In light of increasing competition for dwindling profit margins, the focus on talent acquisition has surged in the legal community. According to a 2023 Major, Lindsey & Africa report, 44% of lateral partners stated a lack of confidence in firm management and strategy to be a top concern, contributing significantly to partners’ considerations to leave their firms.
The report concluded that the key to lateral partner satisfaction is the extent to which integration into their new firms is effectively handled. Hence, before any recruitment, it is crucial for law firms to evaluate their present position, their desired future, and how achievable their goals are through lateral partner hiring. It becomes necessary then for their hiring plans to reflect these findings and align with the organization’s overall strategic aims.
Emphasizing their unique culture, firm’s value propositions, and it’s commitment to certain practice areas, is crucial in sharing and integrating potential lateral partner recruits. By articulating their resource allocation supporting growth and enhancing client service, firms can build trust and manage partner expectations while addressing revenue growth.
Although enthusiasm is commendable, overpromising should be discouraged. The hiring process should also give the firms a chance to set honest expectations about the working environment. Rigorous questionnaires serve as a crucial due diligence tool, but the firm’s hiring strategy should be dictated more by its lateral partner hiring plan than by the potential lateral’s projected book of business.
The accelerated recruitment process necessitated by the Covid-19 pandemic now demands a more streamlined and efficient approach that respects candidates’ time. Firms should be mindful of the experiences of attorneys who may be engaging with the lateral partner market for the first time in their career. Importantly, candidates who weren’t hired could be potential clients, referral sources, or might even be a fit for the firm at a later stage.
Effective utilization of data-driven, deliberate approaches to lateral partner hiring along with an increased emphasis on transparency will assist firms in their quest to acquire the best talent. Building trust and managing expectations has to remain the cornerstone of the recruiting and hiring process for a successful legal industry.
This article was written by Brian J. Carrozza who is the director of client development at Goulston & Storrs, Courtney C. Hudson who is the business development manager at Baker, Donelson, Bearman, Caldwell & Berkowitz, and Megan K. Senese who is a co-founder and principal at stage, a women-owned business development and legal marketing firm. The original coverage was provided by Bloomberg Tax.