No More Summer Associates?

June 30th, 2015 / By Deborah J. Merritt

Quinn Emanuel, one of the nation’s “superrich” law firms, is cutting most of its summer program. Rather than employ 50 summer associates, as it has in recent years, the firm will hire just 5-10. According to a memo from name partner John Quinn, the move will reduce expenses (with savings redirected toward signing bonuses for associates joining the firm on a full-time basis) and avoid the “unrealistic” nature of summer programs.

Quinn told Bloomberg BNA that he didn’t expect other law firms to follow suit; some members of the profession view Quinn Emanuel as “quirky.” On the other hand, he stressed the strong rationales for dumping summer associate programs: firms spend a lot on them, it is difficult to integrate students into the firm’s workload, students thus get an unrealistic view of firm life, and clients no longer want to pay for summer associate work (even at discounted rates). If firms took a hard look at summer programs, Quinn suggested, they would conclude that these programs don’t “make[] any sense.”

What will happen if other BigLaw firms follow the Quinn Emanuel lead? Here are some preliminary thoughts. I limit my discussion in this post to BigLaw firms. If the idea spread to smaller firms, that would have additional repercussions.

Elitism

Summer programs are one way–usually the only way–that students from lower ranked schools can demonstrate their worth. If firms eliminate summer try-outs, then how will they make permanent hiring decisions? I predict that they’ll recruit even more heavily from the most elite schools. A partner from a T50-but-not-T14 school may be able to persuade the hiring committee to take a summer associate from her alma mater. That’s a harder sell for a full-time associate position.

Quinn Emanuel’s retention of a very small summer program signals this shift to more concentrated elitism. The firm plans to continue hiring 5-10 summer associates each year who will be able to share their personal experiences with classmates. I think I can guess which 5-10 campuses will get those positions.

Money

Many law students rely upon summer money to pay living expenses and reduce reliance upon loans. For those who work at BigLaw firms, the money is substantial. According to the NALP Directory, the going rate for 2L summer associates at NY BigLaw firms is about $3,067/week this summer. That comes to $24,608 for an 8-week summer. Students owe taxes on that amount, but summer salaries still make a substantial contribution to student finances.

If other BigLaw firms follow Quinn Emanuel’s lead, the effective cost of attending law school will rise. Successful students may earn that money back during their careers, but the upfront investment will grow.

Hands-On Education

Summer associate programs play a useful role in exposing students to real-world law practice. Students return from these summers talking about their enhanced understanding of litigation (“I’ve seen a set of interrogatories!”), corporate work, and other practice areas. Some even meet a client or attend a legal proceeding.

At most law schools, BigLaw firms employ only a small percentage of students during the summer. Other firms, government agencies, corporations, and nonprofits offer as good–or better–practical experience to students. Still, it is worth asking what will happen if paid summer jobs start to decline. Where will students get the experiences that complement their classroom learning? Are law schools prepared to fill the gap?

Entry-Level Hiring

With its spare summer program, Quinn Emanuel plans to focus entry-level hiring on third-years and judicial law clerks. It’s easy to imagine the lean summer program, however, as the first step toward an emphasis on lateral and/or contract hiring. Will the Quinn Emanuel partners be willing to hire completely untested associates–or those trained only by judicial clerkships? Or will the current break with tradition lead to other changes?

Even if not at Quinn, what about other firms? One can imagine firms pruning both summer programs and first-year associate ranks. Most BigLaw firms are already fat around with middle, with a large number of income partners. Rather than hire more new associates, perhaps we will see a shift toward hiring laterals and contract lawyers.

Change

The most important implication of Quinn’s move is the fact of change itself. Six years after the Great Recession, firms are experimenting more–not less. They are continuing to ask “does this tradition make sense?” And they seem increasingly willing to change those traditions.

Law firms are notoriously slow to change but, when they do pursue a new course, law schools have to play catch-up. Quinn Emanuel hasn’t announced a proposal that a committee will study over the next academic year, ultimately proposing formation of a new committee to study the idea further. Quinn might have mooted this idea internally for some time, but change will follow quickly on the heels of the public announcement.

Quinn’s change will affect a small number of students at a small number of law schools. But what other changes are brewing, in BigLaw and elsewhere?