3 More NY Firms Disclose Layoffs, Furloughs
Davidoff Hutcher & Citron, Levene Gouldin & Thompson and Pryor Cashman laid off or furloughed a total of 115 lost jobs.
April 15, 2020 at 03:08 PM
5 minute read
Three more law firms have given New York state labor authorities notices of layoffs or furloughs, adding to the growing number of legal-industry employees already going without paychecks as a result of the coronavirus pandemic.
Davidoff Hutcher & Citron, Levene Gouldin & Thompson and Pryor Cashman have all notified the New York Department of Labor of head count cuts in recent weeks. The notices, required under the state's Worker Adjustment and Retraining Notification Act, represented a total of 115 lost jobs.
Davidoff Hutcher, which lists 65 lawyers and five offices on its website, said it had laid off or furloughed 34 people. Levene Gouldin, which has several offices across New York's southern tier region, shed 31 jobs. And Pryor Cashman, whose furloughs of associates were previously reported, said 53 people were impacted, including lawyers and staff.
Jeffrey Citron, a co-managing partner at Davidoff Hutcher, said the firm laid off its secretarial and back-office staff, calling the move "purely preventative" and likening it to "playing defense." He said the firm hopes to rehire the employees when circumstances improve.
"It was very difficult to have the secretaries working, not being in the office," he said. While the firm's attorneys have laptops, and most of the attorneys are "computer-literate," he said, it was harder to adapt the work of support staff to the pandemic's restrictions.
Ronald Shechtman, the managing partner at Pryor Cashman, said earlier this month that work had slowed down and the firm had furloughed "some" associates. His firm, which lists more than 180 lawyers on its website, is based in Times Square and is known for its entertainment and media practices.
Asked via email whether the 53 jobs listed in the firm's WARN notice were all associates, he said "associates were a small portion of those furloughed."
All of the 53 people affected were furloughed, not laid off for the long term, he wrote, "and we furloughed support staff for whom there was not sufficient work in the context of the 'remote' workplace. We maintain their health insurance at no cost to them and intend to bring them back as soon as the workplace is 'reactivated.'"
Jeffrey Lowe, the managing partner at Levene Gouldin, said most areas at his general practice firm have seen a "significant slowdown" because of the pandemic. He said most of those laid off were law firm support staff, and he hoped the firm would be able to rehire them as soon as business picks back up, calling the situation "extremely painful."
"The whole thing is in reaction to the COVID-19 [pandemic], the [pandemic-related court] rules here in New York, and the slowdown in the work," he said.
The newest layoffs and furloughs come amid increased cost-cutting measures at law firms large and small in response to the COVID-19 pandemic and its shock to the economy. The sudden shutdown of courts across the country and uncertainty around the duration of the pandemic have businesses looking to cut expenses and some law firms falling short of their revenue targets.
New York City and its suburbs have been hit harder than any other part of the country by the virus, which is highly contagious. NYC authorities said Tuesday that more than 10,000 people have likely died from the virus, even with restrictive social distancing measures that have in the past month choked off business for thousands of restaurants, retailers and other businesses.
While industries dependent on travel and foot traffic were among the first to shed jobs, the health risks and economic impacts are having a much wider impact. A group of economists surveyed by the Wall Street Journal predicted that the unemployment rate would rise to 13% by June, up from a 50-year low of just 3.5% recorded in February.
Many law firms are using pay cuts, furloughs, layoffs or a combination of measures to ride out the downturn. At some law firms, partners have forgone their monthly draws entirely. The American Lawyer has been tracking firms' announcements and reporting on the cutbacks.
The pandemic has also created uncertainty around summer associate programs. Some firms have committed to conduct the programs totally virtually, while many have shortened their duration and a smaller number have canceled the programs entirely.
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 All'So Many Firms' Have Yet to Announce Associate Bonuses, Underlining Big Law's Uneven Approach
5 minute readGovernment Attorneys Are Flooding the Job Market, But Is There Room in Big Law?
4 minute readT14 Sees Black, Hispanic Law Student Representation Decline Following End of Affirmative Action
Law Firms Mentioned
Trending Stories
- 1Call for Nominations: Elite Trial Lawyers 2025
- 2Senate Judiciary Dems Release Report on Supreme Court Ethics
- 3Senate Confirms Last 2 of Biden's California Judicial Nominees
- 4Morrison & Foerster Doles Out Year-End and Special Bonuses, Raises Base Compensation for Associates
- 5Tom Girardi to Surrender to Federal Authorities on Jan. 7
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