As a global leader in legal recruitment, Sonder Consultants has gathered insights from its regional directors and consultants across major legal hubs. These forecasts highlight the evolving demands of the legal industry, emerging opportunities for lawyers, and the challenges law firms face in attracting and retaining top talent. Here’s a closer look at what 2025 holds for key legal market.
Key Points:
Key Market Trends: Demand for mid-level associates and partners continues to rise in key cities, with focus areas including litigation, corporate and funds.
Practice Areas in Demand: Growth expected in cybersecurity, renewable energy, trade law, and M&A and private equity.
Lawyer Mobility: Increased relocation within and across markets, with U.S. lawyers exploring areas in the U.S with better flexible working policies, and even tax-friendly hubs like Singapore. Top-tier Australian lawyers will have options in London, but firms will prefer to hire local talent in the first instance.
Challenges for Firms and Lawyers: Firms must address retention with clear career paths and balance cultural expectations, while lawyers face intense competition and evolving market dynamics.
Opportunities in 2025: Economic recovery, firm mergers, and new practice areas are creating openings, particularly for mid-level associates, as global legal markets expand and innovate.
Commentary from the Experts
Trends Shaping 2025
New York & Los Angeles
“In Los Angeles, we’re seeing an increased demand for 4th- and 5th-year associates,” shares Michael McGinnis, Los Angeles Director. “Lateral partner recruitment has been gradually increasing within litigation, corporate, and funds practices. Notably, litigation partner headcount within the Am Law 100 has grown by 11% since 2019. Corporate restructuring, regulatory changes, and a surge in litigation work are driving this demand. Moreover, advancements in AI are opening up new opportunities in regulatory and technology law.”
The West Coast, in particular, is experiencing significant growth in partner-level roles outside the Am Law 100. “Across San Diego, San Francisco, and Los Angeles, partner headcount among Second Hundred firms has risen by an impressive 32% since 2019,” says McGinnis. “This growth is being driven by an increase in litigation work and aggressive expansion by select firms. In Los Angeles, partner headcount in IP litigation has surged by 71% over the past five years, reflecting a growing demand for expertise in this area.” California leads the way in offering flexible working arrangements compared to New York, and there are many firms to explore with strong partnership prospects.
On the East Coast, Stefano Barbagallo, Director in New York, highlights the continued dominance of transactional practices: “Private equity, M&A, funds, and finance remain top revenue-generating areas for major firms. Hiring in these fields is active and competitive. The secondaries market is gaining traction, and evolving regulations are boosting demand in employment, cybersecurity, and environmental law.”
Barbagallo also points to significant growth in New York’s Am Law 100 partner headcount across key practice areas since 2019:
- Cybersecurity, Privacy, & Data Protection: +79% growth
- Corporate: +50% growth
- Capital Markets: +62% growth
Hong Kong, Singapore & Australia
“In Singapore, energy deals and infrastructure projects are fuelling legal activity,” reports Sonia Taylor, Asia Director. “Additionally, regulatory and disputes practices are in high demand. In Hong Kong, while capital markets have slowed, there has been an uptick in corporate workflow, and private equity and funds practices across Asia remain strong, particularly as businesses expand into emerging markets like Indonesia and Vietnam.”
Hong Kong continues to see demand for lawyers with at least two years of post-qualification experience, particularly those with strong English and Chinese language skills. “This skill set remains a critical requirement for firms in the region,” notes Taylor.
In Australia, continued demand for lawyers with expertise in ESG, cybersecurity, and renewable energy projects has been noted. Kevin Sinnott, Managing Director, adds: “Banking and finance, energy, construction, and projects remain strong, driven by large-scale infrastructure developments and international investment. However, competition from firms in New York and London poses retention challenges for local firms.”
London
“London is experiencing cautious growth,” says Jonathan Taylor, Director in London. “Private equity, M&A, and funds continue to lead demand, with leveraged finance on the rise due to a resurgence in cross-border deal-making. Trade and sanctions practices are also gaining importance, reflecting ongoing global trade uncertainties. Additionally, competition and regulatory work are critical as firms adapt to evolving frameworks and tariffs.”
US firms continue to expand their footprints in London, driving intense demand for legal talent. According to the latest Law.com International rankings, firms like Latham & Watkins, Kirkland & Ellis, and Simpson Thacher & Bartlett now generate larger UK revenues than traditional British firms such as Clyde & Co, Macfarlanes, and Simmons & Simmons. Paul Weiss has also been making bold moves to capture market share in the City, achieving significant progress over the past year.
The competitive environment has forced even conservative firms like Slaughter and May to adapt. "Slaughters, which has traditionally stayed out of the hiring frenzy, made an unprecedented move this year, increasing junior lawyer salaries by 20% off-cycle," says Jonathan Taylor, London Director. "This came as a direct response to U.S. firms raising the bar on pay in London, pushing the Magic Circle firms—Slaughters, Linklaters, and Freshfields—to keep pace."
While U.S. firms dominate big-ticket corporate work, elite UK firms have maintained their distinct strategies. "Slaughters, for example, continues to focus on blue-chip clients outside of private equity," Taylor observes. "However, if U.S. firm hiring cools, we could see competition among UK firms intensify, creating new dynamics in the market."
The combination of attractive salaries, exceptional development programs, and reputation ensures both international and Magic Circle firms remain highly appealing to top talent.
Practice Areas to Watch in 2025
- United States: Litigation, corporate, funds, employment, cybersecurity, and environmental law.
- Asia: Projects, M&A, private equity, regulatory, disputes, and corporate workflow in Hong Kong.
- Australia: ESG, cybersecurity, renewable energy projects, banking and finance, and construction.
