What are the biggest challenges that law firms face today? Key challenges include finding and retaining top talent, navigating AI and other technological developments, keeping clients satisfied, and expanding the firm’s client base. Fostering psychological safety within the firm addresses all of these challenges either directly or indirectly.
Psychological safety is the shared belief held by members of a team that it is safe to speak up, ask questions, take risks, admit mistakes, and express their true selves without fear of negative consequences. The term was initially coined in the 1960s by researchers Edgar H. Schein and Warren G. Bennis, but it gained significant attention in the late 1990s through the work of Amy Edmondson, a Harvard Business School professor. In 2016, the concept was popularized through an article about Google’s Project Aristotle.
Google had observed that although its workforce was comprised of highly educated, extremely accomplished professionals, some teams were unusually successful while others floundered. Project Aristotle was Google’s multiyear initiative to try to understand the key ingredients for a successful team. The researchers gathered and analyzed every imaginable metric regarding team composition, leadership, and group dynamics. At first, they were flummoxed because the data seemed wildly inconsistent. Some teams whose leaders had a top-down leadership style worked well, yet others with a more egalitarian style were also very successful. Some teams where members socialized outside of work thrived while others struggled. None of the initial metrics reliably predicted which teams would be most effective or profitable. When the researchers returned to the academic literature, they discovered the concept of psychological safety and found that this was the most important ingredient for making teams successful.
Hundreds of published academic articles have confirmed the importance of psychological safety in enhancing individual and team productivity, facilitating learning, improving work culture, and developing more effective leaders. Studies conducted on a wide range of industries, including health care, financial services, construction, and engineering, affirm that psychologically safe environments produce better business outcomes. Recently, research has also addressed the importance of psychological safety in achieving the business benefits from diversity.
While psychological safety broadly refers to feeling secure in interpersonal communications at work, in this article I address three aspects of psychological safety that are particularly relevant to law firm profitability. First, in a psychologically safe environment, team members feel that their questions are welcomed and that mistakes are understood as an inevitable part of the learning process. Research consistently confirms that this helps people learn faster and that organizations that encourage learning are more successful. In the law firm context, this is particularly relevant for junior associates, or for any lawyer learning management or business development skills.
Psychologically safe workplaces also encourage team members to speak up, providing the entire team with access to additional information and perspectives. This improved communication and collaboration enhance both individual and team performance, including better decision-making. Improved decision-making in executive committees, or any group working on strategic planning, can have a particularly strong impact on a firm’s bottom line. Though naturally, any performance or decision-making improvements are valuable.
The final aspect of a psychologically safe environment that I address in this article is that team members feel safe revealing their true selves at work. Such lawyers are more likely to share personal details about their lives, values, interests, and even challenges. This enhances lawyers’ sense of belonging, which reduces stress. Surgeon General Vivek Murthy has emphasized the importance of social connections for health. When lawyers feel valued and connected with colleagues, it enhances their well-being, forges stronger bonds among team members, and makes it easier for firms to attract and retain top talent.
Psychological Safety Facilitates Learning and Growth
In our fast-paced world, all organizations benefit from having employees who learn quickly. But law firm associates, in particular, have a very steep learning curve during their first couple years of practice. When that is coupled with exhausted and overworked senior associates and partners who are under a great deal of pressure from clients, the result is often an environment that does not welcome questions, and where junior lawyers are loathe to admit that they don’t know something. Consider this very common example:
Jeff is a first-year associate. He is given a project but is uncertain what is needed or how to approach it. In a previous instance, he reached out to the partner with questions, which she answered, but she seemed annoyed with him. The next time, he asked a senior associate, who commented that it was a basic concept that Jeff should have learned in law school. Jeff was mortified. As a result, Jeff resolved to avoid asking questions. He develops a pattern where he spends hours going in circles and taking way too long to produce work product that is far removed from what the partner wants.
When law firms inadvertently create environments with low psychological safety, the consequences can be significant. For associates, this often means a slower learning curve, leading to work that misses the mark, delayed research and writing processes, and increased stress and frustration for everyone involved. This can lead to missed deadlines, partners writing off associate hours, and increased turnover among associates, all of which affect the firm profitability.
Learning doesn’t stop after the first few years of practice. As lawyers gain competence, they must acquire new skills like managing others and business development, which may not come as naturally as legal work. Thus, a lack of psychological safety can hinder learning for senior associates and partners, as well. Lawyers often face an unspoken expectation to excel in business development and management despite having little formal training in these areas. Because lawyers are typically valued for their knowledge and competence, this pressure can intensify their reluctance to admit any weaknesses or gaps in understanding. This can impede the development of essential skills, ultimately affecting career advancement and the firm’s financial health.
