All Your Eggs In One Basketcase

Pensions. Brilliant stuff. Nothing more cheery than thinking about whether you’ve got enough tucked away to make sure you don’t starve before you die of something else.

As someone who has been looking at pension arrangements lately it’s apparent that you have to try and make sure you have a balanced element of risk when you’re sorting out where to invest. Do you target your fund on those global markets offer a better rate of return, albeit at a higher risk to your money? Or do you instead look at less volatile areas which provide greater security but without the possibility of making any stratospheric gains.

It’s a bit of a balancing act, but generally people will make some effort to spread the risk. Putting some money on those high return areas on the hope of making a quick buck, with other funds in medium-to-low risk markets, spreading the investment to ensure that not all of your eggs are in one basket. That way if one goes down you still have other irons in the fire which you can bring into place.

And what does any of this have to do with the legal recruitment market? Fair point, but stay with me.

When it comes to legal recruitment we are only too aware that for some candidates it can be a wrench to decide to move firms, particularly if they have been with the practice for a number of years. However experience has taught us that the worst thing that you can do is to make a half-baked effort at it, hence when we are working with solicitors, partners and teams who are looking to move we make a point of putting as many serious opportunities in front of them as possible. This isn’t a ‘seeing what sticks’ mindset, but is a carefully considered and strategic approach of matching the candidates’ aspirations with the strategies and ambitions of the various firms.

There is an understandable reluctance amongst partners to be thought of as ‘on the market’ and occasionally they will reject this advice, preferring to only speak to one firm at a time, taking things through to a conclusion and then deciding whether to accept or reject an offer. Good idea?

Nope.

In fact, it’s just about the worst approach you can take.

Look at it this way. You’re booking a holiday; do you a) look at a number of locations, and a number of different accommodation options in those locations, including reading reviews and getting prices? Or do you b) pick one hotel, almost at random, without checking facilities, prices, reviews, what is nearby to keep you occupied, etc. but just turn up there with bags in hand?

Of course you wouldn’t, and that’s only you doing your due diligence for a fortnight of your life; what about the place you are going to spend ten hours a day, five days a week?

Put simply, if you are thinking of putting all of your eggs in one basket then you run the risk of seriously limiting your options. If you have indeed decided that your career needs to move forward then your best choice is to sit down with a legal recruiter and discuss exactly what you are looking for, from size of firm and type of client base through to ambitions and ethos of the practice. Any recruiter worth their salt should then be able to outline a number of firms which match up with your aspirations, and hopefully facilitate meetings based on this.

There are any number of clichés which can be thrown in here along the lines of it’s good to talk/talk is cheap, etc but in principle it is true. Often it can be difficult for people to realise that meeting with a particular firm it is not a legally-binding contract that if they then offer you a job that you have to join them! It is literally a case of talking to a key contact who can tell you more about what the practice is seeking to do which, more often than not means that a firm is a more attractive option than it initially appeared.

Indeed recently we were involved in a team move where two partners were initially reluctant to speak to one particular firm, instead preferring two other practices based on their own preconceptions. Sure enough after discussions with the two preferred options and then later with our suggested firm it turned out that this was in fact the best opportunity for them, a point which was only realised by having conversations of this very nature.

So in conclusion? Well, the choice to only look at one option at a time is a matter of personal choice, and in fairness sometimes there are only one or two firms which do actually represent that move forward which you are seeking. However if you are going to move, make sure that you do it wholeheartedly and explore as many options as you can; if you don’t then you are only limiting your ambitions to your own preconceptions and a certain amount of hearsay.

Your recruiter can then advise you through the process, the offer and the negotiations involved. Unless of course it involves the nitty-gritty of sorting out your pension arrangements, in which case you’re on your own!

If you are currently considering exploring other opportunities within the legal market and would appreciate guidance from career professionals then speak to one of our specialist consultants at VG Charles & Co on 0121 233 5000 / 020 7649 9094 or visit our website www.vgcharles.com

The Recovery Is Go Go Go!!

Has anyone been watching the Formula One this year? Only four races in and already it promises to be a particularly exciting season, particularly if anyone can make inroads into the dominance of Sebastian Vettel’s Red Bull and give him a real run for his money. What has really stood out is the amount of overtaking which has taken place compared to other years where many races have been little more than 24 cars driving round in formation, usually led by a certain Mr M Schumacher.

This year though has been a whole new story, evidenced yesterday by Kobayashi recovering to tenth from the back of the grid, and Mark Webber storming from last to third in China a few weeks back, a recovery which even Lazarus would have been proud of.

Recovery seems to be the buzz word for many of us for some time now. Ever since the credit crunch began and banks started folding most of us in the business world have been anxiously looking for signs of the market and economy improving and strengthening. There have been some false dawns along the way, including the surprise contraction in the economy in the last quarter of 2010, but generally speaking the market has been improving and firms have gone from consolidation mode to now looking at ways in which they can strengthen and improve their situation.

Further evidence of this has recently been supplied by a survey carried out by the Law Society in Birmingham. In 2010 the level of practice fee income rose marginally by some 0.2%, a considerable contrast to a 6.5% drop the previous year, with levels of profit per partner increasing by nearly 20% on the 2009 figures.

The most ringing endorsement of firms’ confidence in the market though has been the level of recruitment enjoyed in the same period, with more than 1000 new members of staff being hired in this time. At an average of around 20 new recruits every week the evidence of recovery is undeniable, with considerable investment being required by firms to facilitate recruitment at this level.

We are therefore at a very interesting time in the legal recruitment market, as this increased confidence coincides with what is always a busy time of year for recruiters – pay review time. For the last few years it has not been as keenly pursued as usual, as the general consensus amongst solicitors has been to hold onto the job that they are in, with the associated security of longevity in the role and redundancy compensation if the position is terminated.

This year though we expect a significant increase in the levels of lawyers looking to talk, as there is the growing realisation that not only are there other (and better) opportunities out there but also that any risk of a swift redundancy in a new position has considerably diminished with levels of work at higher levels than for years. The corporate market in particular is calling out for talented solicitors and with many having been forced to accept reduced hours and pay cuts just to stay in a role it is likely that there will be an increased level of movement in this area.

All round the UK there is a certain level of ‘draw’ which particular legal centres exert on other locations. Like moons and tides, an increase in activity in Birmingham is often reflected by an upturn in Nottingham, Derby and Leicester; heightened levels of instructions in Reading can see increased levels of work in Oxford and Basingstoke. It is therefore logical to assume that this improved level of performance reported in Birmingham will be reflected in other nearby areas, as slowly but surely the world starts to turn again.


Will the market ever get back to the way it was a few years back? Corporate work booming, firms with commercial property work coming out of their ears? Perhaps, although whilst we are moving towards this a recovery at this level may still be a while off.

And a German running away with the Formula One World Championship? Well, some things never change.

To discuss nationwide opportunities in an improving market speak to one of our specialist consultants at VG Charles & Co on 0121 233 5000 or visit our website www.vgcharles.com.