2015 legal hiring and compensation trends - the in · pdf file2015 legal hiring and...

© 2014 Robert Half Legal. An Equal Opportunity Employer M/F/D/V. All rights reserved. This material is theconfidential property of Robert Half Legal. Copying or reproducing this material is strictly prohibited. © 2014 Robert Half Legal. An Equal Opportunity Employer M/F/D/V. All rights reserved.

2015 Legal Hiring and Compensation Trends

Eve S. Senuty, Esq.

Director of Legal Projects - Southern California

Robert Half Legal 2015 Salary Guide

Features of the guide:

� National starting salary ranges

� Regional and national hiring trends

� Practice areas, skills in demand

� Management strategies

� Flexible staffing models

� Guidance on counteroffers, job interviews and other best practices

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Robert Half Legal 2015 Salary Guide

� Sources of data

� Our expert recruiting professionals

� Thousands of placements made by our offices

� Exclusive workplace research

� Analysis of hiring trends

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Important Trends in the Legal Field

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1. The hiring environment

2. The tightening talent market

3. Skills and expertise in demand

4. Practice areas in demand

5. Average starting salaries

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Trends for 2015: Law Firms

� Law firms are actively recruiting

� In-demand practice groups:– Corporate/general business, compliance, litigation, intellectual property, real estate

� Focus on candidates with business development skills experience and business development skills

� Increased compensation and benefits to attract and retain top talent

� Strategic use of flexible staffing models

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Trends for 2015: Corporate Legal Departments

� Expanding internal teams, keeping more work in-house to contain outside counsel costs

� Recruiting experienced candidates with law firm experience, business backgrounds and industry expertise

� Additional staff needed to handle rising workloads in the areas of:– Litigation

– Compliance

– Corporate transactional

– Contract administration

� Bringing in legal professionals on project basis

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The Legal Staffing Challenge

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More than half (56%) of lawyers

polled by Robert Half Legal said

it is challenging for their law

firms or companies to find skilled

legal professionals today.

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Source: Robert Half Legal survey of 200 lawyers among the largest law firms and corporations in the United States.

Practice Areas in Demand

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Areas of law

expected

to experience

the most growth

in the

next two years

Source: Survey of 200 lawyers among the largest law firms and corporations in the United States.

The survey was commissioned by Robert Half Legal and conducted by an independent research firm.8

Litigation

� An increase in insurance defense, medical malpractice, commercial litigation and employment law is driving demand for legal professionals with litigation expertise in these areas

General business/commercial law

� Specialists are needed to provide guidance and support for commercial transactions, including contract administration, financial reporting, compliance matters and more

Healthcare

� Evolving healthcare reforms and regulations continue to impact the demand for legal professionals with expertise in the healthcare, pharmaceutical and biotech sectors

Top Practice Areas

99

Top Practice Areas

Intellectual property

� As companies increasingly depend on patents, trademarks and copyright laws to protect their creative work, they need legal professionals with IP expertise, especially in biotech and high-tech

Real estate

� As the commercial and residential real estate markets continue to rebound, companies and law firms are seeking lawyers and legal support professionals to manage legal matters associated with many aspects of the real estate sector

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The Outlook for Lawyers

Hiring tied to practice area, sector expertise

� Tenure, experience in demand:– Senior and midlevel associates

– Knowledge of particular industry or sector

– Experience or degrees in engineering, science fields, banking and finance

– Technical proficiency

� Market for new and first-year associates improving but still modest

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The Outlook for Paralegals

Paralegals assuming broader roles

� Managing a wide range of assignments

� Hybrid/blended paralegal positions growing

� Backgrounds in demand:– Practice area expertise – compliance, contract/lease administration, eDiscovery

– Insurance, financial services, real estate, healthcare

– Bachelor’s degree, paralegal certification

– Technical skills/experience and aptitude

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The Outlook for Legal Secretaries

Lawyer-to-legal secretary ratios are changing

� Most marketable legal secretaries possess:– Three to five years of experience

– Backgrounds in high-demand practice areas

– Adaptability, resourcefulness and initiative

– Technical aptitude

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2015 Outlook

� Average increase for starting salaries across the legal field in the U.S. will be 3.0%

� Compensation for some positions is expected to exceed the national average:

Paralegal/Legal Assistant

(4-6 years’ experience)midsize law firm

+4.5%+4.9%

Licensed Lawyer (10+ years’ experience) small/ midsize law firm

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2015 Outlook

� Compensation for some legal specialist positions are also expected to exceed the national average:

Contract Manager

+5.1%+5.2%

Compliance Director(10+ years’’’’experience)

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Calculating Salaries for U.S. Markets

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Low and high ends of national salary

range

Local variance index number as a

percentageSalary Range

Example: A first-year associate at a small law firm in Boston:

$54,250 1.330 $72,153 (low end)

$77,500 1.330 $103,075 (high end)

