Ian Roberts

10/08/2017 by Ian Roberts

How important is remuneration for NQ and junior solicitors when they’re looking to move firms?

Google a law firm’s name followed by ‘NQ’ and the auto fill will suggest ‘Law Firm NQ Salary’ as the top option. Why? Because the industry puts a huge emphasis on remuneration, particularly at junior level.

Large law firms publish their NQ salaries because they want to recruit the brightest and best aspiring lawyers into their training schemes and retain the best NQs upon qualification.

It’s just one part of the ‘battle for talent’ at the junior lawyer level, but certainly the most visible. There is fierce competition between law firms for the best junior lawyers, and the disparity between NQ pay levels at these firms is something that is regularly highlighted in the legal press.

At the end of 2016, Slaughter and May, which had hitherto paid the lowest NQ salaries among the magic circle, announced a 9% increase for NQs, which edged them ahead of Linklaters, but still left them some way behind Clifford Chance and Freshfields. Linklaters responded in June this year by upping their NQ salaries by £1,000 a year, taking them slightly above Slaughter and May once again.

But is the salary on offer as an NQ or junior lawyer as important as we think it is?

We’ve made a thorough analysis of the data that we collect at NQSolicitors.com, and it seems that the answer is ‘yes’, but only to a point. And on the whole, the data suggests that the largest law firms, particularly those within the top 20 UK law firms, are putting too much emphasis on salaries.

We analysed the ‘minimum salary‘ responses of candidates for whom we had an accurate idea of the NQ salary on offer at the firm at which they were training at the time they created their profiles. The sample includes only those candidates that created their profiles prior to qualifying, and therefore does not include candidates at NQ-2 PQE.

Thought all lawyers are money obsessed? Think again.

The pie chart below shows the responses of all final seat trainees, who were training at top 100 UK law firms and US law firms.

49% of candidates were happy to be matched with NQ vacancies that would pay at least 10% less than the salary on offer at their training firm
41% wanted to be matched with NQ vacancies that would pay a salary which is at least broadly similar to the salary on offer at their training firm
10% only wanted to be matched with NQ vacancies that pay at least 10% more than the salary on offer at their training firm

These results might take quite a few of you by surprise, however, the really interesting results appear when you break the results down a little more.

The bar chart below shows the same statistics, but broken down per band of law firm.

Magic circle and US firms

At the time of creating their profile on NQSolicitors.com, zero percent of final seat trainees at magic circle and US firms only want to be matched with NQ vacancies that pay at least 10% more than the salary on offer at their training firm.

This is not really surprising for those who trained at US firms as they are the highest payers, but it is more of a shock that, in our sample, no magic circle trainees were only prepared to look upwards with regard to their minimum salary.

A higher than expected percentage of magic circle trainees (79%), were prepared to take a drop in salary of at least 10% upon moving firm, compared to 49% of the sample as a whole. This is probably due to them having accepted that their salary is likely to reduce unless they join a large US firm or another member of the magic circle.

The remainder (21%), wanted to be matched with NQ vacancies that would pay a salary which is at least broadly similar to the salary on offer at their training firm.

Silver circle firms (Ashurst, Berwin Leighton Paisner, Herbert Smith Freehills, Macfarlanes and Travers Smith)

It is very interesting to note the difference in attitude in relation to minimum salary between magic circle and silver circle trainees, especially when you consider that four of the five silver circle firms pay their NQs in excess of £72,000 per annum, with Herbert Smith Freehills paying their NQs more than two of the magic circle.

Nearly a fifth of candidates who were training at silver circle firms (17%), would like a position that offers an increase in salary.

Half of silver circle trainees wanted at least similar pay and just 33% would be prepared to accept a drop in salary, compared to 79% of magic circle trainees.

The inference from the data is that a significant percentage of final seat trainees at silver circle firms are setting their sights upwards when it comes to pay whereas their counterparts at magic circle firms are more willing to move in the opposite direction.

Other top 20 UK firms

Candidates among the other top 20 UK firms (outside the magic and silver circle) are either more realistic about their value or less driven by money, depending on how you look at it. More than half (54%) will accept a drop in salary and only 3% are actively seeking an increase.

Other top 50 UK firms

It is only when we get to UK firms ranked 21 to 50 that we get a fairly even spread between candidates who will take a pay reduction and those that desire a rise. Just over a quarter will accept a decrease, 16% want more and the rest (58%), want at least a similar salary.

Conclusion

It is fascinating to see the difference in attitudes when comparing the responses from final seat trainees at different types of firm.

