After a slower start to 2024, H2 was extremely busy for most attorneys and many firms have had record years. What does 2025 have in store?

It should be a better year…

All indications are that 2025 will be a strong year for lateral associate hiring.

• Increased M&A and Private Equity deal flow has finally translated into increased opportunities for associates and we are starting to see considerable lateral movement. We are expecting an explosion in movement once the final Big Law firms pay out bonuses.

• We expect hiring activity in practice areas that support M&A—such as Exec Comp, Tax, and Tech Transactions—to pick up in Q1 2025.

• Hiring in the energy sector will continue in 2025. There seemed to be a slight drop in movement in Q4 2024 – however, this is most likely due to the incredible demand and movement earlier on in the year. We are likely to see another round of moves in Q1 and Q2. There are some concerns about the impact of a new administration potentially repealing parts of the Inflation Reduction Act, which promised billions in investments towards clean energy and climate-related projects. However, several drivers of increased energy demands, such as the AI boom, will mean that demand for Project Finance, Development, M&A and Tax specialists will likely remain high.

• Capital Markets activity is expected to increase after a very flat 2024.

• Regulatory changes resulting from a change in administration should keep lawyers in this practice area busy.

The impact of partner hires

For firms that have pursued—and are continuing to pursue—an aggressive lateral partner hiring strategy, we expect to see lots of lateral recruitment (both in and out) at associate level. 2024 was a record year for lateral partner moves and 2025 shows no sign of slowing. When firms add lots of partners and they bring team members with them, it can have a huge impact on the culture of the firms that they are leaving and joining. This was cited as one of the top reasons for associates wanting to move firms in 2024.

Return to office policies

Most firms have returned to a model of requiring four days per week in the office, although some firms have still retained the 3/2 hybrid model. Fully remote roles are now incredibly rare and, barring a few exceptions, are only possible on an ad hoc basis. Most recently some firms have pushed towards requiring five days in the office. We expect this to be an extremely contentious topic for associates in 2025.

If you are an associate looking to make a move in 2025, please get in contact with one of our US team.