One of the nation's most-prestigious law firms is slashing the pay of dozens of its partners and laying off about 170 younger attorneys and support staff, in the starkest sign yet that the legal industry continues to struggle years after the recession.

Weil, Gotshal & Manges LLP, a 1,200-lawyer firm with a roster of blue-chip clients such as General Electric Co. and General Motors Co., said Monday that the layoffs will include 60 associate attorneys, principally in its Boston and Houston offices, and 110 other employees,...