  Mascot for us oldest of the Boomers, Alfred E. Neuman rallied us not to worry. Today we, at least those who have invested in the market, embrace that advice. Dow Jones Industrial Average INDEXDJX: .DJI 48,129.38 +569.09  (1.20%) today Dec 10, 3:04 PM EST  •  Disclaimer

It was back in 2021 that Paul, Weiss chair Brad Karp hammered growth as the critical factor for law firms. That was in a seminal interview with Bloomberg Law. Without that, a firm could go out of business, Karp posited. A key driver for growth had been hiring and retaining legal stars. That poaching requires a hefty financial war chest, which Paul, Weiss has kept adding to since 2021. In 2025, so far, Profit Per Equity Partner is up 11%, with revenue increasing 32%. Recently, much of that lateral action has been happening in London. High-profile during the past several years, for example, had been the multiple raids on Kirkland & Ellis' London office for brandname talent. Many Paul, Weiss watchers recall how the law firm had been able to recruit from that competitor in 2023 rainmaker Neel Sachdev .  In terms of financial results London then evolved quickly into a major profit center of Paul, Weiss. The London office had been operating since 2001. Obviously, played out was the ...

  Last June Paul, Weiss partnered with Harvey AI to be the first law firm to launch the Workflow Builder. Essentially that:  " ... allows users to design repeatable workflows that embed valuable firm expertise, guardrails and best practices into Harvey, resulting in faster, more consistent outcomes for lawyers and clients." Although that represents a key step forward in AI innovation it will have to be followed by developing and leveraging much more of AI. That could be the critical driver in not only Paul, Weiss but other large law firms for boosted productivity and profit margins.  Such a strategic direction is what iconic finance researcher Ed Yardeni predicts for business in general. Yardeni actually puts it this way: Every company will become a technology company. That is, technology will become so embedded in the business as what generates the big leaps forward in productivity and growth of profit. This shift reaches back to the famous observation by the late Harva...

Way back in October 2021 Paul, Weiss   boasted about having the war chest to recruit and retain star players. That kind of lateral strategy, hammered chair Brad Karp in a seminal Bloomberg Law interview, is necessary for growth. And without growth law firms could go out of business.  Thanks to sustained profitability, Paul, Weiss has been able to orchestrate high-profile poaching from one of its most formidable competitors: Kirkland & Ellis. The raids have dazzled "Brad Karp Watchers." In the collective memory bank of the sharp-elbow world of defense law are the lateral hires from Kirkland & Ellis' London office. Through that and more Paul, Weiss has established a dominant presence in London. Its operations there have become a major profit center for the firm.  The latest poaching can make for a Grinch Christmas story. Put it this way: There's coal in Kirkland & Ellis's stocking. As Law.com documents:    "Paul Weiss has brought on a new head of ...

Way back in October 2021 Paul, Weiss chair Brad Karp called it. That was in an interview with Bloomberg Law.  He observed two things: Without growth, law firms could no longer survive. Growth requires deep reserves of money. For example, the law firms must have the funds to recruit and retain star performers. See, elite law firms operate on the old Hollywood studio system: big names on the marquee. That's what clients buy. They want the stars managing their legal issues.  Well, that money-driven growth dynamic has a new wrinkle, reports American Lawyer . According to Wells Fargo's senior consultant Owen Burman elite law firms - code for those with sustained hefty war chests - are now reaching down to non-elite members of the Am Law 50. Within that niche they are identifying the top performers who those lower-tier law firms can't afford to pay what the elite firms can and will.  Through this strategy, the elites bag the talent who will continue to boost the firm's overal...

  It was a very different time when the focus of attention was the future of law. That is, the legal system in America. That's what the major thought leadership articles and opinion-editorials probed.  Now, with such upheaval in the training and employment of knowledge workers the research and speculation are about a much more pragmatic subject: the future of the law firm. It's the law firm that provides the apprenticeships in the form of associate hirings for new law graduates, the lucrative lifestyles for equity partners and the forums for the leadership to influence business matters such as regulations.  Yesterday my post on this blog platform "Professional Services: End of Pyramid Model?" was selected to be featured by LinkedIn News. Obviously, what I was saying struck a nerve. Covered in that post, including observations from Paul, Weiss chair Brad Karp , was the significant reduction in demand for entry-levels in several sectors in professional services. Law w...

 F or a number of years business experts have been projecting that the current pyramid model in professional services will be replaced by the diamond one. That is, instead of a lot of new hires and juniors at the bottom, there would be few. In the middle would be the bulge of seasoned players. At the top would be a limited number of leaders.  Now, it's happening in management consulting. Financial Times broke the story. Here's a version of it in international media : "An increasing reliance on AI is prompting the world’s largest consulting firms to freeze graduate pay and reduce new hires. This approach may significantly alter the industry’s traditional pyramid model. While the aim is to improve profitability by increasing productivity, it also threatens to limit opportunities for entry-level talent." Essentially, chair of elite law firm Paul, Weiss Brad Karp forecast the same reduction in hiring of new graduates. Last March, in Lawyer Monthly he went on record indi...