Chief Legal Counsel – Roles and Responsibilities
Chief legal counsel is the individual chiefly in charge of the selection, training, beginning, and supervision of all attorneys and other personnel in the Legal Department. Provides direction to the Office of the General Counsel as to substantive legal problems referred to it from line offices of the Commission that present major policy implication, or otherwise need participation of the General Counsel. The Chief Legal Counsel supervises all civil, administrative, bankruptcy, and appellate litigation activity undertaken by the Office of the General Counsel (OGC), and intervenes or represents the Commission in existing or threatened litigation of policy significance. Represents the Commission in cases before the Supreme Court. Provides on-going legal advice to and assists the General Counsel in the conduct of a wide range of advisory activities undertaken by the OGC. Recommends to the General Counsel regarding decisions to be made on permission to intervene or to seek leave of court in legal matters, establishes priorities for the assignment of resources to contested matters, directs development of scientific and factual information underlying Commission positions, oversight for the filing of pleadings with courts and all aspects of trial litigation, and recommends to the General Counsel the selection and employment of outside counsel . Monitors and advises the General Counsel on the conduct of agency rulemaking, enforcement, and adjudication activities for legal adequacy and consistency of approach with 5th Amendment, separation of powers, and case law jurisprudence. Establishes office priorities and guidelines regarding the timing of agency actions under the Energy Reorganization Act of 1974 (P.L 93-438), the Energy Policy Act of 2005 (P.L. 109-58), and the Commission’s regulations. Directs the study of general areas of substantive legal activity. Chief Counsel then works closely with the Inspector General in virtually all important agency activities. For example: Finally, the Chief Legal Counsel develops, recommends, and implements policy initiatives for executive level consideration, and also provides technical/experience input to those initiatives; participates in the development of Commission policies and decisions by providing extensive research, examination, and analysis of legal issues before the Commission; gathers facts and conducts detailed legal and economic analysis concerning complex matters for the Commission and presents findings orally and in writing to Staff, the General Counsel, the Chairman, and the Commission; Oversees Staff activities on a wide variety of highly contentious or novel issues to assure that the Commission’s interests are fully represented.
Average Compensation for Chief Legal Counsel per Industry
Chief Legal Counsels tend to earn their highest salaries in the following sectors: finance and insurance, manufacturing, energy, healthcare and professional services. Companies in these industries offer median salaries that range from $119,000 to $227,000.
Chief Legal Counsels in the finance and insurance sectors receive a median salary of $227,000. The highest paying 25% in this sector earned a reported $265,000 or more. Candidates in Savannah and Miami, Florida recently secured management positions at firms in the finance / insurance space with salaries of $275,000 and $264,000, respectively.
The median management salary for Chief Legal Counsel working in manufacturing is $185,000. The top tier in the industry earn between $225,000 and $290,000.
Energy companies provide Chief Legal Counsel with a median salary of $184,000. The top quarter of legal executives employed in the energy arena make over $210,000 per year.
The median for Chief Legal Counsel employed in the healthcare industry is $183,000, with $225,000 or more going to lawyers in the top 25%. Chief Legal Counsel in the healthcare sector in Indianapolis and Orlando were recently hired with reported salaries of $240,000 and $230,000, respectively.
Professional services firms, the legal departments of large corporations, and management consulting firms all took turns being the top payers of Chief Legal Counsel in the early months of 2018. Historically, management consulting firms pay management-level lawyers the most competitively. For example, a legal executive in Chicago was recently hired by a management consulting firm with a reported salary of $245,000.
What Influences Chief Legal Counsel Pay
Various factors can influence the salary of a chief legal counsel:
Company Size: Larger, publicly traded law firms tend to pay their chief legal counsels more than smaller firms, given the resources they can bring to bear.
Education: The educational background of a chief legal counsel also affects a firm’s willingness to pay. In addition to an advanced law degree from a prestigious institution, firms and corporate law departments place heavy emphasis on additional certifications. Specific areas of expertise such as taxation law, real estate law, criminal law or intellectual property law may also drive compensation considerations.
Experience: With regard to a chief legal counsel, the old adage "experience matters" is especially true. Most firms and corporations target individuals with years of relevant experience before handing the keys to the firm’s legal ship. Accordingly, the more years you spend honing your craft, the more likely you are to be well compensated for your expertise.
