Law Firm Partners Can Expect Major Layoffs This Year

[The Velveteen Ocelot]

6. I think corporations are taking more of their legal work in-house.

That way they can control costs better - the in-house lawyers are salaried and get benefits, which is a cost but a predictable one. If they use external law firms they pay only when they need work done and don't have to pay employee benefits, but the legal services they pay for are considerably marked up by the law firm. So if a corporation needs to cut costs it will often refer less of its work to outside counsel.