Page 6 - CCCA62_2008

CCCA_V2No2_Dept-Performance-FIN.qxd:CCCA_V1No2_Dept-MgLaw-V1.qxd 5/1/08 2:24 PM Page 12 Performance In The Law Department The demand for in-house counsel Specialization and experience are key. firms. Recently, however, I had bring the right configuration of skills with the opportunity to meet at them). Some of these younger candidates length with more than 50 legal will come from law firms, but many will departments. They reported come from departments in other industry that business growth (size, sectors.A few legal recruiters are now spe- complexity, and globalization), cializing in filling the needs of legal depart- the changing regulatory envi- ments, rather than law firms. Other ronment, and for some, the recruiters are now focused on recruiting rise in enforcement work and exceptional candidates into the UK and statutory powers, have driven the Middle East. up their workloads. While few of these young lawyers will Many law departments are be sourced from legal departments, it does backlogged. In fact, workload reduce the pool of individuals able or will- and time pressure were cited ing to move in-house at any one time. It’s twice as often as the next most not surprising that finding and keeping pressing factor facing legal qualified legal talent is the second-most leaders — the issue of attract- pressing issue, considering all the younger ing, retaining and motivating lawyers who stay with their organizations good lawyers. only three to four years before moving on. egal departments are the fastest-grow- But attracting and motivating them to do Unless the work is interesting on a sus- Ling legal services sector around the what? A closer examination of the work tainable basis, and there are opportunities world over the last five years.In some mar- performed by legal departments tells us that for advancement, young lawyers will move kets, the growth reflects a compound these departments are not essentially on — because they can. Since so many increase of 15% per year.Small wonder that captive full-service law firms. The top- develop a good appreciation of the com- the legal recruitment industry has exploded ranked specializations for law departments mercial side of the business after four or in Australia, North America and the UK. are contract/commercial,energy/resources, five years, they become excellent candi- Some surveys estimate that 40% of legal public/administration, banking/finance/ dates to move to non-legal positions with- departments have in-house counsel in more capital markets, and property/construction. in the company and are lost to the legal than one country —– testimony to the While there are important differences by department. Proper pay and loyalty to the globalization of companies in every sector industry sector (and within government company hardly figure in the equation — of the economy. legal departments), law departments today talent management does. Few chief legal officers anticipate even a are generally outsourcing litigation, M&A, It used to be said that working in a law modest decrease in department size over tax, insolvency, intellectual property and a department represented a lifestyle change the next two years. In fact, a recent survey half dozen other specialties. The time of and an important contrast for those who released by the Australian Corporate the in-house generalist is quickly passing. had toiled in private practice. Say this to Lawyers Association reports that 65% of Senior lawyers (those with ten or more in-house counsel today, and the response law departments expect a moderate or sig- years of experience) usually constitute the will be a short laugh. One survey shows nificant increase in size during this refer- majority in two-thirds of law departments. that 35% of legal departments have a work ence period. That still leaves room for younger week ranging from 46–50 hours and What explains this forecast? Five years lawyers, and it makes some of those with another 27% report more than 50 hours. ago,the answer would often have been cost four or more years of experience desirable Workload and turnaround pressures, com- FIRSTLIGHT savings as compared to the use of law candidates for departments (provided they bined with chronic resource shortages, 12 CCCA Canadian Corporate Counsel Association SUMMER 2008