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Graduating this year. Have a firm job lined up at a smaller satellite office (think 200 attorneys) and hearing about a huge chunk of layoffs. When should I start getting worried? Also is there anything I should do now?

Ride it out. If you're really that concerned, start sending out apps, but it's too late for entry level and I doubt anyone will seriously consider you as a lateral unless you have at least one year under your belt. It might be a little late, but see if you can snag a Fed Clerkship to start in summer or August of 2015. That would give you an extra year to send out apps and evaluate the situation at your firm. It would also look good on paper and give you a fall back if something terrible happens during your first year.