THE REALISATION THAT EVERYONE HAS A STORY A SNAPSHOT OF THE AUSTRALIAN LEGAL MARKET IN 2017

Transcription

1 THE REALISATION THAT EVERYONE HAS A STORY A SNAPSHOT OF THE AUSTRALIAN LEGAL MARKET IN 2017

2 Australian Market Overview 2017 Legal Market Trends: The legal job market in Australia has undergone an interesting 2017, with the announcement of significant mergers between upper-tier firms, and new, major international firms entering the Australian market. More importantly, the effects of Brexit in Australia have not been as dramatic as previously expected, with many leading law firms experiencing high and intense growth. Probably the biggest talking point in terms of mergers has been the recent fusion of Australian mid-tier stalwart Henry Davis York and global law firm Norton Rose Fulbright, which has continuously stoked controversy. Coming into effect at the end of 2017, the merger was initially forecast to be a strong union of the two firms, however after a heavy exodus of partners, many concerns have been raised. HDY has lost a total of 13 partners since the announcement, with NRF also losing out on a total of 7. However, both firms have also implemented a barrage of promotions, with a total of 20 promotions for HDY and 24 for NRF, so only time will tell on whether the merger will inevitably be a successful one. HDY will retire its brand and work under the NRF banner come December 1 st. Throughout 2017, the principal areas of demand have been corporate, litigation, regulatory, banking & finance, property, construction and major projects. In the second half of the year, an intense increase in demand for litigation lawyers across the top firms has flourished. Possibly the biggest trend in 2017 from 2016 is the increase in Australian lawyers returning home to Australia in recent years. We feel this is down to a number of reasons, with the strength of the domestic legal market being a major factor. Due to a number of practice areas and partners finding it difficult to recruit in niche areas, partners are becoming more willing to consider candidates at the junior to mid-level that have transferable skills from another practice group.

3 Are the new firms entering Australia offering more money? Although the new firms like White & Case, Jones Day, Hogan Lovells and Quinn Emmanuel are offering close to 10% - 20% above market rate, they are not paying close to what has become known as the Cravath Scale How has the legal market changed in recent years? Over the last 24 months there has been a significant amount of lateral partner movement and the inception of a number of US firms into the Australian legal market have made retaining top talent even more difficult. What should we expect for the future? Significant increases in salaries for mid-level professionals are expected in 2018 given they are most sought after. Demand for lawyers with three to six years post qualification experience and specialist areas of construction, corporate, property, banking and finance is increasing as these areas remain candidate short. There continues to be a significant and stable trend in areas of regulatory compliance, M&A and litigation, with professional services firms continuing to pursue and target lawyers in these areas, but with additional commercial, non-traditional, techsavvy expertise. We constantly hear words and phrases like innovation and work life balance when we are speaking to candidates and this has been supported by a number of lawyers at the more senior level making big moves to the top four professional services firms (PwC, Deloitte, KPMG, EY). In saying that, firms are becoming a lot more accommodating in terms of offering flexibility in the workplace.

4 Q&A with Sonder How do I know if I want to move in-house? Moving in house can be an exciting time in a lawyer's career, however it is important to realise exactly how it differs from private practice. For a senior lawyer who has worked under a number of high profile partners and clients it may present a fantastic opportunity to utilise and enhance their skillset. For a more junior lawyer, it may prove risky, as you may not receive the exposure and training you would in a private practice firm. It is all about timing and keeping your options open. Remember, moving in house can restrict you to a certain area of law, and therefore it s important to give it serious thought and speak to a consultant about the pros and cons. What types of bonuses do top tier firms pay? We are seeing more and more firms begin to offer a discretionary bonus scheme. Generally, bonuses range from 10% - 20% of a candidate s salary. What are the differences in working for a new firm over an established firm in Australia? Junior lawyers are encouraged to work with the best partners and the best clients in established firms to develop their skills, knowledge and awareness of the legal industry. However, we strongly believe senior lawyers should be on the hunt for opportunities in newer firms to potentially fast track their career progression, as there is less red tape, and practice groups are less top heavy. When should I accept a counter offer? Before looking at a counter offer, ask yourself why you were looking to leave in the first place. Was it simply money or were there more factors influencing your decision? Moving roles can be a stressful experience, however you must always focus on what s best for your career. If a counter offer from your company is something you feel is the best option at the time, then so be it. Trust your gut, follow your instinct and seek what you deserve!

5 Australian Salary Guides / 2017 Top-Tier (all figures in 000 s and in AUD) PQE Sydney Melbourne Brisbane Perth SA SA SA SA SA Special Counsel

6 Mid-Tier (all figures in 000 s and in AUD) PQE Sydney Melbourne Brisbane Perth SA SA SA SA SA Special Counsel

7 Number of Partners in Top 50 Australian Law Firms

8 20 Partner Movements 2016 / January February March April May June July August September October November December

9 MEET THE TEAM

10 Kevin Sinnott Managing Director t m Lvl 25, Tower 3, International Towers 300 Barangaroo Avenue, Barangaroo NSW 2000 kevin.sinnott@sonderconsultants.com Kevin founded Sonder Consultants in 2015 and since then has delivered a number of successful mandates for clients within the legal and financial services industry. Kevin has a very broad and direct approach, which allows his clients to be consistently impressed with his services ensuring their continued success. Having graduated with a first-class honours degree in Civil Law from the National University of Ireland, Galway, Kevin has worked as a lawyer with several of the world s top law firms in New York, Ireland and Sydney. Having worked with some of the most successful legal professionals and companies in the legal industry, Kevin prides himself in his network, which has been the forefront of his success to date, a network he is always looking to continuously improve. Recent Assignments Domestic Partner, Litigation - Top tier firm, Sydney Partner, Corporate - Boutique firm, Sydney Special Counsel, Litigation, Top tier international firm, Sydney Special Counsel, Banking and Finance, Top tier international firm, Sydney International Of Counsel, Funds, International firm Cayman Islands Of Counsel, Corporate, International firm, Hong Kong Senior Associate, Corporate, New York, Top US Firm

11 t m Lvl 25, Tower 3, International Towers 300 Barangaroo Avenue, Barangaroo NSW 2000 matthew.hart@sonderconsultants.com Associate Director Having graduated with a law degree from the University Technology, Sydney, Matthew joined a leading sports & entertainment agency in New York where he delivered a number of successful mandates for clients across the NBA, NFL and for leading brands, such as MetLife, Wells Fargo and SAP. On returning to Sydney, Matthew spent time working for an international recruitment company before joining Sonder Consultants as an Associate Director. Matthew specialises in placing candidates at all levels across private practice and inhouse opportunities. The referrals Matthew receives truly validate that his reputation and dedication to successful results are both valued and appreciated. Matthew s honest and strategic approach allows him to provide outstanding consultative career and business guidance to his clients and candidates. Matthew Hart Recent Assignments Domestic Senior Legal Counsel - ASX listed company (Sydney) Senior Associate, Banking and Finance, Top tier international firm, Melbourne Special Counsel - Construction, Top Tier international firm, Sydney International Of Counsel - Funds, Cayman Islands - International Firm Associate - Corporate, New York - Top US Firm Senior Associate - Banking and Finance, Magic Circle Firm, London

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