IR Law Firms – A Changing Landscape
Workplace relations has had centre stage in the popular press over the last few weeks. This front page treatment has come about because of the imbroglio at high-end retailer David Jones and the alleged sexual harassment by the former CEO of a junior staff member, Kristy Fraser-Kirk. What has attracted the attention has been of the large claim for damages of $37 million. Also in focus has been her legal representatives, Harmer’s Workplace Lawyers. Harmer’s was set up over 14 years ago when its principal Michael Harmer left the industrial law practice at Freehills and set up a firm dedicated to workplace law. Michael Harmer himself has been the subject of a recent in-depth article published in the Australian newspaper business magazine “The deal” in July. Harmer’s is not your typical law firm. Michael is an ascetic who eschews the trappings of wealth associated with founding and running a successful firm . He drives a thirteen year old station wagon and has generously given significant profits of the firm to charities, particular in Kenya and Zimbabwe. As a way of getting ready for the day, Michael stands on his head and meditates (unlike a lot of other lawyers who prepare with a short black and a Berocca). The article’s description of Harmer’s firm gives it a quasi-religious Zen-like feel even suggesting its culture might be thought by some as a “tad weird”. Notwithstanding that, Harmer’s has been involved in many significant cases, including Christina Rich ats PriceWaterhouseCoopers (the largest sex discrimination claim in Australian history) and Gough & Gilmore Holdings v Caterpillar (the largest unfair contracts claim which ultimately proved unsuccessful). However the irresistible rise of the firm has been checked by a major defection.This body blow has occurred with the departure of one of its leading luminaries, Joydeep Hor. Joydeep has recently set up a new law firm entitled “People and Culture Strategies”. This innovative and unique name ( the title Joy Luck Club had already been taken by Amy Tan) gives a monicker to a firm which starts its life with many large corporate clients , such as Mars, Cochlear, Daikin, Schenker, Alphapharm, Fox Sports, Yum Restaurants and various public sector employers .Joydeep Hor must have a different approach to Michael Harmer and perhaps this difference has led to the fissure in what had been one of the leading boutique workplace law firms in Australia. In setting up this new style of firm, it web site proclaims;
“PCS is about relationships. It is our mission to provide the highest quality service, advice and training products to our clients nationally. That can only be done when our clients trust us as their business partners. We’re one of the few businesses (let alone law firms) that had some of the most prominent employers in Australia as our clients on our first day of business. Those clients expect not only we will be across the necessary law, but that we will be accessible, commercial and have the necessary acumen to be able to deliver on the promise of actually being strategic.”
The movement at workplace relations firms has been happening for many years. Another example of which has occurred at the mid-tier national law firm Middletons. Its National Practice Group Leader Gerard Phillips ( himself formerly of the over 100 year old Carroll & O’Dea, Sydney ), has recently been on a buying spree to augment the shape and size of Middletons’ industrial law and safety practice. Gerard Phillips sees an evolutionary development in the way workplace relations is practiced at its highest level in Australia. He sees the large law firms as being focused on larger transactions with workplace relations being a mere adjunct for them. This he says has been brought about:
” Because the market in workplace is undergoing a fundamental change.People will pay for the right advice but these days they know that it is not only to be found in the mega firms …..the natural home for workplace relations and safety will be either boutiques or strong firms that are not in the top tier.”
Pursuing this aim, Middletons has recently retained Kathy Dalton in Melbourne from Herbert Geer, Duncan Fletcher in Perth from Mallesons and most recently have recruited the entire HWL Ebsworth team in Sydney of partners Bryan Belling, Seamus Burke and Alice DeBoos. The Middletons’ workplace practice nationally now has 8 partners, and almost 25 employed solicitors.
An announcement described as ”not an easy or light one” has just been made by former Gadens IR partner Brian Williamson that he is leaving Workplace Law the firm he set up eight years ago. As at 16 th August Brian will now practice at Goldfield’s House ,Circular Quay as “WilliamsonLegal” specialising in legal services for employers.( I love words with a capital letter in the middle of them ….so L.A., so 90s)
On a different note, another aspect of movement in the workplace relations area on account of its multi-disciplinary approach, is that such practitioners are keenly and commonly sought out to become in-house counsel of large companies. In this vein, Workplace Review notes that one of its general editors, Stephanie Vass has recently started a new career as Group General Counsel at Resimac, one of the country’s largest non-bank lenders. This will be a far cry from her role as workplace relations partner at Piper Alderman .
These personnel movements and IR solicitor firm re-organisations reflect the great changes from when I commenced legal practice over thirty years ago. A solicitor unless called to the Bar generally stayed with the one firm . Partners did not separate from the partnership until retirement.There were only a few recognised specialist employment legal practices. Lunches were tax deductible , a golden age.
(Both Duncan Fletcher and Stephanie Vass are contributors to Workplace Review and the writer is Gerard Phillips’ brother)
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