Why Gen Z, Millennial Lawyers Are Leaving Big Law for Small Firms

Many of the associates I’ve spoken to—including first years—are done with Big Law. They are eager to move to a smaller firm or bust.

Making this career transition, especially if you’re quite junior, possibly means you can’t move back to Big Law later in your career, but this consideration is generally met with indifference for these associates. What’s driving this exodus? A few key trends stand out:

• Smaller firms have upped their game. There are some compelling smaller firms doing sophisticated work. Yes, they pay less. But for many associates without crippling student loans, the cost-benefit analysis is clear. They’ll take less money for fewer hours, and they won’t think twice about it. They want their time back. One Big Law associate told me, crying, that she wanted to be able to go to the grocery store on the weekend without knowing that she needed to bring her laptop into the store with her.
• Some smaller firms offer purpose-driven work, which resonates with millennials and Gen Z lawyers. This is likely a reflection of generational change, but also the fraught current moment in US politics. What is political feels very personal right now to many young lawyers. Issues such as defending the climate and protecting immigrants seeking asylum feels more pressing than they may have in years past. I recently represented a lawyer who was planning to leave her immigration nonprofit to make more money, but ultimately decided she’d rather stay and fight.
• Covid-19 changed us all—across generations. Many younger associates know only hybrid work and are pushing back when Big Law firms increase their face time and in-office requirements. More senior lawyers saw how capable they were of doing their work at the highest levels while fully remote and are uninterested in going back. Many smaller firms have more flexible policies. Beyond in-office attendance, the pandemic accelerated a reevaluation of life’s priorities, and billing 2,400 hours just isn’t passing muster for many smart, ambitious lawyers.
• The conversation around mental health has changed. According to the ALM 2024 Mental Health Survey, more lawyers are raising their hands to acknowledge mental health challenges. A staggering 68.7% reported being anxious, while about a third reported being depressed. Specifically, 65% of respondents said that billable hour pressure negatively impacts their mental health. Rate hikes have the same impact; lawyers feel increasing pressure to perform more and faster.
• Equity partnership in Big Law may feel totally unattainable to this next generation of lawyers. The expansion into a non-equity tier where, candidly, many lawyers languish, makes the big golden ring of equity seem beyond slippery. Partnership may also look unappealing. “I look at the partners I work for, and I don’t want their lives,” a fifth year in Big Law told me. “They seem to hardly see their kids,” the fifth year told me, “and many of them are divorced.” Another reason partnership may look either impossible to reach or unappealing may be because associates don’t see partners who are similar to them in terms of demographics and background. The diversification of equity partnership could change the game.
• Smaller firms may offer earlier hands-on experience, client contact, stand-up opportunities, etc. Young lawyers who attended online law school due to Covid-19 are more than ready to be put in the game. For many years, associates were asking for more stand-up experience and client contact regardless of their generation.

Despite the appeal of smaller firms to younger attorneys, it’s worth noting that not all smaller firms are created equal. The worst-case scenario is that an associate moves to a smaller firm, takes a big pay cut, and is still working Big Law hours.

It’s important to vet the smaller firm: Ask not only what the billable requirement is (and it can range dramatically—from 1,400 to 2,000 hours), but also the average hours billed on the team over the last year. Ask partners (post-offer) about how they react to client demands that come in on Friday night at 10 p.m. Make sure their in-office policy is consistent with what you’re seeking. Speak to associates in more casual, off-the-record chats about their lived experience at the firm.

The right smaller firm can be a revelation to a Big Law associate who has felt like a square peg in a round hole. If Big Law firms are seeing higher than the expected level of attrition, they would be wise to track where associates are headed.

If more people are moving to smaller firms, then it may be time to assess what firms can do to retain talented team members—from loosening in-office requirements, to prorating billable hour targets when an associate takes two weeks of vacation, to giving billable credit for wellness endeavors.

If the hiring pendulum swings back in favor of associates, these changes may become the blueprint for how Big Law evolves. And, in turn, we may see smaller firms pivot their pitch as well, to continue to compete.