Around the Firms

Billing is another concern brought about by the economy. The president of San Antonio-based firm Matthews and Branscomb, Daniel Elder, believes that corporate clients are concerned with fairness of their bills. Elder stresses that his firm engages in competition based not on fee-based rivalry, but on supplying eminence. He explained that in order to be work to be handled proficiently, suitable staff members need to be assigned. Elder feels that it is important for the attorneys to be cost sensitive. Using itemized hourly billing accounts often safeguards clients, though this type of arrangement can be tedious for the client, causing the need for verification of services. Firms are also looking into alternate billing arrangements, such as a flat-fee plan. Elder is aware that many firms and the majority of consultants would like to avoid billable hours, although this might effect difficulties for both attorneys and clients. He believes that the number of hours necessary to finish an assignment is pertinent to only the law firm; a flat fee should resonate value.

Teamsters Aid Recently Unionized Lawyers

Probably for the first time in the private legal business, several Arizona attorneys from Los Angeles' Parker Stanbury have formed a union, naming the Teamsters as the collective bargaining unit. The incitement for the union was the attorneys' dissatisfaction with their earnings and with their working conditions. According to Parker Stanbury attorney Monte Rich, who serves in the firm's Phoenix office, other lawyers have been inspired by the firm to make the same move. Parker has five Arizona offices and is engaged in business with Pre-Paid Legal Service, which aids poor and middle-class people who need to have an attorney. Approximately $25 per month buys members unlimited phone calls and lawyer consultations. Out of 18 attorneys, 16, including Rich, voted to become part of Phoenix' Teamster Local 104, which is made up of truckers, bakery drivers for grocery companies and United Postal Service employees. Although there has not been any comment from managing partner Robert LoPresti, negotiator Wayne Hersh has stated that Parker is prepared to arrange a deal that is acceptable overall. The negotiator also revealed that a lockout would be an option should these employees decide to strike. However, Hersch says that this is not expected and that the workers have received no formal proposal because Parker is awaiting the unions' first proposition. A basis of the union's complaint is insufficient resources, which they say is particularly detrimental to the attorneys because many of them operate only via telephone. Another issue is insufficient pay: While the market rate for area lawyers is $75,000 to $80,000, Parker's attorneys start at $50,000. Parker attorney Heath Dooley, who headed up the union battle, said that he has tried for several months to effect improvement but to no avail, so he turned to the union. Teamster organizer Ed Bagwell says that the Teamsters already have filed four unfair labor charges against the firm's alleged interference with the effort to unionize. In fact, several attorneys have declared that through letters and memos, management has tried to hinder the union However, Hersh has responded to some of the attorneys' complaints. Although it is true that the firm lacks a legal library, Parker lawyers are able to use online legal products. Pre-Paid Legal Service, he has said, establishes the work quota. One unionized lawyer, Bob Zachreson, expressed his feeling that the Phoenix office's attorneys are performing as telemarketers, as Pre-Paid's specifications oblige them to resolve two-and-a-half complaints each hour.

For Temps, a Tight Market Can Be a Good Thing

The world's languishing economic state seems to be somewhat beneficial. Although some firms have been forced to dismiss associates and to cut back on the number of participants in their summer and first-year classes, legal recruiters have revealed that the constriction of that job market has resulted in more temporary attorneys achieving permanent employment. It seems that firms like to give test runs, according to consultant Sandra Mannix, of Philadelphia-based Abelson Legal Search, explains. In an economic market such as the one that exists now, it can be costly for a firm to just hire someone off the bat and then terminate him or her if things do not work out, she says. Robert Nourian of Coleman Counsel Per Diem in Rosemont, PA, concurs. Nourian says that often firms prefer to ensure the steadiness of caseloads before they bring in more lawyers than their finances allow; contract attorneys are often used until things are certain. They also want to make sure the workload will be consistent. Company-wide hiring freezes are another reason that companies use contract attorneys.

