After our report on the KPMG tenancy reduction, we received the following information from a DLA Phillips Fox spy on the weekend:

you new chair is really cumfy!

DLAPF Adelaide is on the hunt again. Five more support staff axed within a week! There may be more to come soon with a floor consolidation that will simply not fit all the people that are now there. Literally, there won’t be enough chairs, offices or cubicles! The environment is: Who’s next?!

The first wave of DLA Phillips Fox redundancies occurred in December 2008. The second wave of  firm redundancies followed in May this year. Will floor consolidations and reductions in tenancy space across DLA Phillips Fox offices give rise to a more broad-ranging third wave of redundancies? When the music stops, will you have a chair?

The Firm Spy is anxious to hear more reports of reductions in tenancy space. Is your firm reducing the size of the office? let the Firm Spy know first, super anonymously if you so choose.

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We received the following anonymous, no-nonsense email yesterday:

jobs are as safe as houses

Keddies Lawyers has laid off 40 staff.

At a time when there is a broad perception that personal injury/insurance firms are quarantined from the GFC strife affecting other law firms, this rumour, if true, would make more certain the troubling idea that no job is safe. Either that, or Keddies partners are making opportunistic use of the financial climate to make redundancies.

We invite a clarifaction and comments from Keddies staff.

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Our call for Double Digit Deloitte Delinquents last week has already achieved success!

Deloitte staff ask to be remunerated with legal tender

We received the following comments from a Deloitte spy:

I am a newly promoted senior and all I got was $55k excluding super.. how sad?

A Deloitte senior staff member … paid peanuts! Is this a ‘new base’ that is ‘15% less than what was paid to a similar person just 6 months ago’? Is Deloitte using the GFC as an excuse to reduce employee pay? It would seem difficult to justify in light of ‘double digit growth’, a pay freeze, rumours of cuts to learning and development and continued claims of secret Deloitte sackings.

We invite other Deloitte workers to email us (anonymously, if you choose) with news about reductions in their wage.

Are you remunerated fairly? Send the Firm Spy your news and vews!

Earlier in the year, AAR announced a voluntary redundancy scheme. It was revealed over the weekend that some 100

An AAR partner concerned at an employee’s departure

What was not reported was the following rumour we received from an Allens Arthur Robinson spy over the weekend:

I thought the spy would be interested in the strange coincidence that many (but certainly not all) of those ‘accepting’ the voluntary redundancies at Allens were those perceived to be underperformers… Speculation is rife that in many circumstances staff were ‘invited’ to accept the voluntary redundancy package and I have heard rumours to this effect on several occasions in respect of particular employees…

If true, the ‘invitation’ to volunteer for a redundancy would be an effective way of getting rid of workers who might otherwise be performance-managed out of a job. We invite Allens staff to add comments or anonymously email us with further details.

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After trawling the spectrum of news publications for months in search of something newsworthy on emerging national law firm Gilbert & Tobin, we today stumbled across a short remark from managing partner Danny Gilbert.

When asked how he felt about the economic outlook in today’s AFR in light of the fact that his firm appointed a paltry one partner this year, Gilbert replied:

‘sanguine.’

For those of you who, like us, don’t know the definition of ‘sanguine’, here it is:

ADJECTIVE

Im bloody optimistic!

1. Of the color of blood; red.
2. Of a healthy reddish color; ruddy; a sanguine complexion
3. Having blood as the dominant humour in terms of medieval physiology
4. Having the temperament and ruddy complexion formerly thought to be characteristic of a person dominated by this humor; passionate.
5. Cheerfully confident; optimisitc

So, in relation to the GFC, is Gilbert blood red (with anger?). feeling bloody healthy, having a bloody laugh, or just bloody optimistic? We watched a recent interview with Danny to get to the bottom of this and have extracted some quotes below:

we built the firm by identifying market niches… and attracting key, important partners from other law firms.. who perhaps felt they were not able to achieve what they wanted to achieve in the firms that they were with… we were prepared to take risks with people and give people a go in ways that other law firms might have been a little bit more conservative.

Has Danny taken one too many risks with underachieving partners? Boy-o-boy, that’d make us blood-red with anger too!

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The distressing revelation that New Kids On The Block have had to cancel the Australian leg of their comeback tour, owing to ‘GFC-induced’ poor ticket sales, comes amid a contrastingly uplifting GFC-news story that an Australian law firm is rapidly expanding and appointing new partners.

