Partner Promotions in Latin America Reach a Historic Low: What’s Behind It?

The Latin American legal sector is undergoing a period of significant transformation, as clearly reflected in the decline in partner promotions within law firms, which have reached their lowest point in the past three years, according to a recent report by Latin Lawyer. This trend is driven not only by economic fluctuations and structural changes within firms but also by a fundamental shift in the aspirations and expectations of modern lawyers.

These figures not only highlight a concerning trend for the legal sector in the region but also raise questions about the internal dynamics of firms, the representation of women in leadership positions, and the structural challenges facing the industry. In a global context where diversity and inclusion should be top priorities, this decline in partner promotions invites reflection on the current state of the Latin American legal market and its future.

A downward trend: what explains this phenomenon?

According to Latin Lawyer’s analysis, 2024 saw a significant drop in the number of lawyers promoted to partner across firms in the region, reaching a low of 118 by December last year. This decline is not an isolated event but rather part of a trend that has been consolidating over recent years, following a peak of 210 in 2021, based on reports of partner promotions submitted to the publication. But what is behind this reduction? The causes are multiple and complex.

Firstly, global and regional economic uncertainty has led many firms to adopt a more conservative approach to growth. Inflation, currency fluctuations, political instability, and the economic slowdown following the post-pandemic “rebound effect” in various Latin American countries have directly impacted firm budgets, which could explain greater caution when promoting new partners. Additionally, competition in the legal sector is fiercer than ever, prompting some firms to prioritise client retention and operational efficiency over expanding their leadership structures.

Another factor that cannot be overlooked is the shift in expectations among younger lawyers. New generations of legal professionals seek a better work-life balance and do not always view partnership as a top career goal. This cultural change, combined with the growing demand for workplace flexibility, may be influencing the availability of candidates willing to take on the responsibilities and pressures associated with the partner role.

Women’s representation: a persistent challenge

One of the most concerning aspects of Latin Lawyer’s report is the persistent gender gap in partner promotions. Although significant progress has been made in recent years regarding diversity and inclusion, women remain underrepresented at the highest levels of law firms in the region. This issue is not unique to Latin America, but in countries such as Mexico, Brazil, and Argentina, the disparity is particularly stark. This is evident, for example, in the number of female partners who receive rankings in directories such as Chambers and Partners or Legal 500—a recurring demand whenever new rankings are published.

In Mexico, for instance, women make up only 25% of partners in major law firms, according to Latin Lawyer data. In Brazil, the figure is slightly higher but still insufficient, with just 30% female representation in leadership positions.

The causes of this gap are multifaceted. Cultural barriers and gender stereotypes continue to hinder women’s progression into leadership roles. Furthermore, the lack of clear and effective policies to support female lawyers in their professional development—particularly regarding work-life balance—remains a significant obstacle. Additionally, the absence of female role models in leadership positions may discourage younger women from aspiring to these roles.

Some countries have fallen behind

The Latin Lawyer report also highlights significant differences between countries in the region regarding partner promotions. While some nations, such as Colombia and Peru, have made notable progress in diversifying their leadership structures, others, like Mexico and Argentina, appear to be lagging.

In Mexico, for example, power is concentrated in a small group of traditional firms, limiting opportunities for lawyers from other firms or those with less conventional profiles. This lack of internal mobility, combined with a more conservative corporate culture, has contributed to the decline in partner promotions. In Argentina, meanwhile, recurrent economic crises have forced many firms to downsize and be more selective in their promotions, negatively affecting the professional growth of many lawyers.

A call for reflection and action

The decline in partner promotions in Latin America is not just an indicator of the economic and structural difficulties facing the region; it is also a reflection of deeper challenges within the legal sector. The lack of female representation in leadership roles, cultural barriers, and disparities between countries are symptoms of a broader issue that requires immediate attention.

If Latin American law firms want to remain competitive in an increasingly diverse and inclusive global market, they must take concrete steps to address these issues. This includes not only implementing gender equity and diversity policies but also rethinking their business models and leadership structures to adapt to the new realities of the market.

These figures should serve as a wake-up call for the industry. This is not just about numbers or statistics—it is about the future of the legal profession in the region. Are we willing to continue perpetuating a system that leaves so much talent behind, or are we prepared to build a fairer, more diverse, and sustainable sector? The answer to this question will not only define the trajectory of law firms in the region but also their relevance in a world that increasingly demands inclusion and equity.