Our data shows that medium-sized firms might want to pay more attention to remuneration levels for junior lawyers, while those in charge of compensation at silver circle firms also need to consider their approach carefully.

Perhaps the most interesting conclusion to draw is that salary is not the be all and end all. NQs across the board are using other factors to measure the attractiveness of potential employers and quality of work, chances of career progression, work/life balance, and additional benefits all play a part.

If you are looking to recruit the brightest and best Solicitors at NQ-2 PQE, please contact us now.

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27/07/2017 by Ian Roberts

Autumn 2017 retention rates show a positive trend so far

It’s sweaty palm time for NQs around the UK as law firms finalise their NQ allocations and start to announce their retention rates. We take a look at the early figures to see what trends we can expect over the coming weeks.

Only a few firms have released their autumn 2017 retention figures so far, among them magic circle firm Slaughter and May. The firm has reported that all 32 of its qualifiers applied to remain with the firm, out of which 29 are staying on (a retention rate of 91%). This compares to its impeccable record in spring 2017, when it retained all 25 of its qualifiers and its 89% showing this time last year.

This is an early indication that the doom and gloom some commentators expected this autumn may not materialise. The Lawyer reported in early July that fewer NQ roles would be available this year. This was put down in part to the fall-out from the collapse of King & Wood Mallesons earlier in the year and the uncertainty surrounding Brexit.

Other figures recently released show that these industry fears may be unfounded certainly so far as the London market is concerned.

Silver circle firm Ashurst is keeping on all but one of its 20 qualifiers (95%), an improvement from its 85% result in the spring. Fieldfisher has gone one better, retaining all 13 of its trainees qualifying in September. Elsewhere in London, US firm Shearman & Sterling has reported an 87% retention rate for this autumn, down on its 100% record last year, but still an impressive return.

Not quite such good news for Newly Qualified Solicitors at Mayer Brown and Withers, who posted identical scores of 73%, both keeping on eight out of 11 trainees. Mayer Brown’s results contrast sharply with their 100% record in the spring, albeit from only four qualifiers. Withers’ result is a fall from 83% last year.

Trowers & Hamlins is another firm whose figures are on a downward curve, with only seven out of 10 qualifiers staying on compared to 79% last year and 92% in the spring.

The market in Manchester was reported in The Lawyer as being “a tense one” for qualifiers with rumours of firms that usually had room for four or five NQs in some departments taking one or none.

So far, none of the large Manchester firms have revealed their figures, but some positive news has come from other regional/national firms.

Bristol-based Burges Salmon has announced a perfect 100% retention rate for its 28 September qualifiers. This is an improvement on its already impressive recent average of 92% over the last three years.

Leeds firm Walker Morris also has a clean sweep, keeping on all 14 of its autumn qualifiers. National firm Blake Morgan is losing only one of its nine qualifiers (89%) and RPC is keeping 14 out of 17 (82%). Hopefully these figures give NQs in other regional and national firms confidence as they pitch for their jobs over the summer.

We’ll keep you updated as further announcements are made over the rest of the summer.

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28/06/2017 by Ian Roberts

Thinking of leaving the law upon qualification? You are not alone!

As a recruitment consultant and non-lawyer, I am always amazed when people tell me they became a lawyer by mistake. Or, more accurately, because they couldn’t think of anything else to do and it seemed like a good idea at the time. You would be shocked how often I hear that.

Knowing that, you will be less surprised by how many newly qualified solicitors I speak to who have career doubts once they qualify. Many do, and if you are one of them you are not alone.

In fact, you are in good company. Ex-lawyers who left the profession for pastures new include no lesser figures than Fidel Castro, Mahatma Gandhi and Nelson Mandela. Political leanings aside, they didn’t do too badly – if changing the world to a greater or lesser extent is your thing.

Apparently, Gandhi’s epiphany that he was not cut out for law came when he returned to Bombay to practice after qualifying in England and realised he was too shy to speak loudly in court.

Whenever I talk to a wavering NQ, the first question I ask is what they like about the job.

Some get a kick out of the status of being a lawyer, others enjoy the intellectual challenge and for a few, money is the motivating factor. People also mention the team environment, the desire to help people and the variety of daily challenges the job throws up, plus having acquired the special skills needed to deal with them.

The next question is obvious: what don’t they like about it?

Gripes could fill a volume of law reports but typical ones are the stress, the long hours and the impact on other areas of their life.