You Got It (The Right Stuff)

Yes, HWL Ebsworth does have the right stuff! As reported in today’s AFR, HWL Ebsworth has returned to the coveted 100+ partner club by appointing a massive 12 partners in the last 6 months. Managing Partner Juan

NKOTB - the bad boys of pop

disillusioned or dissatisfied.

Martinez then surprisingly went onto add that:

partnership growth was partly down to financial conservatism and a disinterest in overly flashy office fitouts and endless internal functions and events.

Hmmm … wouldn’t a ‘disillusioned or dissatisfied’ new partner expect a decent office, an occasional lunch and a glass of red on a Friday? Alas, no - the New Kids on the Block are:

Hangin’ Tough!

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Kylie makes her opinion known

Hat tip to Lawyerslawyer:

Deputy President O’Dwyer found [Brereton] had transferred more than $2.3 million of clients’ money out of his trust account contrary to the trust accounting rules… She charged the solicitor with having a trust account deficiency

Brereton is also apparently embroiled in the government’s Operation Wickenby investigation. It is also interesting to note that Brereton once worked as Tina Arena’s legal advisor and that several Sydney Clayton Utz & Freehills partners invested in a scheme promoted by Brereton.

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Hatzis Lawyers, not to be confused with the famous Australian prankster Guido Hatzis of Do Not Talk Over Me fame, provide a cutting-edge legal service to Brisbanites.

Hatzis Lawyers are a dynamic firm of Brisbane lawyers and solicitors contributing their might to the smart state of Queensland.

Although it is not immediately clear on the firm’s website how Hatzis Lawyers differentiate themselves from other market players, the firm boldly claims to be

Guido Hatzis contributes his might. Note: no connection with Hatzis Lawyers.

Changing the way lawyers work.

However, reading the website more closely sheds some light on how Hatzis is breaking the mould. The following sentence gives us some insight (perhaps):

By listening empathetically to the concerns of our clients and working through the issues that are relevant and discarding those that are not going to progress their matter further, assists our clients to streamline and understand their problems whilst providing solutions.

Probably unsurprisingly, Hatzis is at pains to highlight its experience in the law:

Drawing on our experiences, we inform and educate our clients as to potential problems … that they might not be aware of…Drawing on our extensive experience, knowledge and the ability to listen empathetically to concerns … we give advice on entitlements and legal obligations through to taking instructions and representing clients.

However, the value of this experience seems dubious, given that an Articled Clerk on the website claims to have experience drafting and advising in:

Leases, Mortgages, Guarantees, Commercial/Business Purchase & Sale Contracts, Wills, Power of Attorney, Advanced Health Directives, Transfer of Property, Lease Negotiations, Trust Deeds, Company Constitutions.

I am an employee of Deloitte … I have been actively involved in “counselling” out under-performers…  We’ve had about 6 people leave our team in the last 6 months because of this. Partners will be giving themselves bonuses for FY 2009.  Yes, that’s right!  Despite all the gloom, pay freeze for us shit kickers

don’t be fooled by his good looks, Toadfish is a juvenile delinquent

and all the cost cutting to training and development, Partners will be getting bonuses.  Depending on their performance, Partners will receive between 5% to 20% of their base pay as a bonus… Only people getting a promotion will receive a pay rise in July.  Latest news is that the new base is about 15% less than what was paid to a similar person just 6 months ago. Well, I guess some-one needs to fund those bonuses.

It is a hot-shoe-shuffle at KMPG as workers clamouring with their toilet paper voter cards at the Poo Poll are forced to  push and shove for the best new offices!

Rumours have emerged from a KPMG spy about new cost cutting measures which have doubtless evoked more unwelcome angst among already anxious staff. We received the following information from a KPMG spy earlier in the week:

squeezing into the office

we are reducing the size of our office by half a floor.

It is unclear whether the rumoured reduced tenancy space affects just one group in one office or many groups in many offices. But one thing does seem clear, the reduction, if true, is either a sad testament to the massively reduced size of the KPMG workforce, or simply yet another cost-cutting measure adopted by the firm. Either way, if true, it is a categorical statement by KPMG that it does not expect conditions to improve soon.

Is your firm reducing its tenancy space? Tell the Firm Spy first!

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