How legal tech can help law firms navigate the current labour shortage

Beth Bradley, content marketing lead at Actionstep, explores some of the reasons behind the legal talent shortage, with suggestions on how legal tech can ease the burden.

What’s behind the legal labour shortage?

An estimated 58% of UK-based law firms are under pressure due to a lack of qualified workers. To stem high turnover, firms are pulling out all the stops. In the UK, legal graduates are being offered salaries up to £150,000 – over five times the average national salary.

This might seem like good news. However, these increases haven’t occurred due to firms’ goodwill. They’ve occurred because lawyers are rejecting the outdated approaches that are pushing people out of the profession. Generally speaking, two major factors seem to be causing the legal labour shortage – overwork and cultural concerns.

Burnout and overwork

Junior lawyers at London firms have been averaging 14-hour workdays since the onset of the pandemic. In fact, estimates suggest that lawyers are working approximately 20 days more per year than before 2020. Such intense workloads have a profound impact. Stories have emerged from junior lawyers on the verge of hospitalisation from stress and anxiety. In Australia and New Zealand, around 85% of legal professionals suffer from anxiety themselves or know a colleague who does, and 80% have (or know someone who has) depression.

Culture concerns

First things first: many legal firms have fantastic cultures. Unfortunately, however, some don’t, and this affects how employees feel. A UK survey showed that over 50% of people working in the legal profession have left a position due to their workplace’s toxic culture. In fact, 38% have found themselves less engaged with their roles as a direct result of culture. When analysing why so many lawyers are leaving, it’s important to acknowledge that culture is a key factor.

How can legal tech help?

When there aren’t enough lawyers to go around, firms begin to struggle – key deadlines are missed and work is rushed. When the quality of work suffers, so does the firm’s reputation. And when current employees are overworked and disillusioned, it’s no wonder that firms struggle to fill positions.

Law firms must identify how they can do more with less and ensure their staff’s time is focused on high-value work. With legal tech solutions, firms can leverage automation to increase their staff’s productivity, allowing them to focus on high-value (and interesting) work. Practice management software helps lawyers focus their time and energy on what really matters: helping their clients.

Safeguard your firm’s future

Legal tech solutions can’t solve the current labour shortage on their own. However, legal practice management software can maximise the value that your firm gains from your existing staff – and improve their employee experience. Want to find out more about how Actionstep increases firms’ productivity? Talk to our team today to find out how we can help.