Curious about the state of the Asia legal market? We revisited the region with the folks at Lateral Link to answer your burning questions.
It seems like just yesterday that BigLaw firms began their aggressive expansion into the Asia legal market on a mission to best service their multinational clients. Over the last 40 years, we’ve seen growth efforts in the region come in waves. At present, there’s no two ways about it; the tide is at a low, with at least ten prominent US law firms retreating from the Greater China region since June 2023. At the same time, others have made the decision to downsize. So, the question on many folk’s lips at the moment is what the decline in activity in Asia signals for the future of BigLaw in the East, and whether there’s hope that things may yet pick up again…
To piece together what’s going on, and to find out what associates with hopes of lateraling eastward can do, we caught up with Justin Flowers, Evan Jowers, and Tina Lee Jebely at legal search firm Lateral Link to find out more.
Unpacking it
There are a multitude of factors currently affecting BigLaw operations and investment in Asia. Of course, Asia is a massive continent; the Asia legal market is made up of numerous jurisdictions, each with their own distinct practices. One of the most prominent BigLaw areas in Asia is the Greater China region, and at present, it’s no secret that US-China relations aren’t at their best. Tina Jebely notes: “The tensions between the US and China are real. We’ve seen a retreat of American firms from mainland China and a couple from Hong Kong.” The tensions have necessitated that law firms operate under varying levels of uncertainty, depending in part on practice area focus, which has subsequently led to a number of withdrawals from the market. As such, lateral hiring activity has taken a hit.
“Looking at Q4 last year, there were traditional markers of a rebounding economy here in Hong Kong.”
Offering further insight into the downturn, Justin Flowers also highlights the fact many countries in East Asia “have taken longer to recover economically than other countries post-Covid.” Adding a hopeful spin, he notes, “We are now building back up to a solid level.” Jebely expands, “Looking at Q4 last year, there were traditional markers of a rebounding economy here in Hong Kong. We saw higher rates of IPO activity and lower interest rates. That means more borrowing, more debt capital markets activity, and ultimately, more work for firms that have the right footprint in the region,” she explains.”
Zooming out of the Greater China region, Evan Jowers explains that further afield, “Japan and India have been very hot markets, so those involved in those markets are doing pretty well.” Over the past couple of years, India has made moves to deregulate its legal market, though we are yet to see an influx of BigLaw firms into the country. As Jowers explains, “India still isn’t a strong market for on the ground BigLaw foreign law firm offices, as they’ve only just opened up and there are still a lot of regulatory hurdles. So the India practice groups at major international firms are concentrated mainly in Singapore and to a lesser extent Hong Kong, as well as London, Dubai, and US markets.” Japan, on the other hand, has seen a flurry of M&A, private equity, and real estate activity, thanks to its ultra-low-interest rate environment. Its status as a pivotal international lender also puts it ahead for finance-related work. Flowers explains, “Japan has kind of been doing its own thing. It has closer ties to the US so there is less risk there. There has been a lot more acquisition activity, private equity, and large international deals humming along in the background.”
“We’re seeing a strategic pivot.”
While ongoing US-China tensions and the remaining regulatory hurdles in India have stunted certain markets, they’ve also created opportunities for others to flourish. Many international firms continue to focus their efforts on Singapore, which has made it akin to a hub for the Southeast and South Asia legal markets. Jebely tells us, “We’re seeing a strategic pivot. Firms that historically concentrated on China are now focusing on Singapore as a Pan-Asia hub. In some ways, it’s a hedge against the uncertainty in the Greater China region. We have even seen people move to Singapore as a kind of retreat hub. This is especially the case for those in capital markets, funds, litigation, and project finance.” She adds, “In black and white terms, Hong Kong offices tend to have more of a China focus, and Singapore has Southeast Asia, including India.”
It's also worth mentioning that while many BigLaw firms may be retreating from the region, it’s not a blanket indication that all industries in the area are on the decline. “Domestic companies in Southeast Asia have been growing in both size and scale and then taking their business internationally,” Flowers explains, “These countries have also opened up from a regulatory perspective to allow more external advisory and capital investment,” meaning more work for those operating out of Singapore. As far as hiring activity goes, “We are seeing mid- to senior-level associates generating relationships and bringing in some smaller ticket items as part of their practice,” Flowers notes.
Practice area activity
“…a big uptick in hiring activity…”
According to Jowers, the practice areas which make for a desirable lateral move to the Asia market “are no different than they’ve always been. It’s still the core areas of M&A and capital markets that are the most in-demand over the long-term.” Flowers seconds this, adding that on top of those, “It’s private equity, transactional work, and big-ticket disputes we’re seeing the most hiring in. We are also starting to see international trade.” Promisingly, he also notes that “over the last six months, there has been a big uptick in hiring activity compared to 2023 and the first half of 2024.”
Almost unanimously, all three interviewees agreed that government enforcement work is on the rise, thanks to the current political climate. “This practice area is going to become even more important as the Trump administration focuses FCPA enforcement on foreign companies and away from US companies,” Jowers underlines, “Government enforcement work plays into US investigations abroad, as international firms may be representing companies that are connected to the US for the first time, either listing there or being bought up.” To this, Flowers adds, “the FCPA has broadened into white collar, anti-corruption etc. International clients will, and want to, pay western rates to save businesses or save big acquisitions against the government.” Ultimately, what this means is that things are looking good for people with experience in FCPA investigations and white-collar crime. “There is demand for them, and there aren’t many!” Jebely highlights. In fact, “Right now, in the US and UK firms operating in Singapore, there are only a couple of partner level US trained litigators that focus on investigations,” Jowers notes, “I think that is an area that is going to expand in Asia, although may be going through a transition and even shrinking in the US markets.”
