June 1, 2009
C Level Hiring Increases
For the past six months we have seen a massive fall-off in the hiring of senior management positions -- what is known as the "C Suite." This has, in large measure, been viewed as a cost saving opportunity brought about by the termination of a senior, and highly compensated management. Some firms decided to go about searching for a replacement slowly to create month to month savings and avoid commitment to a high salary in the event the rescission got deeper. Other firms simply delayed replacement entirely by restructuring and combining the duties of the vacant position with other managers. Still other firms assigned the duties to under-productive partners. We are now seeing the start of a break in this slow down as operational impacts of decreased staffing are starting to show and firms are becoming more confident in the effect of the recession on their practices. Leaving Lockstep
This month brought more pressure on the entire recruiting and compensation structures used by most law firms. In fact, most CHRO's and Professional Development Directors are wondering why firms haven't dumped the system of arcane procedures and rules before now. The reason, according to most administrators, is the fear by firms that they will lose their associates and their ability to recruit new ones. But tough economic times call for tough measures, which include an overhaul of the entire associate salary structure. As on HR Director said, "We're now doing what we should have done years ago because at last the power in the relationship has shifted into the hands of the law firms. We can do almost anything we want; associates are happy to have jobs."
The two biggest changes involve associate compensation. Across the country, firms are reducing starting salaries and, at least, freezing the compensation of incumbent associates. Ten to 20 percent decreases are common and many firms are simply delaying or rescinding new hire offers. At the same time, most firms are chucking their lockstep compensation systems which increase associate compensation by their years of practice. Pay will now be a function of performance and merit.
Many Recruiting Directors believe the biggest loser in the associate new world order will be NALP. The wholesale decline in on-campus law school recruiting is making it difficult for the association to enforce its restrictive rules on participating law firms.
Will everything go back to normal when the economy recovers? Most firms don't think so. Demand for associates and their compensation were part of the loss of reality that affected so much of legal practice over the past half-dozen years. The recession and recovery are showing firms new and more profitable staffing models to pursue.
Inclusive Scheduling
Major League baseball was a bit embarrassed this year to have scheduled opening day on Good Friday, arguably the most holy day on the Christian calendar. All sorts of public events are routinely scheduled in conflict with major Jewish holidays. For law firms, the scheduling of meetings and events has become increasingly challenging as diversity initiatives move firms to hire more multi-cultural and religious employees. For many firms the answer is to get religious holidays on their master calendar so they start with the knowledge of holidays and can then make decisions about dates based on the day's importance and applicability to firm employees. The following is a comprehensive list of holy days for all major U.S. religions.
2009
June 16 Martyrdom of Guru Arjan Dev (Sikh)
August 22 Ramadan begins (Islamic)
September 1 Compilation of Holy Scriptures (Sikh)
September 19 Rosh Hashanah (Jewish)
September 21 Eid-al-Fitr - End of Ramadan (Islamic)
September 28 Yom Kippur (Jewish)
October 17 Diwall (Hindu)
October 17 Festival of Lights (Sikh)
November 24 Martyrdom of Guru Teg (Sikh)
November 25 Hajj begins (Islam)
November 27 Eid-Ul-Adha (Islam)
December 12 Hanukkah (Jewish)
December 17 Al-Hijira/Muharram (Islamic)
December 25 Christmas (Christian)
2010
January 5 Birth of Guru Gobind Singh (Sikh)
January 6 Epiphany (Christian)
January 29-30 TuBishavat (Jewish)
January 31 Vasant Panchami (Hindu)
February 12 Maha Shivaratri (Hindu)
February 15 Nirvana Day (Buddhist)
February 17 Ash Wednesday (Christian)
February 26 Prophet's Birthday (Islamic-Sunni)
February 27 Purim (Jewish)
February 28 Holi (Hindi)
March 1 Hola Mohalla (Sikh)
March 3 Prophet's Birthday (Islamic-Shia)
March 19 Maulid an-Nabi (Islamic)
March 24 Ramenavami (Hindi)
March 28 Palm Sunday (Christian)
March 29 Passover begins (Jewish)
March 30 Magha Puja (Buddhist)
April 1 Maundy Thursday (Christian)
April 2 Good Friday (Christian)
April 4 Easter (Christian)
April 10 RYom Hashoah (Jewish)
April 13 Baisakhi (Sikh)
April 14 Birth of Guru Nanak (Sikh)
April 17 Yom Hazikaron (Jewish)
April 18 Yom Haatzma-ut
April 28 Theravada (Buddhist)
May 1 Ascension Day (Christian)
May 1 Lag Ba'Omer (Jewish)
May 18 Shavouth (Jewish)
May 23 Pentecost (Christian)
May 27 Buddha Day (Buddhist) Measuring Proficiency
Many large law firms have responded to the recession with the layoff or large scale reorganization of administrative staff. As a result, many secretaries and assistants are being called upon to perform duties for which they may not be equipped. As an office administrator commented, "Some assistants who have functioned in largely clerical roles for years are now expected to be fully conversant with the most sophisticated features of Word and Excel." The traditional solution to capability shortfalls has been massive training efforts with all staff being trained using a "lowest common denominator" standard of performance.
Profiscience Partners, a consulting firm has developed a performance management software program for law firms that allow secretaries to be evaluated on their skills and software knowledge thereby assuring that they have the correct skills for their position and their firms are not wasting productivity and training costs supporting unnecessary functional areas. Their website is www.profiscience.com.
Legal Resource Group is the largest recruiter of senior law firm administrative positions in the country. We search for all “C” level positions, Administrators, Directors, Office Managers and more. We find the best people with incredible speed, at a reasonable price. Don’t waste time with recruiters who don’t know law firms.
Call Legal Resource Group today – 1-800-688-4147
Few Firms Take Extra Flu Precautions
Over the past couple of weeks we have been talking to large law firms about what they are doing in reaction to concerns about Swine Flu. Not surprisingly only a few firms appear to have taken any special precautions. Specifically:
· Quite a few firms sent out communications to employees advising them of policies on staying home when sick or in the event that a member of their family was ill.
· Several firms adopted policies encouraging lawyers to avoid travel to Mexico but we are not aware of any firms that prohibited travel.
· Most firms placed bottles of hand sanitizer in public places around the firm and made sure there was liquid soap in the washrooms.
· Two firms we talked to purchased a supply and distributed them to employees upon request (one of the two firms said they had no requests).
· A majority of the firms we talked to have announced that flu shots will be given in the office. Most firms are charging a nominal fees, typically $10 or $15.
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