Regulatory Expectations for Creating a Positive Workplace Culture in Law Firms

In spring 2023, the Solicitors Regulation Authority (SRA) introduced new rules and new guidance ^{to help law firms maintain a positive workplace culture in response to complaints received about a lack of support, bullying or a toxic atmosphere in some firms.}

The changes to the regulations follow the SRA’s thematic review in late 2021 into the working culture in law firms (the Thematic Review). The report, published in February 2022, highlighted concerns about long working hours, pressure from clients and their ability, goals and concerns about reporting mental health problems and bullying.

A year on from the introduction of the wellbeing and mental health changes, this article takes a deeper dive into workplace culture and explores the measures law firms should implement to create and maintain a positive workplace culture.

What do the rules say?

Paragraph 1.5 of the SRA Code of Conduct for Barristers, Registered European Lawyers and Registered Overseas Lawyers provides that individuals must treat their colleagues fairly and with respect and must not harass or intimidate them or unfairly discriminate against them. ^{In addition, managers (such as partners and directors) must challenge any behavior that falls short of these standards.}

These rules also apply to law firms and section 1.6 of the Code of Conduct for Law Firms ^{states that law firms (its partners or directors and compliance officers) must treat their employees fairly and with respect. They must not harass or bully them or discriminate against them unfairly. Law firms have a duty to ensure that their employees also meet the same standards.}

What does it mean to treat colleagues fairly?

The SRA does not expect the entities it regulates to create or maintain working environments that pose a risk of:

• mistakes made
• clients receiving poor results
• serious ethical doubts are raised