As the legal market continues to grow, law firms are struggling to keep pace with the growing demand. Salaries are low, but the demand for high-end services is rising. If you are considering a career in the legal sector, you need to consider the many nontraditional options available. While loyalty to the school is still important, you may be better off pursuing jobs in the legal sector that are not typical. Below is a look at a few of the nontraditional options that exist within the industry.
Law firms are struggling to keep up
Job seekers are looking for new challenges and opportunities in the legal industry, and this is affecting the way large law firms work. Several of these firms are sluggish, and others are hiring fewer people. Smaller firms have embraced new technologies and a new way of doing business. Small firms are more entrepreneurial than large ones, and they are often more ambitious when it comes to working with employees.
In the past year, technology has become the lifeline for the legal profession, and the innovations are only picking up steam. In fact, the number of law firms that have implemented new technology is rising as the pandemic gains momentum. For a law firm to remain future-ready, it needs to embrace these innovations and develop technological solutions. A recent survey of 126 U.S. law firms suggests that only a third of them are prepared for the challenges of the coming decades.
Salaries are low
The job market may be under a bit of downward pressure, but it’s still not as bad as it could be. While many predicted a decline in the job market following the Great Recession, a lot of people applied to law schools during hard times. While the job market may not be as bad as many thought, the increased number of students will impact the legal job market in the near future. Although there is little evidence that the job market will increase substantially, there are plenty of reasons why salaries may remain low.
In the past, the legal sector had a stable utility curve thanks to the high demand for lawyers. However, the COVID-19 pandemic shifted that utility curve – and has had a significant impact on the legal industry. In recent years, law firms have increased associate salaries, though not enough to compensate for the low demand. In fact, the salaries of associates are still relatively low compared to those of other professions.
Demand for high-end legal services is increasing
The world’s largest law firms have enjoyed record-breaking growth in demand for high-end legal services. In the first half of this year, the average working rate at Am Law 200 firms was up over 6 per cent, compared to the same period last year. The increasing demand is also boosting law firm profits. In fact, the first half of FY2022 saw an unprecedented 16,000 merger and acquisition transactions, making the demand for legal services at Am Law 200 firms extremely strong.
According to one survey, 81 percent of firms reported increased legal needs in the past year. In New York, 100 percent of responding firms saw an increase in demand, with annual billings up 12 percent compared to 2015. However, this growth is uneven across jurisdictions. There are many reasons for this disparity. The growing need for legal services has led to increased efficiency among member firms. In-house lawyers are changing their consumption patterns. They now specify the deliverables they need, rather than hours.
Nontraditional jobs in the legal sector
For attorneys considering an alternative career path, nontraditional jobs in the legal field provide new perspectives. These careers can range from insurance adjuster to legal blogger, from law professor to patent examiner. Increasing numbers of professionals are seeking careers that better reflect their interests and values. Many also find that nontraditional jobs in the legal sector improve work-life balance. Below are some ideas on how to make a nontraditional legal career work for you.
Unlike traditional jobs, nontraditional legal jobs provide more financial comfort and less rigid schedules. While the conventional route of joining a law firm or practicing law in a specific practice area is great, many lawyers prefer to leverage their analytical skills and knowledge gained in law school in a nontraditional job. These positions are sometimes referred to as “J.D. Advantage jobs,” as they are the best opportunities for attorneys with law degrees.