Recruiting & Retention: A Poor ROI for Many Law Firms
Is your law firm getting the best ROI from your human capital?
Excerpt from the report:
“This report explores a range of factors that determine whether an attorney will stay or leave a firm within a few years of being hired. Before moving forward with the next hire, whether a new recruit coming out of law school or a lateral, law firms should take the steps necessary to ensure they are most likely to achieve a positive return on their investment in their human capital. That can and should include understanding the internal and external factors that can influence the longevity of those new hires.”
In an improved business climate, attorney retention has once again become a priority for law firms, whether the new hires are from incoming classes or lateral moves. Many firms are reportedly facing a shortfall of senior associates because they either laid off too many attorneys or cut back too much on their hiring goals during the recession – in order to protect short-term profitability.
A solid majority of respondents (56%) to a recent Altman Weil survey said
that headcount growth was a requirement to ensure their firm’s success.
In fact, the report goes on to say that virtually all survey participants said
their firm had plans to pursue organic growth – entry-level hiring – and the
acquisition of attorneys through laterals.