One lawyer turned teacher Emily Wilson says that law didn’t give her the contact with people she was expecting: “When I started working at the law firm, it wasn’t what I had expected at all, it was sitting at a desk all day and any interaction with clients would mostly be through email. That wasn’t really what I was looking for in a career.”

This gets to the nub of the issue. Are you questioning your career in law because the job doesn’t suit your personality or is it just a blip? In other words, are you in the right job but in the wrong field or the wrong firm? Would you be better suited to working in house, than in private practice?

Some NQs feel uncertain on qualification because training has dented their confidence. They want to run away because it feels they will never acquire the professional adeptness shown by the partners in their firm. This flight syndrome is understandable and may indicate that the firm is not right for them because it hasn’t nurtured them properly. In these cases, a move rather than a career change may be the answer.

The best advice I’ve heard on the topic of career change is from a partner in a large City law firm – someone who climbed to the top of the slippery partnership pole. She told me that doubts were natural at any stage of your career and a good sign you are taking yourself and your career seriously.

“The important thing is to know yourself,” she told me. “Work out what you really want from your life and your career.” This means understanding your values and talents, and thinking about the environment you want to work in and the types of people you want to spend your daily life with.

Added to this are lifestyle decisions. It’s true leaving law may give you more time to get fit or go on holiday but can you afford to change careers financially? It may seem shallow to worry about this but practical considerations should play a part.

The advice I give to uncertain candidates is to take their time. NQs often feel an urgency to make a decision soon after qualification but this isn’t necessary. It may be the most important decision of their life so they need to think about it carefully. Find out if the grass really is greener. The only way they can know with any certainty is to carry out detailed research and network with people in the industry they want to move into. In short, do all the research they should have done before they stuck their finger in the air as a teenager and said, “I suppose it’s law then”.

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28/06/2017 by Ian Roberts

90% of London-trained NQs unwilling to relocate away from the capital.

One of the great advantages of running on an online recruitment platform is being able to generate data about candidates. I suppose in the online dating world it would be the equivalent of working out how many of your clients are into gothic romance novels or extreme ironing (yes, it really is a thing – apparently).

NQ Solicitors’ stats may not be as quirky, but in their own way are just as fascinating.

A recent set of statistics (shown on the graphs below) makes interesting reading for firms looking to hire solicitors at NQ to 2 PQE. The data is taken from the 400+ final seat trainees and NQs who have registered on nqsolicitors.com since the platform was launched in November 2016.

By way of background, when candidates register with us they are asked a series of questions about their academic record and legal experience to date. But, due to the fact that NQSolicitors uses a unique two-way matching process, we also ask candidates about their work preferences in relation to the type of firm they want to work for, their preferred department, their minimum salary and their preferred location.

As you can see from the first graph, 90% of final seat trainees and NQs who trained in London are unwilling to relocate and only 7% would consider locating. Just 3% actively want to relocate away from the capital.

While very few of you will be surprised to hear that London acts as a magnet for young professionals, it’s fascinating to juxtapose these figures with the comparable statistics for regional trainees and NQs. Only 13% of candidates who trained in the regions are unwilling to relocate, with 58% willing to relocate and 29% actively looking to relocate.

What conclusions can hirers draw from these statistics?

Two obvious conclusions are as follows:

1. Firms located in the regions are far less likely to recruit junior lawyers from London than from outside; and

2. City law firms can have rich pickings from both inside and outside the capital.

So, on the face of it, London-based firms are at a distinct advantage when it comes to the recruitment market for NQ Solicitors. But do large City firms really see it this way?

Regional firms don’t seem to feel disadvantaged by point 1, because they are more than happy to recruit lawyers who have trained in the regions. Rather, point 1 is more of a concern to City firms who are looking to recruit junior lawyers for their lower cost regional outposts, because their preference, rightly or wrongly, is for NQs who have been ‘City’ trained.

This preference for ‘City’ trained NQs also renders point 2 irrelevant to City law firms.

These statistics indicate that a change of mindset may be needed by some City firms if they are to recruit successfully for their regional offices and take advantage of London’s pulling power when recruiting in the capital.

From our point of view, the data we gather when candidates register with our platform gives us a much broader view of the market for NQ solicitors than is available to most recruitment companies.

It also allows us to identify precisely, and at the outset, what candidates’ geographical preferences are. Few things are more frustrating for hirers than candidates being pushed into an interview by a recruiter only to find that they don’t want to relocate to where you are, or that they actively want to relocate away from where you are.

