Thursday, July 14, 2011

The Lawyer Surplus, State by State

By: CATHERINE RAMPELL11:35 a.m. | Updated to include more detail on and caveats for estimates for Wisconsin and Washington, D.C.


We’ve written before about the tough job market for recent law-school graduates. The climate is hard partly because of the weak economy, but also partly because the nation’s law schools are churning out many more lawyers than the economy needs even in the long run.

Now a few researchers have tried to quantify exactly how big that surplus is.

The numbers were crunched by Economic Modeling Specialists Inc. (also known as EMSI), a consulting company that focuses on employment data and economic analysis. The company’s calculations were based on the number of people who passed the bar exam in each state in 2009, versus an estimate of annual job openings for lawyers in those states. They also looked at data from the Department of Education on law school graduates each year to get another measure of the quantity of new lawyers. Estimates for the number of openings [are] based on data from the Bureau of Labor Statistics and the Census Bureau.

According to this model, every state but Wisconsin and Nebraska (plus Washington, D.C.) is producing many more lawyers than it needs. (See table after the jump for full data, and additional caveats.)

In fact, across the country, there were twice as many people who passed the bar in 2009 (53,508) as there were openings (26,239). A separate estimate for the number of lawyers produced in 2009 — the number of new law-school graduates, according to the National Center for Education Statistics — also showed a surplus, although it was not quite as large (44,159 new law grads compared with 26,239 openings).

In raw numbers, New York has the greatest legal surplus by far.

In 2009, 9,787 people passed the bar exam in the Empire State. The analysts estimated, though, that New York would need only 2,100 new lawyers each year through 2015. That means that if New York keeps minting new lawyers apace, it will continue having an annual surplus of 7,687 lawyers.

California and New Jersey have the next largest gluts of new lawyers, according to EMSI.

As noted above, not every state is overproducing lawyers. Nebraska appears to have a small deficit of lawyers. Wisconsin is also listed as having a deficit according to the number of people who passed the bar exam, but the bar-passers figure may not be a good metric (as noted by many readers in response to an earlier version of this post). Graduates of University of Wisconsin Law School and Marquette University Law School, in Milwaukee, do not have to take the bar exam in order to practice law, so there may be many new lawyers not counted in this figure. Note that the Education Department’s figures for the number of people who completed law school in Wisconsin is far higher, and would indicate that Wisconsin too has a surplus of new attorneys.

The place list with the biggest shortage is the District of Columbia, which is projected to have 618 new jobs opening annually for lawyers for the next few years, but had only 273 bar-passers in 2009. But as several readers observed in the comments, the District of Columbia waives in lawyers who are barred in other states, meaning that these figures probably underestimate the number of newly-minted lawyers in the nation’s capital. (If you know how to calculate a better estimate for this figure, please e-mail us.)

The District of Columbia has the highest median wage for lawyers in the country: $70.96 an hour.

2010-15 Est. Annual Openings 2009 Bar Exam Passers 2009 Completers (IPEDS) Surplus/Shortage Median Wages
New York 2,100 9,787 4,771 7,687 $56.57
California 3,307 6,258 5,042 2,951 $50.61
New Jersey 844 3,037 787 2,193 $43.84
Illinois 1,394 3,073 2,166 1,679 $51.54
Massachusetts 715 2,165 2,520 1,450 $43.89
Pennsylvania 869 1,943 1,697 1,074 $46.05
Texas 2,155 3,052 2,402 897 $41.55
Florida 2,027 2,782 2,781 755 $36.39
Maryland 560 1,277 548 717 $41.46
Missouri 362 943 908 581 $39.96
Connecticut 316 880 510 564 $43.69
North Carolina 503 1,032 279 529 $37.79
Minnesota 378 888 948 510 $43.69
Ohio 686 1,194 1,513 508 $34.69
Georgia 779 1,217 894 438 $46.11
Colorado 547 967 509 420 $40.83
Virginia 956 1,375 1,435 419 $49.34
Louisiana 357 731 810 374 $33.35
Tennessee 389 735 446 346 $37.34
Washington 619 935 678 316 $37.37
Oregon 291 594 519 303 $34.51
Indiana 339 602 825 263 $32.48
South Carolina 262 506 410 244 $33.03
Kentucky 261 478 389 217 $34.39
Nevada 219 392 143 173 $40.32
Arizona 440 607 378 167 $37.51
New Mexico 134 298 114 164 $29.78
Michigan 862 1,024 1,993 162 $35.22
Kansas 190 351 296 161 $31.16
Alabama 295 455 406 160 $37.98
Iowa 155 290 556 135 $32.16
Rhode Island 102 209 184 107 $39.65
Hawaii 76 179 88 103 $33.70
Mississippi 173 268 335 95 $28.86
Utah 308 401 283 93 $37.04
W. Virginia 100 191 152 91 $32.51
Montana 81 163 83 82 $24.96
Maine 75 153 91 78 $29.70
Arkansas 152 227 243 75 $30.83
Wyoming 40 113 80 73 $29.86
New Hampshire 92 154 146 62 $30.84
Oklahoma 326 387 489 61 $29.56
South Dakota 38 83 73 45 $29.19
North Dakota 33 63 80 30 $28.78
Idaho 128 157 97 29 $30.77
Alaska 41 66 0 25 $37.80
Delaware 116 141 235 25 $60.67
Vermont 51 55 191 4 $30.48
Nebraska 112 109 279 -3 $32.47
Wisconsin 262 248 691 -14 $36.43
D.C. 618 273 2,109 -345 $70.96
Nation 26,239 53,508 44,159 27,269 $44.22

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