As 2025 approaches, the Hong Kong legal market is reflecting on a year of cautious resurgence and strategic transformation. The 2024 recruitment landscape was characterised by a gradual but meaningful recovery, marked by selective hiring, targeted practice group expansions, and a rollercoaster of market dynamics.
The year unfolded in distinct phases: A tentative January restart saw recruitment activity begin to pulse, with firms exploring talent in litigation, funds, and financial services. By March, a steady recruitment rhythm emerged, with a premium on candidates possessing robust bilingual skills and at least one year of post-qualification experience. The summer months brought a more pronounced uplift, particularly in transactional practices like M&A, private equity, and leverage finance. As October rolled in, the market showed increased vitality, with partner-level movements and strategic repositioning becoming the norm.
The ongoing recalibration of the legal market, marked by the closure of 14 U.S. law firms in mainland China since mid-2023, continues to reshape talent strategies. “The majority of the law firms closing in China, however, have confirmed that they remain very committed to Asia and are focusing their attention on other offices in the region whether that be in Hong Kong, Singapore, Seoul and Tokyo,” says Camilla Worthington, managing director of recruitment firm Worthington Legal.
U.S. law firms have had to adapt to market headwinds, moving to lean associate structures while leveraging regional opportunities across Asia. This has given the PRC and smaller UK firms the opportunity to attract top talent from American rivals.
“Many partners are attracted, in particular, by the model at PRC firms, which often gives them greater autonomy over fees, enabling them to offer the same service to their clients but at a lower cost,” Worthington says.
Consequently, language remains a critical differentiator in hiring strategy. "There has now for many years been a strong requirement for lawyers in Hong Kong to have strong Mandarin-language skills and this is only going to continue," Worthington emphasises.
The Greater Bay Area (GBA) Legal Professional examination has become a key credential, enabling lawyers to strengthen their competitiveness and tap into the vast potential of the GBA market.
The practice area landscape in 2024 was anything but static. Regulatory and dispute practices were in high demand. "Disputes teams are busy, and firms are interested in candidates that are versatile and able to work across commercial litigation, regulatory disputes, as well as arbitration matters," Worthington explains.
While sectors like M&A and leverage finance showed promising signs of recovery, capital markets showed slow growth, but Worthington sees positive signs in the future. “We are starting to see an uptick in workflow, and we anticipate that if it continues, firms may need to start to rebuild teams, albeit slowly,” she says.
Technological disruption emerged as a defining theme of 2024. All lawyers, whether in-house or within law firms, are going to need to embrace the use of generative AI, Worthington predicts. "It doesn't mean the demise of the profession," Worthington asserts, "just a transformation in the way certain tasks are undertaken to drive efficiency and productivity." Law firms have invested heavily in AI literacy, developing comprehensive upskilling programs and establishing robust risk frameworks in order to remain competitive.
“As client expectations evolve and clients are becoming more aware of the benefits of legal technology, they are going to want to see firms demonstrate how they are using technology to generally enhance service delivery,” Worthington says.
As a result, recruitment strategies underwent significant evolution. "With the increase in technology and firms working with leaner teams," Worthington notes, "there is greater pressure on candidates to demonstrate not just technical skills, but strong interpersonal abilities and the capacity to become trusted advisors to clients."
The traditional allure of high salaries continued to wane while work-life balance, personal growth, and meaningful career trajectories took centre stage. “As has been the case for many years, mid-level candidates continue to want to move in-house, seeking greater stability and work-life balance together with less pressure from billing targets,” Worthington explains.
As we enter 2025, the legal market appears poised for cautious optimism. The year promises continued selective hiring, focusing on versatile lawyers who can navigate complex technological and regulatory landscapes. Firms are expected to prioritise candidates who can demonstrate adaptability, technological proficiency, and cross-border expertise.
Worthington explains that due to limited number of roles in the Hong Kong market against the large number of available candidates, securing a role in a top-tier firm is incredibly competitive.
“Candidates should expect a rigorous interview process that will look at their analytical skills, strategic approach as well as the ability to communicate clearly and concisely in both English and Chinese. Written tests and case studies are becoming the norm,” she says.
