Why work in-house?

A job ‘in-house’ or a job ‘in industry’ involves working as a solicitor for a company or organisation which is not a law firm.

While a career path to partnership in a law firm is a familiar role, some of you may feel like trying something different. For those of you who feel you are not suited to follow the path to partnership, a position in-house may be worth exploring.

In-house jobs were once considered ‘alternative’ career paths for people who couldn’t handle the pressures of private practice – this is no longer the case. Indeed, in-house jobs are now highly sought after.

More and more companies are realising the benefits of employing solicitors to work in an in-house capacity. In-house counsel can promote legal awareness throughout the company as well as providing legal input on the company’s day-to-day operations and corporate strategy.

The number of in-house solicitors employed by a company will depend upon factors such as the size of the company and the nature of the company’s business. Typically, the average number of solicitors companies employ ranges between 2 and 5. It is, therefore, a very different environment from a law firm. Quite simply, there generally aren’t as many lawyers around!


Why work in-house?

The benefits can be many and varied –

• Lifestyle - The lifestyle which comes with working in-house is often what appeals most. Although not necessarily shorter, the working hours are usually more predictable and you may have more control over when you work. Some see this as offering them a more balanced lifestyle... and an opportunity to arrange their social life more easily!
• Benefits’ packages – It is not uncommon for in-house solicitors to receive good benefits’ packages. These may range from a car, private medical insurance, pension entitlement, a bonus scheme to an extra few days annual holiday leave.
• Variety – As in-house legal departments tend to be smaller than in private practice, solicitors deal with a broader spread of work and have the opportunity to work in a more directly commercial environment.
• Responsibility – Working in-house generally means:
• No large team of people above or below you.
• Shorter reporting lines to the decision makers.
• Ability to sign off on your own work and make your own decisions.
• All of this adds up to mean a great deal more responsibility. Certainly, for more junior solicitors, it offers an opportunity to gain responsibility earlier than in private practice.
• Job satisfaction – With any luck you’ll feel a part of the decision-making progress driving your company. Many in-house lawyers speak of the real sense of achievement which comes with contributing to the development of the company.
• See the results – A role in-house means that as you work closely with your clients, you have the opportunity to see the results of your advice. In private practice you may not always see how your advice was implemented as your relationship with clients can come to an end once the advice is provided. Not so in-house - you’ll see the results – whether good or bad!
• No timesheets – We needn’t say more... but we will! Generally, in-house solicitors don’t have to keep track of billable hours. The demands of recording your time can be frustrating - you’re working hard, keeping up with your area of expertise, writing articles, supervising or assisting colleagues and putting in hours outside of work to socialise with clients... but there’s no place for all of this on the timesheet. Working in-house doesn’t mean you’ll be working any less hard, just that there is not the same pressure to monitor your billable hours.

Ok... but there must be a downside

All the great benefits which can come with working in-house can just as easily be reasons which make the job less attractive –

• Increased exposure – With the benefits of greater responsibility for your own work comes more responsibility for your actions. Making your own decisions and signing off on your own advice means you are directly responsible and often in the front line. This may be a little intimidating, especially at first.
• Isolation – While in a law firm there are often your peers and slightly more senior lawyers to turn to for advice, this is less likely to be the case working in-house. Sure, you can always ask your head of legal but this may not be quite the same as asking advice from a colleague you trained with.
• Interruptions – Many in-house solicitors complain about the fact they are seen as being ‘on-call’ for all their company’s employees and lament the fact they are never left to get on with the job. As in-house counsel, other employees will view you as an expert for all matters legal and will turn to you for advice.
• Trivialities – With you being the port of call for all legal queries, this means you will have to take on the smaller, trivial issues as well as the significant ones.
• Salary – Generally speaking, you shouldn’t expect to be as well paid as a job in private practice. In-house salaries vary considerably depending on geographical position and business sector. Why not take a look at what you could expect to earn as an in-house solicitor using a salary survey?
• Lack of resources – There are generally smaller numbers of in-house solicitors and, with the main focus of the organisation not being legal, there are fewer resources – both material and people. For example, don’t be under any illusions that an in-house job will bring you a photocopying team, 24 hour word processing or an extensive legal library!
• Lack of time – More of an emphasis on your advice is geared towards making commercial decisions meaning you will not have the luxury, as you would in private practice, of having the time to carry out in-depth research.
• Bureaucracy – Bear in mind that as you will most likely be working for a large organisation, there will be protocols and procedures in place which you’ll be required to follow. At times, it may be frustrating waiting to receive corporate approval before carrying out work.

The culture and work of an in-house position

As we mentioned, the size of legal departments in industry varies quite considerably. An average number is between 2-5 solicitors – although the legal departments of some companies can almost be like mini law firms!

Banks and energy/utility companies tend to employ a larger number of solicitors. Engineering, consumer goods and media companies typically have the smallest in-house teams.

As an in-house solicitor, you will be required to do more than simply prepare legal advice. You will be encouraged to develop a clear understanding of the company’s aims and policies so legal advice can be tailored towards the best possible commercial decision. You will have the opportunity to and, indeed, will be expected to give direct input into the day-to-day operations of the business rather than just providing a ‘back room’ service.

Working in-house may mean that you –

• Have specific management areas and responsibility.
• Manage business meetings.
• Write articles for the benefit of other employees or clients.

In addition, you will –

• Need to adopt a commercially-minded approach.
• Be more closely involved with the operations of your company.
• Need to keep up to date on your area of business and law.

How do I get a job in-house?

Broadly speaking, you will need to be 2-5 years qualified.