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Salaries for U.S. MarketsFirst-Year Associate – Small Law Firm

CHICAGO$66,728 - $95,325 NEW YORK

$75,408 - $107,725

MIAMI$58,048 - $82,925

DALLAS$58,319 - $83,313

SEATTLE$64,503 - $92,148

SAN FRANCISCO$74,865 - $106,950

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SAN DIEGO$64,286 - $91,838

Fastest Growing Industries

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1. Healthcare

2. Manufacturing

3. Professional

Services

4. Real Estate

5. Technology

1. Manufacturing

2. Financial Services

3. Healthcare

4. Professional

Services

5. Transportation

1. Manufacturing

2. Healthcare

3. Financial Services

4. Service

5. Distribution

1. Healthcare

2. Construction

3. Manufacturing

4. Real Estate

5. Technology

1. Manufacturing

2. Healthcare

3. Distribution

4. Nonprofit

5. Technology

1. Healthcare

2. Manufacturing

3. Financial Services

4. Nonprofit

5. Technology

1. Healthcare

2. Manufacturing

3. Pharmaceutical

4. Real Estate

5. Nonprofit

1. Healthcare

2. Manufacturing

3. Oil & Gas/Energy

4. Financial Services

5. Construction/

Real Estate

1. Healthcare

2. Manufacturing

3. Real Estate

4. Construction

5. Financial Services

Positions in Demand

1. Litigation Legal

Secretary

2. Contract

Administrator

3. Corporate

Paralegal

4. Lawyer

5. Patent Lawyer

1. Paralegal

2. Legal Secretary

3. Contract

Administrator

4. Patent Paralegal

5. Legal Assistant

1. Litigation Legal Secretary

2. Corporate Compliance

Paralegal

3. Document Review Lawyer

4. Intellectual Property

Paralegal

5. Litigation Paralegal

1. Corporate Paralegal

2. Contract Administrator

3. Litigation Legal

Secretary

4. Contract Manager

5. Legal Assistant

1. Corporate

Paralegal

2. Commercial Real

Estate Paralegal

3. Litigation Legal

Secretary

4. Litigation Paralegal

5. Litigation Legal

Assistant

1. Litigation Paralegal

2. Intellectual

Property Paralegal

3. Real Estate Lawyer

4. Litigation Legal

Secretary

5. Commercial

Leasing Lawyer

1. Paralegal

2. Contract

Administrator

3. Legal Secretary

4. Lawyer

5. Legal Compliance

Manager

1. Paralegal

2. Litigation Legal

Secretary

3. Contract

Administrator

4. Corporate Lawyer

5. Medical Malpractice

Paralegal

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Local Hiring Trends – San Diego

� Fastest growing industries

• Pharmaceutical, medical device, healthcare

• Real Estate

• Public Sector

� Positions in demand

• Corporate Contracts Senior Paralegals

• Contracts Manager/ Contracts Administrators

• Litigation Paralegals

• Compliance Manager, Licensed and NonLicensedattorneys

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Points About the Salary Figures

Salary ranges listed are average national starting salaries

� Continuing salaries are not reported

� Ranges do not take into account additional circumstances(e.g., seniority, practice area expertise)

� Bonuses, incentives and other forms of compensation are not reflected

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Other factors to consider when determining starting salaries:

� Employee benefits

� Candidate’s skill set� Current market conditions

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Other Positions

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Additional positions covered in the Robert Half Legal 2015 Salary Guide include:

� Administrator/Office Manager

� Litigation Support Director

� Compliance Director

� Contract Administrator

� Lease Administrator

� Librarian

� File/Records Clerk

� Legal Receptionist

� And more ...

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Benefits of a Flexible Staffing Structure

� Ability to adjust staffing levels to business cycles and caseloads

� Ease workload of current employees

� Handle special projects

� Access specialized expertise on short-term or project basis

� Increase job stability for full-time employees

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Ask the Right Questions During an Interview

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� Job interview is most pivotal part of hiring process

� Essential to gain insights beyond resumes and reference checks

� 6 key questions to ask to evaluate communications skills, interpersonal and problem-solving capabilities, interest in the job, and more

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5 Reasons to Think Twice Before Making a Counteroffer

1. Not a long-term solution

2. Sets bad precedent

3. Morale can suffer

4. Difficult to re-establish trust

5. Performance won’t likely improve

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More Tools for Your Business

Robert Half Legal Salary CenterLook up salary ranges for individual positions, customized to

your location: roberthalflegal.com/salary-center

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© 2014 Robert Half Legal. An Equal Opportunity Employer M/F/D/V. All rights reserved. This material is theconfidential property of Robert Half Legal. Copying or reproducing this material is strictly prohibited. © 2014 Robert Half Legal. An Equal Opportunity Employer M/F/D/V. All rights reserved.

2015 Legal Hiring and Compensation Trends

Eve S. Senuty, Esq.

Director of Legal Projects – Southern California