What firms are looking for
First things first, our interviewees were keen to note that there’s no specific person who fits the mold for Asia. “Just because someone’s of a certain background doesn’t mean they’re going to land a job in Singapore that they couldn’t get in New York,” says Jowers. The competition is much higher in Singapore than in other regions, he explains, as English is the only necessary language. “For those who don’t speak Mandarin, Korean or Japanese, Singapore is a great option,” he elaborates, “So for anyone trying to relocate, it’s a tough market to crack because, in theory, anyone with a strong deal sheet and JD pedigree can compete for a Singapore role. Hiring partners are though very selective and if there is not a strong personal connection to Singapore, the candidate will have to be very convincing as to why they are committing to the Singapore market long-term, both professionally and personally.”
The Korean market, on the other hand, is more likely to require Korean language skills at a native level, as “it’s a very specialized market,” Jebely informs us. If you meet the language requirement, she emphasizes that “there is opportunity for foreign educated associates.” This gives rise to “a trend of Native Korean associates who trained in the US or UK coming back to Korea.” The Japan market is similar, where firms are looking for US qualified associates that speak Japanese. Jowers says though “native Japanese is almost never required, with Japanese business fluency as a second language being fine, for various reasons, including the lack of native Japanese speakers in US law schools.”
While LinkedIn may not be the sole factor in landing a role, it’s a powerful tool to showcase your expertise, career trajectory, and unique value to both future employers and potential clients. It also keeps you plugged into the market, allowing recruiters to reach out with market insights and opportunities you might not have considered.
“…relatively small and busy overseas US law firm offices provide a platform for junior to mid-level US associates to have much more responsibility than in major US markets.”
Jowers says, “Keep in mind that relatively small and busy overseas US law firm offices provide a platform for junior to mid-level US associates to have much more responsibility than in major US markets. In Asia markets, US associates will have more responsibility in running high profile deals than in New York, for example. Also, in Asia markets some senior US associates take on a substantive role in helping their supervising partners to develop and maintain institutional client relationships. During the interview process, usually in the first round and within 10 minutes, hiring partners can get a good sense of whether the US associate candidate has the social and professional maturity to be able to handle a higher responsibility role with less structure than they have in their current US market.”
Good grades and a strong academic background will open the door but what sets you apart is the quality of transactions on your deal sheet and the role you played in them. As Jebely explains, “Being able to say, ‘These are the transactions I worked on, and this is how I took the lead,’ will help you stand out. Firms are looking for proactive, dynamic associates who can prove their ability to drive deals forward and make partner’s lives easier.”
Jebely believes, “People come to Asia because they’re looking for a new kind of adventure, experience, and the dynamism from working in a global financial hub like Singapore or Hong Kong.” Flowers also advises, “long term you should look at where you are developing your skillset, building your practice, and what the professional world holds. Make sure to keep an eye on the trends!”
Making your move
So, when do you make your move? Jebely informs us that the three-to-five-year mark is the most appealing to firms, but also a great time to move in terms of your career trajectory. “There is a lot of demand for those in that bracket as you have the amount of experience where you can work by yourself without too much supervision.”That said, more senior moves are also common. “Partners may be looking for someone with five or more years of experience, an associate or counsel who can hit the ground running, manage deals and clients, and act as a deputy,” she notes.
“…it’s about playing a longer-term game and sticking with it.”
Flowers underscores that flexibility on your timeline is critical to success. “It’s not a great market to come into with a strict timeline,” he forewarns. Patience is key, as “the hiring process is longer right now and hiring firms will be doing diligence at a level we haven’t seen in around 15 years. At the moment, it’s about playing a longer-term game and sticking with it.”
Why Asia?
One perk of moving to Asia, Jebely notes, is that as “the offices are smaller, and deals are leanly staffed, so you have the opportunity to work on transactions with partners closely.” She goes on to highlight that “in terms of sponsorship and partners vouching for you, which is necessary for making it to partner, this can be incredibly helpful.” Aside from this, “They can also mentor you in terms of helping you grow your skills and managing practices.” She tells us, “It’s worth exploring options to work abroad as it just makes your deal sheet and life experience so much broader and richer. It makes you a better partner in the future, being able to know the market standard in both the US and Asia.”
“I don’t think there’s anywhere else I would rather live!”
Aside from the work, there are some massive lifestyle factors at play as well. “I don’t think there’s anywhere else I would rather live!” Flowers laughs. For the jet-setters out there, “It’s pretty unparalleled being able to get on a flight for a couple of hours and go to Singapore, Tokyo, or even Australia! In the US, you have such a longer way to go to leave the country.” Thanks to the tropical climate, and the proximity to other destinations, those living in large Asian markets are often afforded the opportunity to routinely do things that you’d otherwise likely only do once or twice a year in the States – think hikes and holidays. In a similar vein, Jebely notes, “Hong Kong is a concrete jungle in central, but if you travel about 30 minutes out of the city it’s so tropical – it looks like Thailand!” In jest, she adds, “In Hong Kong, people even work while getting a foot massage… When I heard about that, I knew I needed to move!” Sign us up.
What now?
As Flowers aptly highlights, “The current US administration is not making it easy for people to get their footing and glean perspective on what’s going on.” However, despite recent reshuffles, the main takeaway is that things are “stabilized in a way they haven’t been in a long time despite recent disruptions.” Owing to the lack of hiring movement in recent years, Flowers believes that once things bounce back, hiring will be rife to refill roles.