In terms of skills, employers are looking for someone who can demonstrate –

• Commercial awareness and a commercial approach to problem solving.
• Ability to make commercial as well as legal decisions.
• Internal and external people management skills.
• Ability to communicate at all levels within an organisation.
• Ability to run meetings and communicate advice and ideas to others in an effective manner.

Where do I find a job in-house?

Industry and Commerce

• Company/Commercial/Contracts - the most popular specialisation for in-house positions.
• Corporate – there were many positions during the boom, far fewer during the last few years. Once again, positions in this area are becoming increasingly common in today's economic climate.
• IT/Telecoms/Multimedia – this was a major growth area during the boom. Again, there are some exciting legal opportunities to be found.
• Funds - there are more and more industry clients seeking solicitors with good investment management experience.
• Structured Finance/Project Finance – this is another growth area.

Banking and Financial Services
(in addition to the areas listed above)

• Commercial Banking (Syndicated/Bilateral Lending)/ Derivatives/Insurance.
• Debt and Equity Capital Markets/Corporate Finance/FSA (Financial Services Adviser).
• Fund Management/Compliance/Private Equity.

What about career development?

So, is accepting an in-house position going to be a good move in the long run?

The upside

• Developing different skills - an in-house position can give you a great deal of exposure to a broad range of work, a chance to develop business as well as legal skills and an opportunity to take on more responsibility for decision-making and management. These qualities are ones which will endear you to future employers, whether for another in-house role or even for a move back to private practice. Working in-house can provide valuable business experience and knowledge which may help if you are interested in setting up your own business.

Maybe partnership is not for you?

• An in-house position can provide good long-term prospects for those who are not on the partnership track.
• The road to partnership is becoming harder. Progression from junior assistant to senior assistant and on to partner is no longer guaranteed simply due to length of service. Law firms will only make up partners if there is an economic need to do so. Those who are looking to make partner will have to prove they have what it takes to give benefit to the firm upon being made partner.

Where to next...?

If you do decide to progress your in-house career, there are many options available to you. In private practice, the options are much more limited... either you are on the road to partnership or you’re not. In-house opportunities are more varied. For example –

• Gaining promotion to a higher role within your existing department.
• Remaining working for your existing organisation but moving to another branch or even a subsidiary company. The company you work for may have other branches/subsidiary companies which operate in a different business area. There could be opportunities to move to another branch or office, perhaps even to make an international move.
• Moving to a more senior role in a different company. In contrast to those in private practice, more solicitors working in-house will change jobs in order to take a more senior role.
• Moving to a commercial/managerial role. Depending on the management structure of the company, there may be opportunities to take on an operational or managerial role.

The downside

Want to move back to private practice?

• While the extra skills you develop working in-house are ones which will stand you in good stead for a move back to private practice, your legal skills may not be considered to be as well-developed as those of your peers who have consistently worked in private practice. Bear in mind that structured training programmes are not a top priority with in-house departments so you must consider whether a particular role will allow you to continue to develop your legal skills if you are considering returning to private practice at some stage.
• It will be important to highlight all of the extra skills you have gained through working in-house – management skills, communication skills, commercial acumen – to a potential private practice employer.
• Keep yourself marketable for a move back to private practice by keeping up to date with developments in your area of law.
• Returning to private practice should be easier if you have maintained a specialist expertise in a particular area such as IP, IT, oil/gas, funds or banking.

Whatever works for you...

As with any job, there are both upsides and downsides to taking an in-house position. It is really a case of assessing what you consider motivates you, what aspects of a job are important to you and what you want from your career.

You may be better working in private practice if you:

• Want a career path to partnership.
• Have a real interest in the law, enjoy burying yourself in law reports and keeping up with the most recent case law.
• Have little or no interest in working in a business focused environment.
• Want to work in a larger team where more support is available.

However, you may really enjoy a position in-house if you:

• Want to work in a generally more relaxed atmosphere where you have more control over your own time and greater predictability of working hours.
• Want an opportunity to gain responsibility earlier and to work independently.
• Want the opportunity to become more closely involved with working for a company.
• Want to become involved in business operations and managing and making decisions on a more commercial level.

And, finally...

If you are offered a position in-house, remember it’s likely to be more varied than one in private practice. It is important you fully understand your role and the type and quality of the work you will be given before you accept a position. So, ask lots of questions!

As always, if you’re interested in finding out more about working in-house, why not talk to people who do – talk to friends, friends of friends, clients – indeed anyone who may be able to help you find out a little more. Why not explore possible networking opportunities at events in your area by checking out what’s happening in our legal events diary? Or make contact with those who can put you in touch with people who might be able to help by finding out about your local group.

Whether you decide to pursue a career as an in-house lawyer or follow the path of working in private practice, we wish you the very best of luck.

Comments

[Sam]

I recently moved in-house and most of the above is not true for me. My experience:-

Good
no time sheets - although I never found this hard
better management and less politics
interesting variety of work

Bad
Way more hours, 2-3 extra per day
No secretarial or IT support, wastes 2 hours a day
electronic files and cramped seating- I had to get 4 new pairs of glasses in five months and really miss paper file
extreme cost cutting which hard for private practice ppl to understand
no office, sat right next to loud sale people in small cubicle
lots of bureaucracy and many levels of management
complete wastage of legal skills (as mentioned above)
less job stability, most people here have had no pay rise for 6 years and pay cuts a real possibility
have to take conference calls at midnight and work on weekends
very little in way of career prospects except by leaving
mean time in department of 40 ppl, 1.6 years, compared to 6+ in private practice, speaks for itself.