Data is starting to play a big part in recruitment, as we wrote about in our recent blog, How the correct use of big data can help law firms find the best NQ solicitors. The important thing is to gather the right data and then use it to inform the way you work in order to match candidates with hirers.

Watch this space for more analysis from us on the NQ Solicitor recruitment market. (Note: as things stand we have no plans to ask candidates if they are into extreme ironing).

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21/06/2017 by Ian Roberts

How to change specialisation as a Newly Qualified Solicitor

“Specialisation is for insects,” according to American science-fiction writer Robert A. Heinlein. In today’s legal world, it is also for lawyers.

Long gone are the days when a practitioner, certainly in one of the big firms, would find themselves in court in the morning and completing the sale of a company in the afternoon. If you tried to do that nowadays in a leading firm you wouldn’t be taken seriously.

Newly Qualified Solicitors now choose their field of specialisation as soon as their training contract ends. Unfortunately, they either don’t always make the right choice, or don’t secure the role they asked for.

“Candidates come to us looking to change practice areas for all sorts of reasons,” says NQ Solicitors’ Managing Director Ian Roberts. “It may be because they find the work boring, they feel like they are trapped in a dead-end practice area or the work simply doesn’t suit their personality.”

The important thing to remember is that you haven’t made an irreversible mistake. It is possible to change path at any time during your legal career, although the earlier you do it the better.

“NQ Solicitors have a window of about six to 12 months post-qualification when they can move quite easily into a new practice area,” says Ian. “Usually this will be to one of the seats they trained in, but it is also possible to move into a fresh practice area.”

If you are an NQ Solicitor and thinking about moving into a new practice area, what steps should you be taking?

1. Be honest with yourself

It is important to identify what it is you dislike about your current role, as well as what you enjoy. You also need to honestly appraise your strengths and weaknesses. Are you more suited to highly technical legal work or are you someone who craves close involvement with the client and other team members?

Think about what your ideal working life would be in terms of the types of clients you deal with, what your job involves day to day and what area will continue to inspire you in the months and years ahead.

By assessing these things, you should unmask your real motivation. Do you really want to move or is the problem just a minor blip in terms of a particular partner you are working for or case you are managing.

2. Do detailed research

Even if you are pretty certain you want to move into a practice area that you gained exposure to during your training contract, spend time on research.

Speak to as many people working in the field as possible, across all age ranges and levels of seniority, and on both sides of the client/lawyer fence. Ideally, try to find someone who is willing to act as your mentor.

Next, establish if your interest in the relevant field is likely to sustain you for the foreseeable future. Read relevant legal publications and go on courses and seminars. Many barristers’ chambers put on seminars that are free to attend for solicitors. These are excellent networking opportunities too.

3. Work out the practicalities

If you are moving say from banking or capital markets to private client or immigration, you have to be realistic and accept that you will probably end up taking a pay cut. Similarly, if you are moving from, say, employment law to corporate finance you will have to consider what that will mean in terms of time commitment and the knock-on effect on your social or family life.

Longer term, assess whether your chosen field will affect your partnership prospects.

Also, will a change into a different practice area mean a move to a regional firm from a central London firm or vice versa? If so, what will be the effect over the longer term to your commute and lifestyle?

4. Find out what retraining you will need to do

This will be especially relevant if you want to move into a field that you didn’t cover during your training contract. The Law Society sometimes offer courses for lawyers who are retraining and it is worth going on one of these even if you are only a couple of years out of law school. This will ensure you are completely up to date and give you an accreditation you can put on your CV.

As well as this, study the field in your own time. Read the relevant textbooks and recent cases so you can at least prove to any potential employer that you are up to speed and committed.

5. Sell yourself on your skills

Don’t over-estimate the importance of your lack of practical experience in a particular area. Employers, especially ones recruiting relatively junior staff, will be more interested in what skills you have and how these can be applied towards your new field. Negotiating skills are as valuable in divorce as they are in litigation. The ability to draft is as important in property as it is in employment. Commercial awareness is necessary across the board. Focus on these and similar attributes, as well as your drive and enthusiasm to learn and progress.

“The most important thing is to think long term,” says Ian Roberts. “Make sure you are moving for the right reasons in terms of your career as a whole and not just because the grass seems greener. Do your research and once you have made up your mind, go for it.”

To discuss how NQ Solicitors can help you move jobs and in to a new specialist field, call us on 020 3709 9165 or email us at info@nqsolicitors.com

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30/05/2017 by Ian Roberts

Why NQ Solicitors struggle to win new clients (and the simplest way to go about doing so)

Why newly qualified solicitors struggle to win new clients (and the simplest way to go about doing so)

One of the best ways to make your mark at a law firm is to bring in new clients. The question is how you go about it? Or to put it another way, how you go about it if your firm is not set up to help you?

