A survival story: How did your pandemic experience compare to the survey?

Barbara Relph*

You would be hard pressed to escape some impact from Covid-19 over the last two years, but it seems legal practitioners are quite a hardy bunch.

The world has been in turmoil with court systems disrupted, businesses foundering or booming, and families flailing, but you kept bending and flexing to meet the evolving needs of your clients as you worked within Government restrictions. You managed changing workloads and adapted to technological challenges; you kept trucking on with added workplace stress while juggling your own changing personal life.

Every two years Grant Thornton and the Family Law Section of the NZLS conduct a broad ranging survey to identify trends and challenges in the practice of family law. The 2021 survey, recently released, was necessarily focused on the effect and impacts of Covid-19. While not focused on barristerial practice, many respondents were barristers, and many of the findings in the Relationship Property Survey covering the two years of the pandemic to date can be extrapolated into relevant guidance for wider practice.

Effect of volatile market conditions

The survey revealed a volatile housing and investment market, resulting from economic conditions related to Covid-19. This created headaches, with valuations quickly becoming outdated. Valuers and the small pool of forensic accountants became increasingly busy, as evidenced by reports taking longer to be produced. From a family law perspective, increasing housing costs meant some unhappy couples with a single large asset – the family home – could no longer afford two separate homes. A significant 20% of clients resiled from their decision to separate at all, citing the impact of Covid-19.

Despite valuation issues, rates of settlement increased during the period, most likely to avoid the longer term financial effects of Covid-19. The pandemic provided the necessary motivation to settle, and skyrocketing housing prices may have translated into urgency in terms of settlement, along with a desire for certainty and control of at least this one aspect of life. The further impetus of court delays for all but urgent applications offered couples the choice to wait it out or settle, with many couples settling in preference.

Tech problems

In terms of managing new technology requirements, it was interesting to note that while 67% of respondents had no trouble managing the new technology, around one quarter reported difficulty signing agreements remotely during lockdowns. This can be attributed to technical difficulties in a challenging environment where technical support may have been limited from either side, noting this method does rely on clients having access to the necessary technology.

Managing workload

The rising number of separations due to the impact of Covid-19 is well documented worldwide, and New Zealand is set to be no exception. Lawyers already report increased workload from the previous survey, and predictions are that this will rise further in the next two years. This will be true in many other areas of law following changes and challenges experienced in this period.

Many practitioners reported greater discounting of fees, despite a heavier workload. This can largely be attributed to the effects of Covid-19 such as cashflow due to business downturn and has likely been experienced in other practice areas. This trend is likely to continue with current and anticipated inflation levels leading to greater outgoings, however hourly rates have not increased significantly when compared to the previous survey period.

Identifying changes in stress levels

Relevant to all legal practitioners, the 2021 survey introduced an interesting set of questions aimed at identifying changes in the levels of stress experienced by practitioners and how this stress is addressed. This section was included primarily because of the significant changes in the way law is practiced due to the impact of Covid-19 throughout the survey period. Stress levels will be further canvassed in future surveys due to the large number of practitioners affected and general concern that many practitioners are continuing to work with unmanageable stress.

A majority – 56% of respondents – reported an increase in their stress levels over the two year period. All survey participants were asked whether they had accessed any resources to manage their stress, not just those reporting increased stress. A heartening 24% of respondents received professional supervision and 15% sought counselling. A further 11% had recourse to the Law Society’s friends panel to assist.

The Relationship Property Survey team

The team responsible for this developing the survey comprised forensic accountant and partner at Grant Thornton Jay Shaw, Family Law Section Manager Kath Moran, and barristers Kirsty Swadling and Caroline Hickman. Independent market research organisation Ipsos was engaged to conduct the fieldwork. Of a possible population pool of approximately 2,000, a total of 275 practitioners responded.

*Barbara Relph is a writer, editor and proof-reader. She is the author of Uncoupling, an insider’s guide to separation in New Zealand and was engaged by Grant Thornton to write the 2021 Relationship Property Survey Report. www.barbararelph.com