A&O Shearman, the newly merged firm of Allen & Overy LLP and Shearman & Sterling LLP, announced Friday that it plans to reduce its global partnership by approximately 10% as part of a sweeping cost-cutting initiative. This move comes as the firm seeks to streamline operations and maximize the synergies from its transatlantic merger.
A&O Shearman to Cut 10% of Partners : Partnership Cuts and Office Closures
The firm revealed that the partnership cuts will be completed by the end of its financial year, which runs until April 30. With nearly 800 partners in place after the merger, around 80 partners could be affected by these reductions. Along with the partnership cuts, A&O Shearman also plans to shutter its Johannesburg office, which was originally launched by Allen & Overy a decade ago. The office is expected to close by the end of December.
In addition to these measures, the firm announced the closure of its consulting business, Consulting by A&O Shearman, by the end of this calendar year. These changes come as part of broader efforts to ensure the merged firm is operating as efficiently as possible.
A&O Shearman to Cut 10% of Partners : A Difficult but Necessary Step
Hervé Ekué, managing partner at A&O Shearman, emphasized the challenges in making these decisions. “We are actively engaged in post-merger integration and already see the benefits of synergies and additional opportunities to assist our clients on high-profile international matters, which underpinned the rationale for the merger,” Ekué said in a statement.
