The lateral hiring market is always in motion—and law firm leaders are frequently under pressure to act. But before you make your next big lateral hire, pause. You have a lot more to lose than you think. The firms that are truly winning right now aren’t just solely cutting checks — they’re doubling down on culture, transparency, clarity, and values. They’re reflecting on the firm overall, evaluating short- and long-term investments, and reassessing all priorities.
Here are five essential questions every law firm leader should be asking to avoid costly mistakes and position their firm for long-term success when participating in the lateral gold rush.
1. Are we clear on what we stand for—and does all our talent know it?
Vague values don’t retain people. If your attorneys can’t articulate what makes your firm different and superior beyond the 3 C’s: Collaboration, Compensation or Clients, you’re vulnerable. Over 90% of firms use at least one of the 3 C’s to describe their uniqueness which makes them undistinguishable or distinctive. Codify and promote your firm’s values and make sure they show up in how you hire, promote, and operate.
2. Are we hiring for alignment or just revenue?
Yes, for sure, book of business matters. But so does fit. Misaligned laterals frequently disrupt firm culture, burn out staff, propel people who you don’t want to lose to depart, and then often leave themselves within 24 months. Evaluate cultural due diligence with the same rigor you apply to financial vetting. Make sure everyone who ought to and needs to spend time with the lateral gets their quality time and has an opportunity to contribute to the feedback.
3. What messages are our hiring decisions sending to associates, staff and potential hires?
When you bring in a flashy or showy lateral with different values—or who, even more importantly, leapfrogs internal talent—you risk alienating the people who’ve been loyal, dependable and trustworthy. Ask yourself and check in with others whom you value: would the current team see this person as a respected and valued investment in the firm’s future, or a slap in the face? Also, consider potential hires who will interview with the firm. Would this lateral exhibit the behavior you desire to motivate interviewees to join the firm? Will this person instigate excitement to come aboard? There are so many examples where a good potential hire is put off and refuses to reconsider a firm after one uncomfortable or awkward meeting.
4. Do we have a solid and consistent retention strategy, or just a recruiting one?
Putting too much emphasis on chasing new talent without protecting existing talent is short-sighted. Exit interviews that encourage and capture honest feedback, mentorship programs that require involvement on both sides and are also monitored and evaluated, and clear transparent promotion paths make all the difference. So does simply acknowledging verbally and in writing the value of the people who are participating.
5. Are we just being reactive—or intentional?
It’s tempting to jump on opportunities in a hot market. Sometimes it’s just one’s natural, competitive instincts that surface stimulating that desire to win rather than lose a candidate to another firm. However, impetuous hiring for the wrong reasons often leads to high churn and reputational risk. Be extremely clear about your firm’s growth goals, what kind of people you want to attract, and why someone would choose your firm beyond all the other considerations.
In Conclusion
The current lateral gold rush is for real there is enormous pressure to hire and win the war for talent—but so is the risk of losing your identity and your precious human resources in the process. Firms that truly succeed in this environment will be the ones asking and answering the harder questions, not just writing bigger checks. Growth doesn’t have to come at the expense of losing or downgrading your culture or values. In fact, when done right, your culture and values are, and will always be, your competitive advantage.
Interested in discussing how your firm can win the lateral gold rush? Email Laurie to discuss: lcaplane@lawvision.com.
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