July Surge in Professional Jobs Leaves Legal Sector Behind
The legal industry was the exception to a strong month for job gains in the professional services market.
August 05, 2019 at 05:10 PM
3 minute read
The professional and technical services sector saw significant job gains in July, amid continued growth in overall U.S. employment. At the same time, job growth in the legal services segment of the professional employment market remained stagnant, according to the U.S. Department of Labor.
The Bureau of Labor Statistics’ monthly report on the nation’s employment situation found that the legal services industry, which includes lawyers, paralegals, legal secretaries and other law-related professions, gained 100 jobs in July for a total of 1,144,200. This was by far the smallest gain in the professional and technical services sector, where only one industry, specialized design services, reported losing jobs.
Job growth in the professional sector is on par with increased growth during the first half of the year, although it remains tempered compared with 2018. So far in 2019, professional and business services has added 33,000 jobs per month, compared with 47,000 jobs per month in 2018.
At the same time, the legal services industry has made comparatively small gains in job growth compared with other industries in the professional sector.
In Friday’s report, the BLS did not update its provisional data from June 2019, in which it recorded 1,144,100 seasonally adjusted legal service jobs. For May 2019, the bureau adjusted legal service industry jobs to 1,143,500. The BLS numbers are subject to revision and are seasonally adjusted.
The modest job growth in the legal services industry is at odds with the overall professional and technical services sector, which the BLS highlighted as having “notable job gains” in July, along with the health care and financial services sectors. The bureau reported that the economy added 31,000 professional and technical jobs last month, bringing the sector’s 12-month total to 300,000 new jobs. This was largely driven by the computer systems design and related services industry, which accounted for about one-third of job growth in the sector.
Also contributing to job growth in the professional and technical services sector were management and technical consulting services, architectural and engineering services, accounting and bookkeeping services, scientific research and development services, and advertising and related services.
The legal service industry’s comparatively lackluster growth represented the smallest growth in the professional and technical jobs category, suggesting increasing conservatism in law firms and legal departments in the face of the threat of a recession in the next few years.
Although law firm leaders remain relatively confident about the legal industry, according to a Citi Private Bank survey earlier this month, they are less optimistic about the strength of the industry for the second half of the year. Some have strategically looked to grow into new markets, seeking geographic diversity partly as a hedge against a downturn.
And while the recession may not have arrived, some firms are already under pressure. Am Law 200 firm LeClairRyan has recently taken steps to dissolve following revenue and head count declines in recent years.
The nation’s total nonfarm employment gained 164,000 jobs in July, and the unemployment rate remained unchanged at 3.7 percent. This matches average growth for the first half of 2019 but remains about 33% lower than last year; in 2018, the economy averaged 223,000 new jobs per month.
This content has been archived. It is available through our partners, LexisNexis® and Bloomberg Law.
To view this content, please continue to their sites.
Not a Lexis Subscriber?
Subscribe Now
Not a Bloomberg Law Subscriber?
Subscribe Now
NOT FOR REPRINT
© 2024 ALM Global, LLC, All Rights Reserved. Request academic re-use from www.copyright.com. All other uses, submit a request to [email protected]. For more information visit Asset & Logo Licensing.
You Might Like
View AllQuinn Emanuel Has Thrived in China. Will Trump Help Boost Its Fortunes?
Trending Stories
- 1Gibson Dunn Sued By Crypto Client After Lateral Hire Causes Conflict of Interest
- 2Trump's Solicitor General Expected to 'Flip' Prelogar's Positions at Supreme Court
- 3Pharmacy Lawyers See Promise in NY Regulator's Curbs on PBM Industry
- 4Outgoing USPTO Director Kathi Vidal: ‘We All Want the Country to Be in a Better Place’
- 5Supreme Court Will Review Constitutionality Of FCC's Universal Service Fund
Who Got The Work
Michael G. Bongiorno, Andrew Scott Dulberg and Elizabeth E. Driscoll from Wilmer Cutler Pickering Hale and Dorr have stepped in to represent Symbotic Inc., an A.I.-enabled technology platform that focuses on increasing supply chain efficiency, and other defendants in a pending shareholder derivative lawsuit. The case, filed Oct. 2 in Massachusetts District Court by the Brown Law Firm on behalf of Stephen Austen, accuses certain officers and directors of misleading investors in regard to Symbotic's potential for margin growth by failing to disclose that the company was not equipped to timely deploy its systems or manage expenses through project delays. The case, assigned to U.S. District Judge Nathaniel M. Gorton, is 1:24-cv-12522, Austen v. Cohen et al.
Who Got The Work
Edmund Polubinski and Marie Killmond of Davis Polk & Wardwell have entered appearances for data platform software development company MongoDB and other defendants in a pending shareholder derivative lawsuit. The action, filed Oct. 7 in New York Southern District Court by the Brown Law Firm, accuses the company's directors and/or officers of falsely expressing confidence in the company’s restructuring of its sales incentive plan and downplaying the severity of decreases in its upfront commitments. The case is 1:24-cv-07594, Roy v. Ittycheria et al.
Who Got The Work
Amy O. Bruchs and Kurt F. Ellison of Michael Best & Friedrich have entered appearances for Epic Systems Corp. in a pending employment discrimination lawsuit. The suit was filed Sept. 7 in Wisconsin Western District Court by Levine Eisberner LLC and Siri & Glimstad on behalf of a project manager who claims that he was wrongfully terminated after applying for a religious exemption to the defendant's COVID-19 vaccine mandate. The case, assigned to U.S. Magistrate Judge Anita Marie Boor, is 3:24-cv-00630, Secker, Nathan v. Epic Systems Corporation.
Who Got The Work
David X. Sullivan, Thomas J. Finn and Gregory A. Hall from McCarter & English have entered appearances for Sunrun Installation Services in a pending civil rights lawsuit. The complaint was filed Sept. 4 in Connecticut District Court by attorney Robert M. Berke on behalf of former employee George Edward Steins, who was arrested and charged with employing an unregistered home improvement salesperson. The complaint alleges that had Sunrun informed the Connecticut Department of Consumer Protection that the plaintiff's employment had ended in 2017 and that he no longer held Sunrun's home improvement contractor license, he would not have been hit with charges, which were dismissed in May 2024. The case, assigned to U.S. District Judge Jeffrey A. Meyer, is 3:24-cv-01423, Steins v. Sunrun, Inc. et al.
Who Got The Work
Greenberg Traurig shareholder Joshua L. Raskin has entered an appearance for boohoo.com UK Ltd. in a pending patent infringement lawsuit. The suit, filed Sept. 3 in Texas Eastern District Court by Rozier Hardt McDonough on behalf of Alto Dynamics, asserts five patents related to an online shopping platform. The case, assigned to U.S. District Judge Rodney Gilstrap, is 2:24-cv-00719, Alto Dynamics, LLC v. boohoo.com UK Limited.
Featured Firms
Law Offices of Gary Martin Hays & Associates, P.C.
(470) 294-1674
Law Offices of Mark E. Salomone
(857) 444-6468
Smith & Hassler
(713) 739-1250