Does Greater Choice Drive Better Diversity?

Most top law firms across the country are currently looking for diverse, well-qualified attorneys to fill positions. And, to be sure, this makes sense; a diverse team can be a powerful force in achieving success. Yet, the data shows that many top-tier law firms are falling short on their own diversity goals.

Traditional lateral attorney recruiting may be driving the problem. The old, stale hiring methods tend to deliver firms the same types of candidates over and over again. Law firms should be able to access a broader pool of well-qualified associates. Greater choice is one of the keys to better hiring practices and a more diverse and successful firm.

Research: Diverse Firms are More Successful

One of the biggest misconceptions out there is that top law firms should increase their diversity simply because it is the “right” thing to do. While it is true that the world’s best law firms should reflect society as a whole, the fact of the matter is that diversity brings tangible benefits to a law firm. Recently, the Harvard Business Review published a report on research that found that more diverse companies reaped financial benefits. The study found benefits for ethnic diversity, gender diversity, and school background diversity.

The specific paper focused on venture capital (VC) firms. Studying a number of different VC companies over several years, the researchers noted that more diverse firms tended to make better decisions. Similar to law, decision making is critically important at the top echelons of the venture capital industry. Researchers emphasized their findings that a more diverse group of decision-makers tended to access a broader spectrum of information and come to better solutions.

Law Firms and the Legal Profession Benefit from Diversity

The American Bar Association (ABA) is committed to increasing diversity across the entire legal profession. A good reason for this is diverse workplaces are also creative workplaces. With a variety of different perspectives, law firms are better able to answer client questions, increase productivity, find innovative solutions, and tackle difficult problems. As leading corporations and organizations are increasing the diversity in their own workplaces, they are looking for top-tier law firms that are keeping up with the times.

Beyond this, diversity leads to retention; lawyers at diverse firms may avoid constantly seeking a better option. And this, in turn, leads to a more effective firm driven by lawyers who feel empowered and eager to collaborate.

Traditional Legal Recruiting Falls Short On Diversity

There is no way to sugarcoat it: the legal profession is lagging behind most other industries on key diversity metrics. According to data provided by The National Association for Law Placement (NALP), only 19.6 percent of equity partners are women and 6.6 percent of equity partners are racial or ethnic minorities. Even more alarming, A report from ALM Intelligence found that the nation’s largest and most prestigious law firms scored slightly worse on diversity metrics than the industry as a whole. While the data is somewhat better for younger lawyers—reflecting the commitment to progress at top firms—there is still a long way to go.

So what is the problem? There is a clear desire among leading law firms for more diverse candidates. Yet, too many firms are struggling to meet their own goals. The answer may simply lie in the traditional model of legal hiring. The industry has seen relatively little innovation on this front. To find the best candidates, many firms continuously turn to third party recruiters. They tend to show the top law firms a relatively narrow slice of the lateral associate market—essentially delivering them the same type of candidate from the backgrounds that the law firm has hired time and again – therefore crippling the ability of the firm to become more diverse.. It is very difficult to get more diverse outcomes with the exact same inputs. With little choice other than using third parties to act as the sourcing element of the hiring, it is no wonder that so many firms struggle to meet their diversity metrics.

Up or Out Connects Law Firms With a Broad Pool of Qualified Candidates

Up or Out solves a problem. Until now, there has been no truly effective mechanism to allow AM Law 200 firms to connect directly with the most talented attorneys in private practice – the lawyers who are actively searching for their next opportunity. Indeed, law firms have relatively little control over the hiring process and are reliant on third party recruiters to source qualified candidates against a commercial model that rewards them purely on a success fee basis. This in turn ensures that these firms will find the simplest route to earning that fee, a route that involves supplying the same type of attorney over and over again to that law firm. As such, they are no way incentivized to help that firm drive their diversity metric. In reality, the current system is set up to fight every step of the way against better diversity in lateral hiring.

It is clear that traditional legal recruiting—and especially lateral hiring—is in need of innovation. The lack of diversity among candidates is one of many problems in the industry. Up Or Out is a transformative direct video introduction platform that allows law firms to engage with the top lawyers in private practice. We make the connection—law firms and attorneys determine what happens next. Through the platform, law firms can engage directly with actively looking Am Law 200 associates while retaining control of the hiring process and their own EVP. In other words, they get real choice. That choice drives diversity in hiring.

Learn More About What Up Or Out Can Do For Your Law Firm

Up Or Out is an exclusive direct introduction platform for top tier law firms and talented attorneys. Disrupting the traditional hiring process that has long given the lion’s share of the benefit to third party recruiters, we connect law firms with qualified lawyers who are actively searching for their next opportunity. Save time, save money, and get better results. Contact us today to learn more about how we can help your law firm connect with a broader pool of diverse candidates.