Salaries
There is a definite increase in movement within the legal industry based on salary considerations. Although individuals may be happy in their roles, some are actively looking for new opportunities purely due to financial pressures.
Salaries have been rising across the legal sector due to demand for experienced legal professionals and talented newly qualified solicitors. In turn many firms have increased their salaries in order to compete. We have recently seen regional NQ salaries as high as £81,000 and NQ salaries in London hit a record high of £164,000.
Established law firms are being more flexible and moving away from strict salary bandings in the interests of obtaining the right person for the role. Some firms have also been offering sign on bonuses at the more experienced levels.
New areas of practice
Law firms are open to meeting with experienced lawyers with specialist areas of knowledge that complement their current offerings. For example, in my SW region we have been involved in a hire into a Tier 1 Real Estate team of an individual with specialist Real Estate Finance experience, an area the team had not before specialised in. Another example is that a number of firms have been interested in Data Protection specialists who are able to provide DPO functions.
Overall, there has also been a rise in non-conventional legal roles. Professional Support Lawyer opportunities have risen. This type of role is usually something that is more common in London, but regional and national firms are becoming more open to these. PSL roles focus on efficiency, providing technical legal guidance as well as mentorship to the team. They can involve fee earning or can be purely PSL. These roles are becoming more popular due to law firms valuing the importance of efficiency. My colleague Jennifer Wellspeak specialises in PSL roles and has recently written a fantastic explanatory article on PSL opportunities.
In addition, firms seem to be more open to solicitors retraining into different practice areas. For example, I have recently worked with a Personal Injury Solicitor who was looking to move out of this sector due to reforms. In light of their strong transferable skills, this solicitor will now be joining a professional indemnity team to retrain. Have you been thinking about retraining but don’t have direct experience in an area of law? Now could be your chance to explore a change of discipline.
Relocation
With the cost of living being historically high within London, we are seeing legal professionals moving away from the busy City lifestyle and into more rural locations. There are a number of regional firms who deal with City quality work outside of London and have raised their salaries to a very competitive level. For example, Trowers & Hamlins boast a number of Legal 500 tier 1 departments and have announced that their Exeter NQ rate has been increased to £60,000. With the lower cost of living in regional areas, legal professionals are swapping out fast paced City life to enjoy a better work life balance which could allow logging off by 5.30pm and walking along the sea front by 6pm. Are you dreaming of life in the countryside or by the sea – if so, 2023 could be the year to make it happen!
Ensuring security
In 2023 law firms will be discussing work streams and evaluating their priorities to ensure their teams can continue to thrive. For example, I have recently been working with a market-leading insurance firm who have just re-signed contractual terms with their large key insurer clients for the next 3 years to ensure that they have secure work streams for the foreseeable future.
Throughout financially turbulent times law firms with strong client relationships and established reputations have continued to grow and develop, leading to further growth in employee numbers and as a result have created employment opportunities. For example, during the pandemic the UK Top 100 Law Firm Bevan Brittan LLP reported a double-digit growth in both revenue and profit for the financial year of 2019/2020. Firms will be working hard to maintain revenue and despite the current economic climate, this is not impossible.
City firms like Clifford Chance have announced that they will be providing their employees with a one-off payment of £1500 to cover the rising cost of living as well as other regional firms offering lump sums to assist employees. This may be an approach that more firms adopt in the coming months.
In conclusion
The cost-of-living crisis is a worrying time for all, but this should not come between you and your career aspirations. The legal recruitment market will continue to move, there will always be requirements for legal professionals and law firms will continue to grow based on their solid client relationships, reputation and high-quality legal advice.
This is a good time to think about moving if you feel you are being underpaid in your current role, looking for more flexibility, aiming to specialise in a niche area or are considering relocating.
If we can assist you and you might appreciate a no obligations discussion, please get in touch with one of your dedicated consultants.
