Large Firms
Aug. 16, 2002
Staff Layoffs Are Imminent, Wilson Sonsini Announces
SAN FRANCISCO - Wilson Sonsini Goodrich & Rosati will lay off 100 staff members during the next two weeks, according to a memo from chairman Larry Sonsini distributed firmwide Wednesday.
"This is a very difficult decision, and one that is not made lightly," Sonsini said in the memo. "We expect this decision, which will result in the elimination of approximately 100 administrative and support positions, to be implemented in the next two weeks."
The job cuts represent 11 percent of Wilson Sonsini's 900 staff workers nationwide. Most of the cuts will be made from the firm's Palo Alto headquarters. Those who will lose their jobs were not notified Wednesday, but will be told on a single day within the next two weeks, according to firm spokeswoman Courtney Weber.
The announcement follows reports from legal recruiters that Wilson Sonsini also is laying off as many as 80 of the firm's lawyers over the next six months. Weber said the firm has not targeted a particular number of lawyers who need to go.
However, she said, "Certain practice groups will be sizing their teams to productivity levels."
Lawyers and staffers received Sonsini's memo via e-mail Wednesday afternoon.
"I realize this restructuring creates a great deal of uncertainty for individual staff in the short-term, so please know that this management team is committed to providing you with information as soon as we can," Sonsini said in the memo.
Laid-off workers will receive six weeks of full pay plus benefits through October, Weber said. Wilson Sonsini will provide career counseling, and for an undetermined amount of time, child care, she said.
Lawyers and staff members were working as usual Wednesday afternoon after the memo was sent, she said. "I haven't seen huddles of people sitting around the water cooler having discussions about it."
Sonsini's memo opened with six paragraphs explaining the strengths of the firm and the reasons for the lay-offs. It was only then that staff members actually read their jobs would be eliminated.
The memo cited the weakness in the technology industry as a reason for the lay-offs. But Sonsini also noted lawyers' productivity has increased through new technologies in shipping and document production, e-mail and mobile phones.
"Litigation matters and corporate clients require fewer case assistants and paralegal services," he wrote.
"I am confident that we will come through this downturn with a lean and powerful business, geared for continued success in the years to come," Sonsini wrote.
Joel Rosenblatt
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