Tech Companies Cut Legal Budgets and Some Lawyers
In-house legal departments at technology companies aren’t immune from budget cuts and staff layoffs.
The Recorder (sub. req.) interviewed several general counsel at high-tech companies and all of them said their budgets had been cut. A few confirmed layoffs while one refused to comment.
The cuts come as companies are curtailing legal hiring, recruiters told the Recorder. Corporate and junior in-house lawyer jobs are hard to find, although demand remains for those with intellectual property expertise.
Creative Labs laid off two lawyers and one legal staffer from its eight-person legal department in the United States, including its director, Suzanne Rufflo, the story says. Cadence Design Systems Inc. cut one lawyer and three staffers from its 27-person legal department. Symantec Corp. and eBay have also laid off lawyers, sources told the publication.
Besides laying off lawyers, James Cowie, general counsel at Cadence, is seeking other ways to save money. He is asking law firms to lower their rates and is whittling down its law firm roster, the story says.
Matthew Fawcett, general counsel at JDS Uniphase Corp., told the Recorder how he is coping with budget cuts. He is asking law firms to freeze rates. He is doing his own shopping for e-discovery help and other outside services, rather than letting law firms choose the vendors. He has also outsourced work to India, including due diligence work on mergers and acquisitions.