- United Kingdom: Trade and sanctions, secondaries, and leveraged finance.
Lawyer Mobility
Movement Across Major Legal Hubs
Lawyer mobility continues to play a key role in reshaping global talent pools.
“In Australia, demand for UK-qualified candidates remains limited,” notes Kevin Sinnott, Managing Director. “However, top-tier trained lawyers with a connection to Australia and a minimum of three years’ post-qualification experience may still be considered by some firms.”
For Australian lawyers interested in moving to London, Jonathan Taylor, London Director, adds: “Options remain limited, but lawyers with sufficient experience from top-tier firms in Corporate, Funds, or Leveraged Finance can explore opportunities at leading firms. In recent months, we’ve facilitated five placements of this kind.”
“In Singapore, all our clients remain open to considering the best candidates from around the globe,” says Sonia Taylor. “This reflects Singapore’s growing importance as a pan-Asian legal hub and its openness to top-tier global talent.”
In the US, Michael McGinnis observes a shift in movement: “Lawyers are increasingly relocating from higher-cost states to lower-cost ones, facilitated by the rise of hybrid and remote working arrangements.” Meanwhile, Taylor points out that “US-based lawyers continue to explore international opportunities, particularly at US firms in London and Asia. The tax-saving benefits in Hong Kong continue to draw attention from overseas lawyers.”
Returning expats will also play an important role in global legal recruitment. These professionals bring valuable international experience and often find strong opportunities back in their home markets.
Challenges for Law Firms
“Law firms need to demonstrate clear paths to partnership and define their cultural distinctions,” says McGinnis. Barbagallo highlights, “Associates prioritise diversity, ownership, and work-life balance. Meeting these expectations while maintaining performance is a major challenge.”
Sonia Taylor, Asia Director, highlights the impact of economic conditions: “Risk-averse candidates feel more comfortable when the economy is stable. The uncertainty in some markets has prompted more mid-level candidates to move in-house, seeking stability and a better work-life balance. This trend is creating a notable gap in the mid-level range, which many law firms are struggling to fill.”
In the UK, Jonathan Taylor, London Director, adds: “The continued focus on UK-trained and retained candidates means longer searches for the ideal candidates. This extended timeline adds pressure on law firms to either broaden their criteria or find ways to fast-track hiring processes.”
Challenges for Lawyers
Lawyers face their own set of challenges in navigating the highly competitive legal market. Jonathan Taylor, London Director, notes: “Getting clarity on promotion prospects and the path to partnership in new roles is essential. Associates need to evaluate their long-term growth potential before making a move.”
Stefano Barbagallo, New York Director, emphasises the complexities of the New York market: “The legal market in New York remains one of the most challenging and competitive globally. Increased competition, layoffs, pay wars, and evolving partnership models are reshaping BigLaw, turning it into a more ‘banking-like’ model. Associates must evaluate how firms invest and grow to make informed career moves.”
In Asia, Sonia Taylor adds: “It’s definitely a client’s market right now, with high competition for roles—especially at top-tier US firms that pay US rates. Candidates must stand out and be prepared for an intense hiring process.”
Opportunities in 2025
The legal market is entering 2025 in a significantly stronger position than the previous two years, presenting substantial opportunities for lawyers. This growth is fuelled by a surge in transactional work, declining interest rates fostering business confidence, the evolution of specialised practice areas, and ambitious BigLaw mergers and global expansion plans.
In 2024, law firms demonstrated exceptional financial performance, marked by rising demand, higher billing rates, and notable revenue growth—effectively overcoming the challenges of 2022-2023. The increase in M&A activity and related transactional practices has been a key driver of this success, with expectations of even greater momentum in 2025.
Law Firm Mergers and Expansion
“Firm mergers are unlocking unique opportunities for lawyers to join newly formed teams and take on leadership roles in transforming practice areas,” explains Jonathan Taylor, London Director. “For associates, these developments often mean greater access to cross-border matters and the chance to cultivate a diverse, international portfolio of work.” Transatlantic law firm merger discussions remain active, with several significant developments expected to materialise in the coming year.
In tandem with geographic growth, BigLaw firms are continually investing in practice areas such as ESG, cybersecurity, data privacy, and renewable energy. “Firms are diversifying their services and channelling significant resources into niche areas, presenting exciting opportunities for lawyers with expertise in these high-demand fields,” shares Stefano Barbagallo, New York Director. Lawyers with niche specialisations are well-positioned to leverage this demand for career advancement.
Demand for Mid-Level Associates
With inflation easing and interest rates on a downward trajectory, the strain on hiring budgets has lessened, leading to a gradual increase in sector vacancies. More newly created roles are entering the market, signalling renewed confidence in expansion.
While legal teams are growing, lessons from 2022-2023 have made recruitment processes more stringent. Leading firms are prioritising quality over speed, waiting for the right talent rather than rushing to fill positions. Naturally, they are favouring associates with slightly more experience who can hit the ground running, which means the majority of opportunities are expected to remain at the mid-level. Those with 3-5 years of experience hold the most power in the market. However, our London Director, Jonathan Taylor, is optimistic about a busier NQ market in the City as U.S. firms intensify competition for top junior talent.
As law firms innovate and expand, 2025 is shaping up to be a positive year for the legal profession.
As Kevin Sinnott concludes:
"The legal industry continues to undergo rapid transformation, driven by advancements in technology, evolving regulations, and shifting priorities. Law firms have proven themselves to be both innovative and profitable in the face of uncertainty. As we enter a new year, the outlook is promising. As legal recruiters, we remain committed to guiding our candidates through these evolving market conditions and connecting them with the best opportunities globally."
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