COLLAPSED bank Lehman Brothers has asked its London in-house legal team to stay on to help with administration, despite the fact that most will eventually face the axe.
As reported in The Lawyer, the 70 lawyers in Lehman’s London office have been asked to stay on for several months to assist PricewaterhouseCoopers with the administrative process. However, according to a Lehman insider, it’s been made clear that the only legal positions that are likely to be retained over the longer term are those in parts of the business that are sold off.
There was initially some uncertainty as to whether the London lawyers would be paid for the month of September, because the bank operated a no-cash policy in the UK, transferring money to the US operation at the close of each day. However those rumours were quickly put to rest by PWC which issued a statement confirming that all lawyers would be paid.
According to The Lawyer, UK legal recruiters have been flooded with CVs from Lehman lawyers in past weeks, with many looking to move into private practice firms. All up, there are about 200 staff in Lehman’s UK legal compliance and audit department.
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