Corporate legal teams across the U.S. are ditching the traditional law firm secondee model in favor of interim counsel hires, unlocking significant cost savings and operational agility amid tightening budgets and rising workloads. According to a September 2025 report from Major, Lindsey & Africa (MLA), this pivot is driven by frustrations over secondees’ limited value—often requiring extensive training that erodes their efficiency—while interim attorneys deliver seasoned, plug-and-play support for complex projects. As legal departments retreat from secondees and spend more on interim counsel, this trend signals a broader evolution in how in-house counsel manage external talent, potentially reshaping the $100 billion legal services market.
With 85% of legal leaders prioritizing outside counsel spend control in 2025, per Thomson Reuters, companies are reallocating budgets to interim roles that promise faster ROI and fewer disruptions. Early adopters report 20-30% reductions in project timelines and costs, making this strategy a go-to for navigating economic headwinds.
Why Secondees Are Falling Out of Favor: High Costs, Low Returns
Secondees—typically mid-level associates (3rd-5th year) loaned from law firms for 6-12 months—were once a staple for bridging in-house gaps during surges in M&A, litigation, or compliance demands. However, their drawbacks have become glaringly apparent in a post-pandemic era of hybrid work and fiscal scrutiny.
Navy Binning, a managing director at MLA, highlights the core issue: “Although secondees are meant to function like a full-time attorney and provide relief for the in-house team, many clients find they provide only limited utility and require so much training that the costs outweigh the benefits.” These young lawyers, often siloed in firm practices, arrive with narrow expertise and need weeks to acclimate to a client’s culture, systems, and priorities. Billing rates, hovering at $500-800/hour, amplify the pain when productivity lags.
A 2025 MLA survey of 200 general counsel revealed 62% viewed secondees as “moderately effective” at best, with 40% citing integration challenges as a deal-breaker. In one anonymized case, a Fortune 500 tech firm spent $250,000 on a six-month secondee for regulatory filings, only to redo half the work due to unfamiliarity with internal tools. Firms like Kirkland & Ellis and Latham & Watkins have seen secondee requests drop 25% year-over-year, per internal metrics.
This retreat aligns with broader cost-control pressures: Nearly 60% of departments lack formal outside counsel guidelines, leading to unchecked spending spikes. As workloads balloon—up 15% from AI-driven compliance and ESG reporting—legal ops leaders are seeking alternatives that minimize ramp-up time.
The Rise of Interim Counsel: Seasoned Pros for On-Demand Wins
Enter interim counsel: Experienced attorneys (often 15+ years PQE) hired directly for targeted engagements, bypassing law firm intermediaries. These “fractional GCs” or project specialists bring battle-tested skills in areas like IP disputes, mergers, or data privacy, integrating swiftly without the hand-holding.
MLA’s 2025 Interim Legal Talent Snapshot underscores the appeal: Demand for interims surged 35% in H1 2025, fueled by economic uncertainty and hiring freezes. Unlike secondees, interims command flat fees ($300-600/hour) or project caps, yielding 20-40% savings over traditional staffing. Providers like Legalpeople Group emphasize streamlined onboarding—handling conflicts and NDAs pre-start—to ensure day-one productivity.
Consider a Midwest manufacturing giant that swapped a $400,000 secondee stint for a $280,000 interim contract in 2024: The interim, a former deputy GC, resolved a supply chain litigation in three months versus six, per MLA case studies. Firms like Carpenter Wellington report clients converting 30% of interims to permanent roles, adding retention value.
| Staffing Model | Avg. Cost (6-Month Project) | Ramp-Up Time | Expertise Level | Flexibility |
|---|---|---|---|---|
| Secondee | $300K-$500K (billed hourly) | 4-6 weeks | Mid-level (3-5 yrs) | Low (firm-dependent) |
| Interim Counsel | $200K-$350K (project-based) | 1-2 weeks | Senior (15+ yrs) | High (on-demand) |
Data from MLA and Thomson Reuters shows interims excelling in speed and ROI, with 78% of users reporting “immediate impact.”
Driving Factors: Budget Crunch, Tech Lag, and Strategic Shifts
Several forces propel this transition. First, budgetary pressures: 82% of departments are “proactive” on outside spend management, yet 71% lag in adopting time-saving tech like AI contract review, per Thomson Reuters’ 2025 Legal Department Operations Index. Interims bridge these gaps affordably, handling spikes without long-term commitments.
Second, evolving ops: Legal departments are morphing into “strategic partners,” delegating non-core tasks to ops pros while focusing on business-aligned counsel. Interims fit this model, offering niche expertise (e.g., cybersecurity amid 2025’s data breach wave) without bloating headcount.
Finally, market dynamics: With BigLaw rates up 8% in 2025, per Legal Dive, CLOs are boosting overall outside spend by 5-10% but channeling it smarter—toward interims over juniors. A July 2025 survey by LegalBillReview.com found 55% of GCs struggling with enforcement, accelerating the shift.
Expert Insights and Industry Buzz
Navy Binning advises: “Interim attorneys are tenured; most have 15+ years of experience. Many… have even been general counsel.” Brian Arbetter of LegalBillReview.com echoes: “Even high-functioning teams miss billing errors… stretched too thin.” On X, #LegalOps threads buzz with GCs sharing wins: “Ditched secondees for interims—saved 25% and got expert-level work. Game-changer.”
Challenges persist: Sourcing top interims requires networks like MLA’s, and cultural fit demands vetting. Yet, 2025’s “Ten Things” guide for in-house counsel flags this as essential for agility.
Why It Matters for U.S. Businesses: Efficiency, Innovation, and the Bottom Line
For American companies, this retreat from secondees empowers leaner legal ops, freeing GCs for high-value strategy amid AI disruptions and regulatory flux—key 2025 themes per LexisNexis. Economically, it curbs the $50M+ annual outside spend leakage reported by high-spenders. Lifestyle perks? Less burnout from training juniors, more focus on work-life balance.
Politically neutral but timely under Trump’s deregulatory push, it aligns with broader efficiency mandates. Globally, U.S. trends influence multinationals, as seen at 2025 conferences like ACC’s Annual Meeting.
Conclusion: A Smarter Path to Legal Resilience
As legal departments retreat from secondees and spend more on interim counsel, the message is clear: Flexibility trumps tradition in a resource-strapped world. This shift not only slashes costs but elevates in-house teams to strategic powerhouses, ready for 2025’s complexities. GCs: Audit your staffing now— the interim era promises efficiency without compromise. With legal departments secondees retreat, interim counsel spend increase, in-house legal staffing trends 2025, MLA legal talent report, and outside counsel cost control strategies leading the charge, the future of corporate law looks leaner and meaner.