Managing underperformance in law firms: It’s costing you more than you think

Law firms are often hesitant to tackle underperformance head on - and the reasons are all too familiar. With a shrinking talent pool, replacing a departing team member is costly, time consuming, and disruptive. So instead, leaders frequently tolerate underperformance (with the hope of it getting better) - at a far higher cost than taking action would entail.

Why law firm leaders struggle with underperformance

  • Talent scarcity means disruption is expensive Recruiting can be slow, administrative load increases, and until the new hire becomes fully productive, clients and teams feel the strain.

  • Culture and morale suffer Underperformers drag down team motivation. High performers feel the weight of covering gaps, often without recognition or support.

  • Leadership often lacks the tools and time for effective management Many firms lack formal performance systems. Leaders may not know how or lack the confidence to confront performance issues in a timely, fair manner. Training, mentoring, and development frequently take a backseat to billable work.

  • Is it a training issue? Absolutely. When leaders aren’t equipped to coach, mentor, and give candid feedback, underperformance becomes entrenched.

Next steps

If your firm is ready to transform how it handles performance management - accelerating outcomes, cultivating leadership capability, and safeguarding your culture - let’s talk.

I help law firms:

  • Build structured performance systems

  • Upskill leaders for effective mentoring

  • Clarify expectations and accountability

  • Reduce time and financial costs of underperformance

Don’t tolerate a costly problem any longer.

Julia

0411 563 731

julia@juliabucci.com.au

Managing underperformance - Fair Work Ombudsman

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