How to Effectively Use Diversity and Inclusion in Hiring Legal Talent Lee A. Hutton, III (612) 367-8711 Lee.Hutton@btlaw.com Tina A. Syring (612) 367-8705 Tina.Syring@btlaw.com

ABA Resolution 113 Passed August 8, 2016 Urges all legal providers – corporations and law firms – to expand and create opportunities at all levels of responsibility for diverse attorneys. Legal profession is the least diverse of comparable professions.

ABA Resolution 113 (cont.) Model Diversity Survey: Encouraging all Fortune 1000 companies to utilize this survey when hiring outside counsel. Allows for companies to compare firm performance in order to “make smarter buying decisions.” “Sunlight is the best disinfectant.” Justice Brandeis

ABA Resolution 113 (cont.) Pledge of Commitment: Support ABA Resolution 113; Ask current firms to complete the Model Survey; Require firms seeking to be hired complete the Model Survey; and Agree to use the information obtained through the Survey as a factor for hiring or retention of firms.

GCs that Joined the Pledge: ABM Industries Abercrombie & Fitch Adobe American Express Aon BASF Biogen Boise Cascade Booz Allen Hamilton Bristol-Myers Squibb Capital One Financial CBRE CBS Corp. Cerner Corp. The Clorox Company Comcast CVS Health eBay EchoStar Eli Lilly Edison Int’l. EMC EnerSys Exelon Facebook Guardian Life Ins. The Hartford Hess Corp. HP, Inc. Interpublic Group John Hancock Financial JP Morgan Chase Kimberely-Clark Kodak Lincoln Financial Lockheed Martin LPL Financial Macy’s Marsh & McLennan MassMutual Mastercard Mattel McDonald’s McKesson Corp. Meritor Metlife New York Life Ins. Northrop Grumman Northwestern Mutual One America Pearson PepsiCo Pitney Bowes The Principal Financial Group Prudential Regional Transportation District Quest Diagnostics Rockwell Automation Securian Financial Group Thrivent TIAA Travelzoo United Airlines Verizon Vertex Pharmaceuticals Varian Medical Systems Viacom Visa Voya Financial Wal-Mart Stores The Williams Companies

The Numbers . . . . 2016 National Association for Law Placement (NALP) Report on Diversity: Female Attorneys: Women lawyers (partners, associates and of-counsel) increased from 33.89% (2015) to 39.7%. Minority female attorneys from 6.81% (2015) to 7.23%. Female Partners:* Increased from 21.46% (2015) to 22.13%. Minority female partners equal only 2.76%. For firms with more than 700 lawyers, the representation of minority female partners is slightly better at 3.22%. * The Report does not distinguish between equity and non-equity partners.

The Numbers . . . . Minority Male Partners:* Increased from 4.97% to 5.29%. Attributed to an increase of Asian and Hispanic male partners. Representation of Black/African-Americans among partners has barely budged. 2016: 1.81% 2009: 1.71% *The Report does not distinguish between equity and non-equity partners.

The Numbers . . . . Lawyers with Disabilities: Interestingly, very few attorneys will self-identify. 1/3 of 1% of partners* self-reported in 2016. Same number for associates. *The Report does not distinguish between equity and non-equity partners.

The Numbers . . . . LGBT Attorneys: Overall increased from 2.34% (2015) to 2.48%. Highest presence among associate attorneys at 3.24%. Firms with more than 700 lawyers, the representation is slightly better, reporting 3.81% openly LGBT associates. Partners:* Overall representation is 1.89%. Firms with more than 700 lawyers, the representation is better at 2.15% LGBT partners. Geographical disparities in these numbers. *The Report does not distinguish between equity and non-equity partners.

Why Does it Matter? Trials: One out of every three cases that go to trial will be presided over by a female or minority judge. In 2015, the percentage of active federal judges was as follows: 32% female 23% minorities In 2015, the percentage of active state court judges was as follows: 27% female “Women in the Judiciary: Still a Long Way to Go,” National Women’s Law Center

Why Does it Matter? Business Case: Corporate achievement depends on talent and teams. Broadest talent pool is a must. Strategic importance of diversity to sustainable corporate success. Demands of corporate directors, shareholders, consumers.

Questions and Considerations Who is the relationship partner(s) by diversity category? For top 10 matters handled, who is the lead partner(s) by diversity category? What is the annual percentage of “equity partner” billings by diversity category? What is the percentage of annual total billings by diversity category?

Questions and Considerations (cont.) Among the “equity partners” for Am Law reporting purposes, what is the percentage by diversity category? How many of the top 100 compensated partners fall within each category? Top 50? Top 20? What is the firm’s management organizational chart?

Questions and Considerations (cont.) What is the average median compensation of equity partners who fall within a diversity category versus those who do not? Does the firm tie equity partnership compensation to diversity initiatives? How is it measured? Does the firm have a succession plan? Number of women and minorities included in this plan?

Questions and Considerations (cont.) Does the firm have a leadership development and training program? Is the curriculum designed to address leadership challenges specific to women and minorities? What is the makeup by diversity category of the equity partners as having “engagement partnership responsibility” for the firm’s top 50 clients?

Questions and Considerations (cont.) Have there been any significant trends in the following: Of the recently promoted partners, what are the percentages by diversity category? Of the recently promoted equity partners, what are the percentages by diversity category? What are the retention and attrition statistics for equity partners? What is being done to ensure diverse associates are being given prominent roles?

We don't accomplish anything in this world alone We don't accomplish anything in this world alone... and whatever happens is the result of the whole tapestry of one's life and all the weavings of individual threads form one to another that creates something. -- Justice Sandra Day O’Connor