How can small law firms maintain happy lawyers?

In the Bellwether 2023 report, we spoke to lawyers at small law firms about generating growth over the next 12 months. Most said they rely on their lawyers to drive new business, meaning talent retention and acquisition are paramount to growth.

The ’great resignation’ during the pandemic taught us that if you want to retain staff, you need to offer an excellent work-life balance. Higher salaries are no longer the primary consideration.

Traditionally, firms attracted or retained lawyers by offering bigger salaries and incentives. 60% of respondents said that their firm's offerings had ‘increased to become more competitive’ in the last 12 months. Only a quarter said there was ‘no change’.

However, when asked if they were happy with their current salaries, less than half said they were, and 24% said they were "unsatisfied" or "very unsatisfied".

When asked about their satisfaction with their bonus scheme 37% felt "neutral", while only 33% were happy. 21% were "unsatisfied" or "very unsatisfied". When asked about their satisfaction with their company's commission scheme, 43% felt "neutral".

So, what makes lawyers happy?

The Bellwether 2023 report has unveiled that nearly three-quarters of lawyers said they're still "very satisfied" or "quite satisfied" with their career choice. What emerged is that a flexible work-life balance, learning, development opportunities, and a positive workplace culture are all important factors when assessing happiness at work.

The downside of failing to offer staff a good work-life balance has never been more apparent. If your lawyers aren't happy, they will leave. If they don't go, they'll become disengaged, doing the bare minimum, otherwise known as ’quiet quitting.’

Elizabeth Rimmer, Chief Executive Officer at LawCare, says career concerns are the third most common reason people have contacted them thus far in the year. "This willingness to question their life in the law may be partly a response to the pandemic: legal professionals could be reflecting on what they want from life and work and be less willing to stay in careers or workplaces that don't meet their needs and expectations and could be undermining their mental health."

In the Bellwether 2023 report, we asked specific questions to assess the level of satisfaction and the importance of each factor in contributing towards overall job satisfaction and happiness.

The all-important work-life balance

The emphasis on work-life balance has shifted significantly since Covid-19. Legal tech has emerged as a valuable resource to promote a healthy work-life balance. However, it's important to acknowledge that for some, tech can increase stress levels and trigger a "no off-switch" mentality.

Regarding tech use, autonomy and individual needs are crucial, and employees should feel encouraged to disconnect from these tools where required, says Kendall Turner Lennon, HR Business Partner, and Thrive Wellbeing Programme Lead at ��Ӱ�� UK. Striking a balance, with agreed boundaries, should be the aim to avoid burnout.

In the Bellwether 2023 report, more than half of respondents were cited as "very satisfied" or "quite satisfied" with their work/life balance, which could hint at smaller firms' wellbeing strategies taking the right approach.

According to Rimmer, the number one step firms can take to improve their staff work-life balance "is to stop expecting them to reach billing targets that are impossible to achieve without working evenings and weekends". Again, smaller firms are leading the way in offering flexible payment options. Although most said it’s to meet client demand, this willingness to move away from billable hours is a positive move towards creating a work-life balance for their employees.

Turner Lennon says, "Work is just one aspect of our lives, and as an organisation, we strive to create a meaningful place of work where individuals can achieve their career goals, be challenged, make connections, and have fun along the way."

Learning and development opportunities

Achieving career goals and being challenged are all part of making a happy lawyer. Turner Lennon says investing in tech, whilst promoting a healthy work-life balance can promote a working environment that pushes individuals to reach their full potential and thrive.

Over 40% of the Bellwether 2023 respondents are "quite satisfied" with their opportunities to develop new skills, and 89% are "very satisfied" or "quite satisfied" that their law firms enabled them to provide a good service to their clients.

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A positive workplace culture

Since the pandemic, it’s clear a positive workplace culture is important. Employees want a culture that prioritises mental health and wellbeing.

"Creating a culture of wellbeing is about going back to the basics. Ask yourself ‘Is your organisation structured in a way that people can effectively do their job and thrive?’

You need to be sure your firm is designed so individuals can communicate and perform their jobs successfully by providing clear goals, deadlines, objectives, and resources. This is vital to creating a culture where mental health and wellbeing is prioritised," says Turner Lennon.

Rimmer says, "My top tip for creating a culture that prioritises mental health and wellbeing is to put your people first. People are your greatest asset in any law firm, chamber or in-house team. Creating an environment where your people feel valued, respected, and belong is key to a culture that supports mental wellbeing. Too often in law, people are seen as a commodity that delivers legal services."

"We need to keep talking about mental health and make available resources and support visible. Despite the significant rise in awareness about mental health, the stigma surrounding it is still a huge challenge. One of the most powerful ways to overcome stigma is for people if they feel comfortable, to share their stories about their mental health struggles," says Rimmer.

What can smaller firms do to keep their lawyers happy and retain them?

Smaller firms are well suited for creating a positive workplace culture, offering a flexible work-life balance, plus learning and development opportunities.

Rimmer's advice for creating a good workplace culture includes, "Embrace the diversity of your people, and when they raise concerns, listen to them and act on them. Be open and transparent about how people get promoted or work assigned. Build that sense that everyone understands how things get done in your workplace. For those responsible for others, ensure they are given the time and skill development support they need to manage others well".

There are many resources to help manage mental wellbeing and create awareness and a sense of acceptance. LawCare, for example, offers podcasts such as The Legal Mind and provides direct support services and information on promoting good mental health and wellbeing in your law firm.

"We know from our research that the most valued mental health support in the workplace is regular catch-ups, as it provides a space to raise concerns and talk about them," says Rimmer.

Smaller firms should take advantage of their size to connect with their people. Regular one-to-ones with the people you manage at a smaller firm is much easier.

Besides mental health and wellbeing, lawyers should also be given autonomy and the tools to be more efficient to help them reach their full potential and career goals.

How are smaller firms doing?

In the Bellwether 2023 report, almost four out of five respondents said they were happy with their law firm's culture, including D&I. A third were "very satisfied" and 46% were "quite satisfied".

More than half said they were happy with their work-life balance, and two-thirds said they were satisfied with the training opportunities offered at their firm. Couple this with 88% of respondents being happy with their ability to provide a good service to their clients, it seems that smaller firms are doing quite well at keeping their lawyers happy.

And we know, happy lawyers are more likely to stay at the firm and work hard at achieving goals.

Discover more about how small law firms and solo practitioners build their bold and beautiful business strategies to win new business, retain their existing portfolios and most importantly, keep their lawyers happy in the Bellwether 2023 report.

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