Reed Smith Lays Out New Path For Associates

By Anne Urda

Law360, New York (October 27, 2009) -- Breaking away from the pack, Reed Smith LLP has rolled out a new model that seeks to group lawyers by competency level rather than relying on the tenure-based approach of yore.

On Tuesday, the firm revealed the global launch of its CareeRS program, which has been under development for the past 18 months and intends to counteract attrition by focusing on lawyer development, according to Nicola Dingemans, Reed Smith’s global chief people officer.

"We began the development of this program well ahead of the Lehman Brothers implosion," she said. "Talent and branding are a firm's two major assets, and we are committed to attracting, developing and retaining the best talent."

The program will initially be rolled out in two phases, first beginning with associates and then moving toward support staff sometime next year, Reed Smith said.

Under CareeRS, the associates will now be grouped according to skill levels, with the attorneys being designated as junior, midlevel or senior, according to the firm.

The competency model covers four key areas, including legal skills, citizenship, business skills and clients, with lawyers to be evaluated further on how they meet nine core competencies within these quadrants.

These include mastery of fundamental legal skills, support of the firm's culture, and demonstration of leadership and business skills, according to the firm.

“We see Reed Smith in the forefront of talent development, expanding the opportunities for our associates to grow as lawyers and to become well-rounded leaders, managers and citizens through cutting-edge programs like CareeRS,” Dingemans said.

The associates will be evaluated against the competencies in the UK next summer and the US next fall, she said.

"They will be placed into the appropriate categories- junior, mid and senior- immediately so they can work against the requirements in that level and get the appropriate advice," Dingemans added.

While the compensation model is expected to subsequently align with the new classifications, Dingemans emphasized that the motivation behind the program was not a pay overhaul.

"We are trying to provide associates with a transparent set of competency requirements and a road map to understanding what is required as they journey towards partnership," she said.

The leadership of the firm has fully embraced the program, with partners being "trained up" as they prepare to serve as career advisers, according to Dingemans.

She also indicated that the program will include a promotion process, though details have yet to be worked out.

While the support staff model is still in the development stages, the firm expects that there will be parallels between it and the associate model, according to Dingemans.

"Obviously there will be considerable differences as well, but we do believe that our staff is the important backbone to our success and how we serve our clients ultimately," she said. "We want to be able to attract, retain and develop those professionals, too."

The program has already received a warm response from clients, according to Eugene Tillman, Reed Smith’s global head of legal personnel.

“We have shared the program with some of our leading clients, and they have embraced its promise to deliver not just skilled lawyers, but also well-rounded professionals who understand their business and have the ability to look beyond the legal problems at hand,” he said.

Both Tillman and Dingemans emphasized that the program would help build on the firm's already-existing commitment to training and other development opportunities, which includes Reed Smith University.

Reed Smith sees this move as a "forward-looking development" that, while not a driver, has the added benefit of allowing the firm to focus more on issues like alternative fees, according to Dingemans.

The Reed Smith announcement marks the latest in a spate of law firm restructurings as places increasingly look for ways to curtail spending and reward individual attorneys for hard work.

Dorsey & Whitney LLP, Townsend and Townsend and Crew LLP and Morgan Lewis & Bockius LLP are among the firms that have recently signaled their intention to move toward a system where pay is more closely linked to performance, experience and competency.

--Additional reporting by Julie Zeveloff.