As with most industries in the United States today, hiring has become a huge challenge for law firms, especially for boutique firms with small teams. From January-June 2023, 44% of law firms and legal departments were hiring for new roles and 54% were hiring for vacated roles – the total amounts to more than 8 million positions posted on more than 1,000 independent job boards and company sites, according to Robert Half Talent Solutions.
With so much competition, it’s more important than ever for small firms who lack the resources to provide a huge benefits package, to determine ways that attract top talent without completely depleting their budget.
Is the legal job market improving?
For attorneys looking for a job, the legal job market is looking great! But for law firms looking to hire, statistics tell another story. In April, the U.S. Legal Services sector declined in jobs for the first time in six months, which is the only sign that competition will decrease for law firms looking to compete for top talent.
Evaluating the current legal job market
Though new roles are becoming slightly less saturated, the landscape is still pretty challenging for firms that are looking to hire. In fact, 97% of those hiring reported facing challenges with finding skilled talent. And with 78% of lawyers and managers in law firms and legal departments planning to hire more contract professionals in 2023, there’s definitely a reason to be concerned that this job market won’t let up any time soon.
How to hire a lawyer as a small law firm
So, where does that leave small firms who need to hire in order to survive? We recommend offering comprehensive perks and benefits that won’t drain your budget but will set you apart from larger, more corporate firms. Because the unemployment rate for lawyers is a stunning 0.8%, you’ll need to attract attorneys who are already employed or who are just starting out if you want to fill key roles at your firm.
Do small law firms offer benefits?
While small law firms may not be able to offer benefits that are as comprehensive or grand as their BigLaw counterparts, they still need to offer some level of benefits to their employees in order to attract and retain top talent. Even if a law firm is able to hire an attorney without a comprehensive benefits package, the likelihood that the employee will stay is low, leaving firms on the hook for high turnover costs that can equal up to 4xs the employees salary, according to Attorney at Work.
Standard law firm benefits you need to offer as a small firm
- Health insurance
- Dental insurance
- Retirement plans
These are the baseline benefits that employees will be looking for, and it will be difficult to find attorneys if these basic benefits are not offered. If your plans are not very comprehensive or if you’re only able to offer something like a QSEHRA, it’s worth considering alternative benefits to add to your job listing.
Attractive alternative law firm benefits to add to your job listing
- Unlimited PTO
- Flexible Hours
- Hybrid or remote work options
- Four-day work weeks
How to compete with big law firms with the best benefits
At the end of the day, the biggest benefit of working for a small firm is the culture, and most attorneys who are applying for a job today know how important that element is. With a record number of attorneys facing burnout, the best thing you can do is to communicate a positive, balanced work culture in your job listings and during the interview process. If you need help figuring out how to optimize your budget to be able to provide a more generous benefit package, talk with a professional bookkeeper, like the ones here at Legal Ease Bookkeeping, about how you can work these benefits into your overall business plan.
