Firms Are Favoring Experienced Hires Over Entry-Level Recruits

Law firms are increasingly prioritizing experienced lawyers over recent law school graduates, with lateral hiring now outpacing entry-level recruiting for the first time, as Ma Fatima writes for JD Journal.

This realignment reflects broader pressures reshaping the legal industry, including rising costs, technological change, and evolving client demands.

For decades, large law firms built their ranks primarily through structured campus recruiting and summer associate programs. That model is under strain. Operational costs have climbed steadily, clients are pushing back on rates tied to attorney training, and artificial intelligence is automating tasks once reserved for junior lawyers.

Together, these forces are prompting firms to rethink where and how they find talent.

Data from legal analytics company Firm Prospects shows that overall associate hiring fell 5% in 2025, with only 38% of new hires coming directly from law schools, down from 46% in prior years.

Lateral associates represented 49% of all new associate hires in 2025. Partner hiring among the 200 highest-grossing firms rose 10% the same year.

A surge of departures from federal agencies, including the Department of Justice and the Securities and Exchange Commission, has also supplied private firms with experienced regulatory and enforcement attorneys. Meanwhile, AI adoption is reducing demand for certain entry-level tasks, pushing firms toward candidates with specialized knowledge and independent judgment.

Law students now face a more selective market, with clerkships, early specialization, and networking carrying greater weight.

Outside counsel spend patterns are shifting as firms absorb higher-cost lateral talent, which clients and legal operations teams will factor into rate negotiations. An influx of former government lawyers is strengthening white-collar and regulatory practices at many firms.

Enterprise risk management considerations arise as firms that under-invest in junior talent risk weakening long-term leadership pipelines.