Both Nourian and Mannix admit that temporary attorneys have been perceived negatively. However, this seems to have receded, most likely because economic times have caused many well-qualified attorneys to lose their full-time work. Piper Rudnick, based in Washington, DC, is another firm that has hired contract attorneys full-time. Managing partner William Kiniry acknowledges that this was not something that the firm planned; it was more of a matter of these attorneys being in the right place at the right time. However, it seems that skills are not the only thing on which employers focus in determining whether to permanently bring on board contract employees. Nourian says that today employees must demonstrate to an employer an appropriate attitude ' one that will be in accordance with the company's culture. Kiniry's advice to contract attorneys seeking full-time employment is to operate as would any attorney looking for career progression: The key is for one to become essential to the organization by obtaining expertise in pertinent legal areas. Emma Karabell, an associate at Piper Rudnick, has had personal experience rising from contract to full-time status. She had done temporary work at other firms for a few years, and in April 2002, became a contract employee at Piper Rudnick. Karabell rose to part-time status a few months later, and by January she was on board full-time. She explains that for her, flexibility was an important component. Karabell ensured that she was able to put in long hours, to be available on Saturdays if necessary, and to be able to travel with little advance notice. She was also proactive when it came to pursuing assignments. Her recommendation to others is to employ creativity. Contract employees who hope to move on to associate status should not wait for things to happen ' they should make them happen.

Survey Reveals Steady Salaries, Billing Concerns

According to Texas Lawyer, Texas firms' salaries did not have much of an increase on average for the second consecutive year. The information was displayed in the Texas publication's annual Salary & Billing Survey, to which 46 firms responded. Paralegals, personnel managers, and associates all faced meager increases. The economy seems to be behind this, as Cox and Smith's executive director, George Casbeer, states. The officer of the 91-attorney firm in San Antonio said that salaries and billing have been level because of the current financial times. Charles Post, the CEO of Houston's Susman Godfrey, concurs, explaining that associate salaries at his firm have not been changed for several years and that even in the case of staff positions that hold a higher demand, such as information technology employees, moderate increases are given. However, legal secretaries with 1 to 3 years' experience and who are employed at firms with anywhere from 50 to 99 lawyers have had a significant salary increase (20.4%). One reason for this, according to one respondent, is that salaries were below market rates for this rank and that there needed to be a weighty raise.

Although Houston's Hobbs Consulting President William Cobb says that attrition rates are behind the moderate raises ' with layoffs decreasing employers' concern to increase compensation ' Post stressed that lasting prosperity in firms can be achieved from long-term commitment. Also, there are other costs, such as technology and training, that cannot be avoided and could have either a positive or negative effect on the number of personnel. What's more, management strategies at firms have increased in complexity – and this is something that cannot fluctuate with the economy. With increases in rates, corporations have begun to put firms in a position of competing against one another for business, using buying power to reduce rates.

Billing is another concern brought about by the economy. The president of San Antonio-based firm Matthews and Branscomb, Daniel Elder, believes that corporate clients are concerned with fairness of their bills. Elder stresses that his firm engages in competition based not on fee-based rivalry, but on supplying eminence. He explained that in order to be work to be handled proficiently, suitable staff members need to be assigned. Elder feels that it is important for the attorneys to be cost sensitive. Using itemized hourly billing accounts often safeguards clients, though this type of arrangement can be tedious for the client, causing the need for verification of services. Firms are also looking into alternate billing arrangements, such as a flat-fee plan. Elder is aware that many firms and the majority of consultants would like to avoid billable hours, although this might effect difficulties for both attorneys and clients. He believes that the number of hours necessary to finish an assignment is pertinent to only the law firm; a flat fee should resonate value.

