Graduate Hiring Falls at Major Australian Law Firms. Is AI Changing the Future of Legal Careers?

Some of Australia's leading law firms are reducing their graduate intakes for 2027, raising questions about the future of entry-level legal careers as artificial intelligence begins transforming the work traditionally undertaken by junior lawyers.

For generations, securing a graduate position at a major law firm has been one of the most sought-after pathways into the Australian legal profession.

But new recruitment figures suggest that pathway may be becoming more competitive.

According to firm-supplied figures published by legal industry publication Point Blank:

Clayton Utz will recruit 64 graduates in 2027, down from 72 in 2026, representing an 11.1% reduction.

Corrs Chambers Westgarth is reducing its intake from 99 to 90, a 9.1% decline

Allens expects approximately 95 graduates, compared with 96 the previous year.

Ashurst Perkins Coie is also reducing its intake, from 86 to 83.

However, the picture is not consistent across the profession.

Mallesons is increasing its graduate intake from 94 to 98, while Gilbert + Tobin is maintaining its intake at 62.

The figures highlight an uneven graduate recruitment market, with some leading firms scaling back opportunities while others continue to invest in early-career talent.

Is artificial intelligence changing graduate recruitment?

The reductions come as Australian law firms increasingly adopt AI-powered technology capable of assisting with legal research, document review, drafting and other tasks traditionally performed by junior lawyers.

Earlier this year, MinterEllison reportedly reduced its graduate intake by almost one-third to 72, with the growing use of AI in routine legal work identified as one contributing factor.

However, graduate recruitment decisions are influenced by multiple factors, including business demand, previous recruitment levels and workforce planning.

There is insufficient evidence to conclude that AI is responsible for the reductions across all firms. What is becoming increasingly clear is that technology is changing the skills and experience expected of lawyers entering the profession.

What does this mean for aspiring lawyers?

For law students and graduates, the implications extend beyond competition for positions.

As AI becomes embedded in legal practice, employers may place greater emphasis on critical thinking, commercial awareness, technological competence and the ability to exercise independent judgement. The traditional model of learning through repetitive research, drafting and document review may also need to evolve.

This presents a challenge for law firms.

While AI can improve efficiency and reduce time spent on routine tasks, those tasks have historically provided junior lawyers with opportunities to develop foundational legal skills. Firms must therefore consider how the next generation will acquire the experience required to become senior associates, special counsel and ultimately partners.

LawUno Insight

The future of graduate recruitment may not simply be about how many lawyers firms hire. It may be about how those lawyers are trained.

Artificial intelligence offers significant opportunities to improve legal service delivery, but efficiency gains must be balanced against the profession's responsibility to develop future talent.

For aspiring lawyers, adaptability and technological fluency will become increasingly valuable alongside traditional legal knowledge.

For employers, the challenge will be ensuring that today's technological advancements do not weaken tomorrow's legal workforce.

If AI is taking over the work junior lawyers traditionally learn from, how will Australia's next generation of lawyers gain the experience they need?