Inside the 2026 findings

The gap between the rising cost of legal talent and the way firms deploy it is widening. Many firms still make resourcing decisions in the dark, without workforce intelligence at the point of allocation. BigHand's 2026 findings show where the gap sits and what it costs firms in profitability. 

32%

of firms expect equity partner salaries to rise by more than 10% over the next 12 months.

67%

of firms have no formal process to prevent lawyer underutilization.

37%

of firms still allocate work primarily through partner preference.

99%

of firms say AI is already changing hiring priorities and team composition.

Based on insights from over 800 law firm leaders and senior operations, HR, and resource management professionals at firms across the UK and North America, the BigHand Legal Talent and Resourcing Report 2026 highlights how rising talent costs and AI are reshaping resourcing priorities over the next 12 months. 

Where legal leaders need to focus

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Build matter profitability into allocation decisions as talent costs continue to rise. 

Cyan microchip icon with AI lettering representing artificial intelligence in legal resource management.

Track where AI releases capacity and where it creates extra review work. 

Cyan icon of two people representing lawyer identification and resource allocation.

Identify unused lawyer capacity while there is still time to deploy it.

Cyan icon of a hand holding a heart representing employee care and retirement planning.

Prepare for retirements and attrition by allocating work that builds future leaders.


The data at a glance

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Talent costs keep climbing

32% of firms expect equity partner salaries to rise by over 10% in the next 12 months.

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Matter profitability receives limited oversight.

23% of firms routinely monitor matter-level profitability at management or executive level.

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Clients are questioning AI value.

46% of firms have been asked why fees have not reduced despite AI use.

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Succession risk is already visible.

Firms expect 35% of equity partners to retire within five years.


What the findings mean for you

HR and Resource Managers

Voluntary attrition sits at around 30% at every level of seniority, and around one-third of partners are expected to retire within five years. 22% of firms are prioritizing a review of associate career development, and 24% have complete automated data on associate skills. Protecting the talent pipeline calls for visibility into where it is weakening.

Voluntary attrition sits at around 30% at every level of seniority, and around one-third of partners are expected to retire within five years. 22% of firms are prioritizing a review of associate career development, and 24% have complete automated data on associate skills. Protecting the talent pipeline calls for visibility into where it is weakening.

Operations Managers

Resourcing relies on manual or informal methods at 42% of firms, and 37% allocate work primarily through partner preference. 15% use forecasting and capacity planning to anticipate demand. Bringing capacity and matter economics together before work is allocated helps operations teams spot pressure points early and deploy the right resource at the right cost.

Resourcing relies on manual or informal methods at 42% of firms, and 37% allocate work primarily through partner preference. 15% use forecasting and capacity planning to anticipate demand. Bringing capacity and matter economics together before work is allocated helps operations teams spot pressure points early and deploy the right resource at the right cost.

Knowledge and Innovation

AI is already changing hiring priorities and team composition, according to 99% of firms, and 69% have fully implemented legal AI. Efficiency becomes commercial value when firms can see where capacity is released and where review work is created. 24% of firms have complete automated data on associate skills and experience to support that view.

AI is already changing hiring priorities and team composition, according to 99% of firms, and 69% have fully implemented legal AI. Efficiency becomes commercial value when firms can see where capacity is released and where review work is created. 24% of firms have complete automated data on associate skills and experience to support that view.

Firm Leaders

Talent costs are rising, with 32% of firms expecting equity partner salaries to climb by over 10% in the next 12 months and 30% expecting the same for senior associates. 22% explicitly consider matter profitability when allocating work. Each poorly allocated matter erodes the return on the firm’s largest investment.

Talent costs are rising, with 32% of firms expecting equity partner salaries to climb by over 10% in the next 12 months and 30% expecting the same for senior associates. 22% explicitly consider matter profitability when allocating work. Each poorly allocated matter erodes the return on the firm’s largest investment.

What law firm leaders are saying

Frequently asked questions
Frequently asked questions

Behind the research

What are the main challenges the research has uncovered?

The research points to a widening gap between the rising cost of legal talent and how firms deploy it. 37% of firms allocate work primarily through partner preference, and 67% have no formal process to prevent lawyer underutilization. Firms are making costly resourcing decisions with limited visibility into capacity and skills.

Why does BigHand conduct this research?

The legal market continues to evolve, and firms face increasing pressure to balance client expectations, operational efficiency, and profitability. We conduct this research to understand how legal resource management practices are changing across the industry and to share insights from legal professionals. Our goal is to give firms the evidence they need to make informed decisions about people, process, and technology investment.

How was the research conducted?

The 2026 BigHand Legal Talent and Resourcing Report draws on survey responses from over 800 law firm leaders and senior operations, HR and resource management professionals across the UK and North America. Respondents span firms of varying sizes, all with 50+ lawyer headcount, giving a broad and representative view of the market.

How can BigHand Resource Management help?

Work still moves through many law firms, allocated by memory and spreadsheets, overloading trusted lawyers while spare capacity sits unseen, and matters are staffed at the wrong level and cost. BigHand Resource Management brings intelligence before allocation decisions, giving firms visibility into capacity, skills, utilization, and forecast commitments across every practice.