Teamsters Aid Recently Unionized Lawyers

Probably for the first time in the private legal business, several Arizona attorneys from Los Angeles' Parker Stanbury have formed a union, naming the Teamsters as the collective bargaining unit. The incitement for the union was the attorneys' dissatisfaction with their earnings and with their working conditions. According to Parker Stanbury attorney Monte Rich, who serves in the firm's Phoenix office, other lawyers have been inspired by the firm to make the same move. Parker has five Arizona offices and is engaged in business with Pre-Paid Legal Service, which aids poor and middle-class people who need to have an attorney. Approximately $25 per month buys members unlimited phone calls and lawyer consultations. Out of 18 attorneys, 16, including Rich, voted to become part of Phoenix' Teamster Local 104, which is made up of truckers, bakery drivers for grocery companies and United Postal Service employees. Although there has not been any comment from managing partner Robert LoPresti, negotiator Wayne Hersh has stated that Parker is prepared to arrange a deal that is acceptable overall. The negotiator also revealed that a lockout would be an option should these employees decide to strike. However, Hersch says that this is not expected and that the workers have received no formal proposal because Parker is awaiting the unions' first proposition. A basis of the union's complaint is insufficient resources, which they say is particularly detrimental to the attorneys because many of them operate only via telephone. Another issue is insufficient pay: While the market rate for area lawyers is $75,000 to $80,000, Parker's attorneys start at $50,000. Parker attorney Heath Dooley, who headed up the union battle, said that he has tried for several months to effect improvement but to no avail, so he turned to the union. Teamster organizer Ed Bagwell says that the Teamsters already have filed four unfair labor charges against the firm's alleged interference with the effort to unionize. In fact, several attorneys have declared that through letters and memos, management has tried to hinder the union However, Hersh has responded to some of the attorneys' complaints. Although it is true that the firm lacks a legal library, Parker lawyers are able to use online legal products. Pre-Paid Legal Service, he has said, establishes the work quota. One unionized lawyer, Bob Zachreson, expressed his feeling that the Phoenix office's attorneys are performing as telemarketers, as Pre-Paid's specifications oblige them to resolve two-and-a-half complaints each hour.

For Temps, a Tight Market Can Be a Good Thing

The world's languishing economic state seems to be somewhat beneficial. Although some firms have been forced to dismiss associates and to cut back on the number of participants in their summer and first-year classes, legal recruiters have revealed that the constriction of that job market has resulted in more temporary attorneys achieving permanent employment. It seems that firms like to give test runs, according to consultant Sandra Mannix, of Philadelphia-based Abelson Legal Search, explains. In an economic market such as the one that exists now, it can be costly for a firm to just hire someone off the bat and then terminate him or her if things do not work out, she says. Robert Nourian of Coleman Counsel Per Diem in Rosemont, PA, concurs. Nourian says that often firms prefer to ensure the steadiness of caseloads before they bring in more lawyers than their finances allow; contract attorneys are often used until things are certain. They also want to make sure the workload will be consistent. Company-wide hiring freezes are another reason that companies use contract attorneys.

Both Nourian and Mannix admit that temporary attorneys have been perceived negatively. However, this seems to have receded, most likely because economic times have caused many well-qualified attorneys to lose their full-time work. Piper Rudnick, based in Washington, DC, is another firm that has hired contract attorneys full-time. Managing partner William Kiniry acknowledges that this was not something that the firm planned; it was more of a matter of these attorneys being in the right place at the right time. However, it seems that skills are not the only thing on which employers focus in determining whether to permanently bring on board contract employees. Nourian says that today employees must demonstrate to an employer an appropriate attitude ' one that will be in accordance with the company's culture. Kiniry's advice to contract attorneys seeking full-time employment is to operate as would any attorney looking for career progression: The key is for one to become essential to the organization by obtaining expertise in pertinent legal areas. Emma Karabell, an associate at Piper Rudnick, has had personal experience rising from contract to full-time status. She had done temporary work at other firms for a few years, and in April 2002, became a contract employee at Piper Rudnick. Karabell rose to part-time status a few months later, and by January she was on board full-time. She explains that for her, flexibility was an important component. Karabell ensured that she was able to put in long hours, to be available on Saturdays if necessary, and to be able to travel with little advance notice. She was also proactive when it came to pursuing assignments. Her recommendation to others is to employ creativity. Contract employees who hope to move on to associate status should not wait for things to happen ' they should make them happen.