X

Thank you for sharing!

Your article was successfully shared with the contacts you provided.

The members of any collective—whether citizens of a country or em ployees of a company—have essentially two possible responses when they perceive that the collective is stagnating or declining in quality. They can "voice" their concerns in the hope that the leadership will adapt and change. Or, depending upon their options, they can "exit." That was the key analytical insight of the influential treatise Exit, Voice, and Loyalty, published in 1970 by economist Albert O. Hirschman. The willingness of members to voice or exit is influenced by how much loyalty they have to the collective. If there is a large reservoir of goodwill, the leadership has more latitude to learn from its mistakes, enabling voice to play its proper role.

Hirschman’s insights can be applied to law firms, and in particular to the decisions of partners to leave one firm and join another. Since 2000, more than 30,000 partners in the big-firm sector have moved from one organization to another. At the typical Am Law 200 law firm, some 4.6 percent of the partnership laterals in each year while 3.0 percent laterals out, though the rates vary widely by firm and by year.

This content has been archived. It is available through our partners, LexisNexis® and Bloomberg Law.

To view this content, please continue to their sites.

Not a Lexis Advance® Subscriber?
Subscribe Now

Not a Bloomberg Law Subscriber?
Subscribe Now

Why am I seeing this?

LexisNexis® and Bloomberg Law are third party online distributors of the broad collection of current and archived versions of ALM's legal news publications. LexisNexis® and Bloomberg Law customers are able to access and use ALM's content, including content from the National Law Journal, The American Lawyer, Legaltech News, The New York Law Journal, and Corporate Counsel, as well as other sources of legal information.

For questions call 1-877-256-2472 or contact us at [email protected]

 
Reprints & Licensing
Mentioned in a Law.com story?

License our industry-leading legal content to extend your thought leadership and build your brand.

 

ALM Legal Publication Newsletters

Sign Up Today and Never Miss Another Story.

As part of your digital membership, you can sign up for an unlimited number of a wide range of complimentary newsletters. Visit your My Account page to make your selections. Get the timely legal news and critical analysis you cannot afford to miss. Tailored just for you. In your inbox. Every day.

Copyright © 2021 ALM Media Properties, LLC. All Rights Reserved.