Integrity in the Recruitment Process: A Guide for Candidates and Clients
Recruitment is more than matching a candidate's skill set with a job description. It’s about aligning values, expectations, and ambitions. Integri...
Connecting...
2024 Australian Legal Industry Partner Movements Report: A Snapshot of Shifting Priorities
The Australian legal industry saw 67 lateral partner movements in the September 2024 quarter, reflecting a 20% decrease from the same period last year. Notably, promotions during this quarter were also considerably lower than in the previous two years, indicating a notable cooling in both lateral movements and internal advancements. This shift signals a cautious approach by firms, potentially linked to broader economic factors and increased focus on retention and strategic placement of existing talent.
Core Practice Areas Retaining Strength
As in previous years, Corporate & Commercial, Litigation, and Insurance continue to be the pillars of partner mobility. Firms have consistently sought expertise in these areas to meet client needs for corporate governance, complex dispute resolution, and comprehensive insurance risk management. While Employment Law was a key driver of lateral moves in 2023 due to new compliance regulations, demand in 2024 remains steady yet somewhat tempered, suggesting a maturing market. Firms are refining their employment law offerings, balancing regulatory compliance needs with advisory capabilities that are increasingly sophisticated.
Growth-Focused Firms
Hamilton Locke and Mills Oakley have continued their aggressive growth strategies, both through lateral hiring and firm mergers, signaling a commitment to increasing their market share and expanding their service offerings. This has been particularly apparent as they strategically target sectors where their current client base is most active. Meanwhile, Sparke Helmore Lawyers and Gadens have also ramped up their hiring, with a keen eye on securing talent that aligns with their long-term growth objectives. This trend among mid-to-large firms underscores a competitive push to secure market presence by building robust teams in high-demand practice areas.
The Impact of the KPMG Fallout
The ongoing fallout from KPMG has created a ripple effect in the lateral hiring market. As accounting firms face increased scrutiny and the legal sector shifts to take on advisory roles that traditionally might have fallen under the purview of multi-disciplinary professional services firms, law firms are strategically recruiting partners who can bring this nuanced expertise in advisory, compliance, and risk management. This trend has driven law firms to rethink the skillsets they require, attracting talent that can navigate the hybrid legal-advisory landscape.
Conclusion: A Deliberate Market Recalibration
The 2024 lateral movement data reflects a deliberate recalibration across Australian law firms. With a decrease in both lateral moves and promotions, firms are exhibiting a more cautious, retention-focused approach, realigning talent to meet steady client demand without the heightened recruitment push of previous years. As top firms in key sectors strengthen their standing, the strategic hiring observed in firms like Hamilton Locke, Mills Oakley, Sparkes, and Gadens points to a legal market that, while conservative, remains adaptive to shifting client needs.
For more details and information
If you would like more details on partner movement in either the September quarter, or a more general overview, reach out to our team for a confidential conversation with either Steven Nunn or Steven Corfield.
