As appeared on LinkedIn, August 22, 2023. “They left us because of the money.”
Partners often say this to one another when one of their own departs for a competitor. The truth is, more often than not, money is not the catalyst.
By plucking “They left us because of the money” from thin air, it’s an easy way to deflect the deeper thinking that should take place by firm leadership. Marking this as the cause makes partners feel better about why one of them may have left the fold.
It’s a lovely fantasy to blame the situation on a money-hungry lawyer, but in most cases, that’s not what is taking place. It’s not the number one reason that people move.
With currents of lateral partner moves happening throughout the industry, firm leadership should ask themselves what they can do to retain their talent. An important survey conducted by Major, Lindsey & Africa on the topic of lateral partners, points to the fact that while some partners may leave due to compensation, they often leave because of:
A lack of confidence in their firm’s management and strategy
A lack of support by management to help build their practice
A dislike of the firm’s culture
How a firm responds to the climate of partner departures will determine how they them retain talent, avoid further defections, and grow their firm. What should firm leaders to do? Here are just a few thoughts.
1. Have greater transparency in managing the firm and be forthcoming with information and metrics with partners, associates and professionals.
It used to be part of the profession’s mystique to be secretive about how decisions were being made. That made for great television shows and big box office movies. But today, mystique is now simply a bad idea and bad for business.
2. Get your firm management (both partners and professional staff) out, speaking to the firm’s partners and staff.
There is no such thing as too much communication when talking about your leadership’s objectives and values.
3. Provide support for partners and associates to build their business.
Listen to your business development professional’s advice because most of those I’ve met advocate for their firms and generally have the skills to build programs to provide the right support for the firm.
Give them the resources to build training programs for lawyers at the various levels of experience (junior, mid-level and senior associates, new partner and experienced partners, and particularly new lateral partners.) Allow them to help hire coaches to work with promising senior associates and for more senior partners to work on their skill base.
While “They left us because of money” is a tidy excuse, firms need to rethink that easy phrase.
If you would like a link to the MLA study, please contact me.