Psychological Safety Helps Executive Committees and Work Teams Make Better Decisions
Psychological safety among partners and executive committee members can help law firms navigate the many changes affecting the practice of law. The legal profession is experiencing shifts in how work is done, driven by factors such as the adoption of AI, the continued prevalence of remote work, evolving expectations regarding diversity and inclusion, 24-7 communications, and ever-increasing client expectations. Incorporating all relevant perspectives is more important than ever for firms that want to find real solutions to thorny multifaceted problems. When a team operates in a psychologically safe environment, every member feels empowered to contribute their thoughts and expertise, leading to more thorough discussions and well-rounded decisions. This inclusive approach ensures that decisions are not just made by the loudest or most senior people in the room but are informed by the collective intelligence of the entire team. Consider this example:
Rachel is a member of her firm’s executive committee and brings a big-picture perspective, enjoying the exploration of larger possibilities for herself and the firm. She was invited to join the committee in recognition of her success in business development and her excellence as a lawyer. However, most other members of the executive committee tend to think in shorter time frames and have a more tactical (rather than strategic) approach. While they excel at completing tasks and getting work across the finish line, none share Rachel’s natural tendency to ask big-picture questions or develop an ambitious long-term vision for the firm’s future.
Whenever Rachel proposes spending time on strategic visioning or broaches broad questions, her colleagues often seem irritated or dismissive, indicating that there isn’t time to address such issues. This leaves Rachel feeling unseen, unheard, and unappreciated. The situation is not only frustrating for her but also detrimental to the firm as a whole. By failing to consider the big-picture questions or explore future possibilities, the firm misses out on opportunities for a more robust and meaningful strategic planning process, which could help them address challenges more effectively rather than continuing down paths that may have become outdated.
Law firms have traditionally been relatively conservative organizations, with their success based on excellent legal skills and superb client service rather than innovation. Yet, as times change, the ability to adapt becomes increasingly important. While many law firms continue with business as usual, the ones that take the time to genuinely think through their situations and create a meaningful strategic plan to make themselves more competitive are the firms that will thrive in the future.
High psychological safety would also greatly enhance the effectiveness of legal teams working on client matters. As a coach, I frequently hear from lawyers who expend valuable time and energy navigating interpersonal issues, often rooted in miscommunication or a lack of respect. In a more psychologically safe environment, team members would feel acknowledged and respected, fostering open communication about concerns and alleviating much of the tension that currently hinders their collaboration.
Psychological Safety Helps Lawyer Retention and Well-Being
The legal profession is undeniably challenging due to long hours, tight deadlines, and demanding clients. While the intellectual, financial, and social rewards can make the sacrifices worthwhile, a psychologically unsafe work environment can make an already difficult situation unbearable. When lawyers fear that showing their thoughts or feelings or revealing anything other than a machine-like efficiency will lead to disrespect or reduced opportunities, it is not surprising that so many lawyers are stressed, unhealthy, and often seeking a career change. The more disconnected or estranged lawyers feel from their colleagues, the less likely they are to remain at their current firms. Consider these examples:
As a first-year associate, Chris was placed in the M&A department despite wanting to work in tax. He disliked the work but felt trapped. Due to the internal backstabbing he observed, Chris was convinced he would be penalized for speaking up and trying to transfer to the tax practice. After two years, once he paid off his law school loans, Chris left the firm. By tolerating a psychologically unsafe work environment, the firm lost out on his potential as a valuable contributor and as an alumnus who could have sent work their way or enhanced the firm’s reputation in the industry.
Yasmin, an associate, developed a significant health issue during her fifth year at the firm, leading to absences and reduced work hours. Despite her history of consistently receiving excellent reviews and being in high demand, one partner showed little regard for Yasmin’s extenuating circumstances throughout her illness and then made derogatory comments about her reliability and timeliness in that year’s performance review. The following year, after her health issues were resolved, Yasmin worked diligently to overcome any lingering doubts about her performance. However, the same partner again made negative comments. Realizing that this single health issue, despite being resolved, would likely hinder her chances of making partner, Yasmin moved to a different firm.
George, a lateral partner with a substantial book of business in the energy sector, is approaching the later stages of his career. He wants to dedicate more time to issues he’s passionate about, such as expanding energy access in Africa, where his experience, reputation, and connections could make a significant impact. However, these projects would not be as lucrative as his current work. George envisions training another partner to take over the daily responsibilities of his practice. He believes this could be a win-win situation, with the firm retaining his valuable clients while he pursues rewarding work that could also enhance the firm’s reputation. However, the firm leadership has consistently focused on maximizing the bottom line, and George hasn’t developed personal relationships with firm leaders, which could have made him more comfortable broaching the subject. Thus, George remains silent and eventually makes another lateral move to a firm that appears more receptive to his goals. While there’s no guarantee that a conversation would have led to a positive outcome, the missed opportunity is clear.
As a coach working with lawyers, I often hear stories such as these, where clients grapple with the challenges they face in psychologically unsafe environments. Even if the term is new to some, the experience is likely familiar to many. However, I also hear positive stories where lawyers feel seen and respected, such as when firms show compassion and flexibility during personal crises, like illness or the loss of a loved one. There are also instances when lawyers feel genuinely supported by their firms in the ordinary course of business. For example:
Sylvia, a partner at a boutique firm, faced an increasingly difficult situation with a client’s in-house counsel who was lying, misrepresenting key information, and generally undermining Sylvia’s work. When Sylvia approached her firm’s managing partner, the executive committee fully supported her, even going so far as to fire the client. This experience renewed Sylvia’s commitment to the firm, and years later, when approached by a recruiter, she chose to stay.
When lawyers feel they are part of a supportive community, it fosters deep loyalty and commitment. When lawyers listen to their partners’ and associates’ personal and professional concerns, it strengthens their commitment to the team and to the firm.
