This week's Legal Currents column, which is published in The Daily Record, is entitled "Survival of the Fittest. " The article is set forth in full below, and a pdf of the article can be found here.
My prior articles can be accessed here.
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Survival of the fittest
The legal field is at a crossroads and decisions
made in the coming years will
have a dramatic and lasting effect on its
future.
Rapid technological changes coupled with
the entry of young lawyers holding extremely
different values from those in power may well
prove to be its downfall. The legal field as we know it will
likely have to adapt or face extinction.
Technology has changed the ways in which business is
being done. According to a survey conducted by the online
marketing firm Alyn-Weiss & Associates, in 2006 law firm
Web sites were the most effective marketing tool used by
corporate, transactional and defense firms — 82 percent of
the 119 firms responding to the poll indicated they received
work directly or indirectly from their Web site within the
past 24 months. About 55 percent of firms reported that they
received work from seminars and presentations, down from
77 percent in 2004. Coming in last place was trade and community
group participation, activities that only 47 percent of
firms reported led to new clients.
Without a doubt, the Internet has permanently altered the
marketing landscape, but the legal field has been slow to
change the ways it advertises, especially Big Law. In fact,
the top 10 results for Google searches for Rochester lawyers
handling various types of commercial and civil matters routinely
fails to include the Web sites of the largest firms in
our region. Solos with a Web presence and small firms
with well-crafted Web pages dominate the search results,
presumably because their sites were drafted with search
engines in mind.
This is particularly problematic for firms that are unwilling
to adapt given that more and more people
rely on the Internet for information regarding
local business services, including lawyers.
Indisputably, the younger generation, seemingly
“wired” from birth, is most likely to utilize
the Internet in this manner.
The entry of Gen X and Y lawyers in the
workforce is an issue that should be of even
greater concern to the legal profession. The
experiences, attitudes and values of the different
generations could not be more pronounced,
as evidenced by the following statistics
obtained from a February article in California
Lawyer Magazine article entitled “We’re Outta
Here”:
BABY BOOMERS
Born: 1946 to 1964
Number: 78 million
What they grew up with: The civil rights movement;
assassinations of John F. Kennedy, Robert Kennedy, and
Martin Luther King Jr.; Vietnam War; television in every
home; sex, drugs and rock and roll; Woodstock; Roe v. Wade
and Watergate
Values and characteristics: Love/hate relationship with
authority; optimism; personal gratification; team players;
strong work ethic
Work ethic: Driven
Presence in typical law firm: 45 to 60 percent
Roles in firm: Partners and leadership
GEN X
Born: 1965 to 1980
How many: 59 million
What they grew up with: HIV/AIDS epidemic; hippieparents; latch-key kids; corporate downsizing and restructuring;
fall of Berlin Wall; first personal computers
Values and characteristics: Not impressed by authority;
distrust of institutions; want personal space; informality;
self-reliance
Work ethic: Balanced
Presence in typical law firm: 40 to 50 percent
Roles in firm: Associates, junior partners
GEN Y
Born: 1981 to 1995
How many: 60 million
What they grew up with: Oklahoma City bombing; 9/11
terrorist attacks; the Internet boom; ubiquitous technology;
economic prosperity
Values and characteristics: Receptive to authority; civic
duty; patriotism; diversity; self-confidence; achievement;
challenges
Work ethic: Selective
Presence in typical law firm: Less than 5 percent
Roles in firm: Summer associates, first- and second-year
associates
[Sources: U.S. Census Bureau; NALP Foundation]
Of course, law firms are just the tip of the iceberg.
According to “The Business of Law Report” published in
February by Crain’s New York Business, a surprising 83.5
percent of New York lawyers are sole practitioners. That’s
a lot of solos.
Judging by the values, characteristics and work ethic of
the Gen X and Gen Y lawyers, I wouldn’t be at all surprised
if the number of solos and small firms increased exponentially
through the next five years as Gen X and Gen Y
lawyers abandon the big firm business model in search of
greener pastures. Some may hang a shingle while others
may start their own firms or leave the law altogether — not
a bright picture for firms unwilling or unable to adapt.
Perhaps I’m completely off base. Maybe the legal profession
will adapt, maybe it won't need to. Only time will tell
if I’m right. For the sake of the law as we know it, let’s hope
that I’m not.