Latest news – Council reveals law student data; Blended workforces on the rise; Lawyers' clients at odds on value for money

Debate ‘uninformed’ on law student numbers

The Council of Australian Law Deans has played down speculation about a perceived mismatch between the growth in the number of law students and job outcomes for law graduates. Figures from a recent council survey of the 39 law schools across Australia reveal that the total number of Australian law graduates in 2015, the latest reporting period, was 7583. This number is well below a figure of about 15,000 that is often reported in the media, according to the council.

Suggesting that a lot of commentary around graduate numbers is “uninformed”, the council adds that law students receive the lowest subsidy from the Federal Government ($2059) and pay the highest student contribution for Commonwealth supported places, or CSPs. In 2015, the number of CSPs in law formed only 4.75 per cent of the total number of CSPs across all disciplines.

“This data demonstrates that law graduate numbers remain modest, put a relatively small burden on government, and produce good graduate outcomes compared to many comparable degrees,” the council states. “The case for singling out law for additional regulation or cuts is therefore not made out.”

While it concedes there is “very little data about job prospects for law graduates”, the council cites Graduate Careers Australia statistics which show that about 74 per cent of those who graduated from law school four months earlier and were available for employment were in fact employed. “This outcome is higher than the national average for graduate employment, which is a little under 69 per cent,” the council notes.

Expect more ‘blended’ workforces in 2017

‘Blended’ workforces and ‘super temps’ will increasingly come to the fore in 2017, according to Hays. The recruiting firm predicts that companies and firms will “blend permanent and non-permanent staff” and place additional emphasis on work-life integration. Job-seekers will also have more salary negotiation leverage this year. Hays believes the rapid rise last year in the use of temporary and contract assignments will see headcount flexibility become the norm in 2017, meaning employers will have to factor such assignments into their workforce planning. The use of ‘super temps’, or highly-skilled professionals who work on assignment in an interim executive or senior role, will become more widespread. Yet the supply of such workers is likely to come under pressure in regions such as New South Wales, Victoria and the ACT, in particular.

In terms of a salary and benefits trends, Hays predicts the battle for highly skilled, in-demand candidates will see them have more salary bargaining power. Millennials will also have a major impact on the workforce. They have higher work-life balance expectations, which will see some organisations up the ante on work-from-home options. Millennials also want a supportive boss who is a coach or mentor and offers a close, informal relationship. “With millennials now accounting for the highest percentage of the workforce, in 2017 people managers will need to adapt their leadership style accordingly,” Hays states.

Clients hard to please on value for money

A new LexisNexis survey represents a potential wake-up call for lawyers in terms of the value for money they deliver to clients. According to its LexisNexis’s 2016 Bellwether Report survey, just under one-third of lawyers say they offer ‘excellent’ value for money, but only 8 per cent of their clients agree. LexisNexis suggests that lawyers tend to equate ‘value’ with ‘price’ and – having met pressure to cut their fees in recent years – they now feel they are offering their clients excellent value. However, clients “felt those fees were too high to begin with. So even though fees have come down, they still don’t feel as though they are getting more than they have paid for”, the survey concludes.

The report also casts doubt on whether lawyers truly understand what clients care about with regard to service. “When we asked lawyers what their clients value most, they put ‘clear cost/fixed fees’ at the top of the list. But when we asked clients, they put ‘a clear understanding of my particular needs’ above everything else,” LexisNexis states. Clients also valued sticking to a timetable very highly.