Most law firms talk a good game about networking in order to win new business, but when it comes down to it they give little or no direction on how to do it.

As a result, whenever we raise networking experience with NQ Solicitor candidates, common responses include:

“I’ve hardly done any, the partners do the networking except for occasionally dragging me along to drinks events.”

“We weren’t encouraged to do it all, it was all about racking up billable hours.”

“It would have been pointless to try. There’s no way I could bring in the types of clients the firm wants like FTSE 100 companies and large multi-nationals.”

These answers are understandable but not excusable. Fast-forward a few years and you could find yourself in a common situation: as a senior associate or partner working for one or a few of the firm’s entrenched clients and unable to move because you have no following and no reputation outside your immediate sphere.

This is a big mistake. Without building a strong network your career could stall and leave you missing out on promotion or having to start from scratch if you decide to move on.

Networking is a key skill for lawyers

Networking is a key skill for lawyers and one that it is vital to master. You may feel you are too busy to network because you are drowning in contracts or discovery, but there is no time to waste. To misquote the old Chinese saying about planting trees: “The best time to start networking was 20 years ago. The second best time is now.”

Here are six networking tips for newly qualified solicitors:

1. It’s about relationships not selling

The good news is you’re already a great networker, you just don’t realise it. Networking isn’t about selling or handing out business cards, it’s about something you’ve been doing your whole life: building relationships.

Every time you meet a friend for lunch, play your Tuesday night game of netball/football or post something on Facebook, you are networking. You are building strong bonds with people you like and who enjoy your company.

Thinking of networking as relationship building is the first step to being a successful networker.

2. There’s more to it than formal events (although these can be useful)

Formal events can be excellent ways to meet people, especially if they are specific to your practice area. They are not for everyone though and if the thought of small talk with a room full of strangers fills you with dread, don’t despair.

Speaking at or attending conferences, writing blogs or articles, and being active on LinkedIn or Twitter are all forms of networking. So is meeting people for coffee or a drink after work.

Don’t fall into the trap of only chasing new clients and contacts. It’s as important to network with your existing clients and people within your own firm.

Most importantly, when you meet someone you have a connection with, follow up and stay in touch.

3. Target your audience

Don’t take a scattergun approach. Instead, identify people who could be a good source of referrals. This could be accountants, other lawyers or commercial property agents, for example, but be strategic about who you want to meet.

Not only that, but find the best forum in which to connect with your targets. In some sectors, people are likely to be highly active on social media (tech, for example) but may be more reluctant to attend formal networking events.

4. Think about your own brand

This isn’t just about the way you dress (although that’s part of it). Your goal is to get people to like you, trust you and eventually instruct you, so you need to be clear about your message and how you put it across.

For a start, you need to be highly visible to your target audience so that people get to know you. That means networking consistently, not every few months.

Next, you should have a clear message when you meet people for the first time about what you do and who you want to meet. Saying you are an employment lawyer who helps City workers in the financial services sector who have lost their jobs is more memorable than simply saying you are an employment lawyer. It may be counterintuitive but being highly specific is more, not less, likely to result in new business.

Remember not to sell your services, as nobody likes to be sold to. And listen attentively to other people when they tell you their story.

5. You’ll get out what you put in

Without wishing to go all spiritual on you, the best way to receive is to give. In other words, if you help other people by making introductions to them or sharing information they may find useful, they will be more inclined to help you in return.

Doing so will increase your social standing and credibility. Your first thought on meeting someone shouldn’t be “how can this person help me?” but “how can I help them?” That is a surefire way to build your network.

Always be “switched on” for networking and never make assumptions about anyone. I heard a story recently about a financial adviser who took on a high net worth client as a direct result of giving a small piece of free advice to his window cleaner.

6. Don’t be shy to ask for referrals

When the time is right, don’t be afraid to ask one of your contacts if you can pitch for their business or for an introduction to someone in their network you want to meet.

If you’ve established your credibility and shown that you are not just in it for what you can get, the chances are you’ll be given the opportunities you seek.

Before you know it, networking will be second nature and you are guaranteed to make your mark in your firm.

If you would like to discuss moving firms as a junior solicitor, or if you are looking to hire solicitors at NQ to 2 PQE, contact us on 020 3709 9165 or email us at info@nqsolicitors.com.

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