Seyfarth Shaw is letting go of approximately 40 people, 20 lawyers and 20 staff. It’s been rough over at Seyfarth over the past year and they’ve taken several steps to keep costs down. In December, the firm cut salaries as part of a move toward merit based compensation. In November, it re-deferred half of its already deferred first years for an entire additional year, while cutting the salaries of the first years lucky enough to actually start working. In August, the firm announced that it would not have a summer program in 2010 and in May, Seyfarth laid off 50 people and cut some salaries.

Chicago’s Seyfarth Shaw LLP is a full-service law firm founded in 1945. It has ten offices, nine of which are in the United States. The firm is well known for its labor and employment, employee benefits, litigation and business services.