Executive Appeal: A chief legal counsel is often expected to interface with top-level executives on important strategy and operational matters, and remain composed in high-pressure situations. Therefore, in addition to years of relevant work experience, you’ll need a smooth disposition, sharp communication skills and a talent for persuasion before a chief legal counsel role will be within your grasp.
Salaries by Geography
The geographic location of a company also plays a determining factor in the salaries offered to Chief Legal Counsels. Like many other jobs, those in the largest and most populous cities earn the highest average salaries. This stands to reason considering that large cities tend to be the business and economic hubs of their respective states, regions, or countries. Most large companies will have their headquarters in a larger city for the advantage of accessibility and communication with other coastal and continental headquarters. Larger metropolitan areas do have higher average living costs than smaller towns and rural communities , which tend to have lower average salaries for similar positions. Square mileage and population density tend to be telling factors when trying to determine the salaries for Chief Legal Counsel in a given community. Generally speaking, the greater the population density, the higher the salaries. Again, this stands to reason. Commute times in denser populated areas are longer, and cost of living is higher in many instances. Again, these variables are averages and each company compensates its Chief Legal Counsel on its own merit and an employee’s place of residency or the location of the company’s headquarters do not always dictate the salaries offered.
Negotiating Chief Legal Counsel Salary
Negotiating salary, bonuses, and additional benefits as a Chief Legal Counsel can be a complex process, but being prepared and understanding your worth can help you secure the compensation you deserve. Here are some strategies and tips to consider:
- Research: Begin by researching the average salaries for Chief Legal Counsels in your industry, location, and company size. Websites like PayScale, Glassdoor, and Salary.com can provide insights into typical compensation packages. Understanding the competition and where you fit into the market can help you make a strong case for your desired salary.
- Leverage Your Experience: Be prepared to discuss your past experiences and achievements during the interview process. Highlight instances where you have helped save the company money, negotiated favorable terms, or avoided legal pitfalls. Use data and specific examples to demonstrate your value.
- Be Transparent: If you are asked about your current salary or compensation package, be honest about your expectations. A salary range or base figure can help the employer understand your requirements. A higher demand may leave room for negotiation, while a lower salary expectation can help you secure a lucrative offer.
- Understand the Company’s Compensation Structure: Different companies have various approaches to compensation. Bonuses and benefits can vary depending on the industry, the company’s performance, and its geographic location. Know what your employer can offer, and factor these elements into your overall salary negotiation.
- Consider Negotiation Timing: Timing matters when negotiating salary. While it may be reasonable to explore compensation once a specific project you have led is completed, it may be more advantageous to wait for a regularly scheduled review. Companies are more willing to evaluate salary regularly, like quarterly or annually, rather than at irregular times.
- Offer Creative Solutions: If your salary requirements exceed what the company can accommodate, suggest alternative benefits. This could include additional vacation time, flexible working hours, or professional development and training opportunities.
- Document Your Negotiation: Once you reach a mutually beneficial agreement, document the specifics in an official letter. Employers may forget your requests once you start working, so clarify your understanding of your total compensation package in writing.
- Practice Your Negotiation Skills: Be confident and articulate in your negotiations. Consider role-playing with a friend, or practice in front of a mirror. Go through several scenarios and possible questions or objections and practice your responses.
Emerging Trends for Chief Legal Counsel Compensation
Several macroeconomic and industry-specific trends govern the future of chief legal counsel salaries. While some trends may have been accelerated by the COVID-19 pandemic, the pandemic is not expected to upend the longer-term trends.
First, the economic outlook can have a large impact on chief legal counsel compensation. A positive economic outlook is correlated with increases in corporate revenues and, as a result, more investment by corporations in their legal departments and in outside counsel. Conversely, a negative economic outlook may result in layoffs of in-house counsel and/or less investment in law firms by corporations.
Second, the legal industry is using technology to drive efficiencies, resulting in increased workloads for chief legal counsels while also minimizing the need for in-house outside counsel. This is driving a need to recruit, retain, and compensate chief legal counselors who are comfortable with technology and process improvements, although firms admit that such talent is hard to find.
Third , corporations are pushing outside counsel to reduce their legal costs and more often use expert testimony in opportunities where they were previously represented by in-house counsel, which in turn is increasing demand for general counsel who are more experienced within trial settings rather than those who had previously spent most of their careers in-house.
Fourth, the adoption of alternative fee arrangements continues to increase, which helps reduce corporate legal costs but also drives increased compensation for chief legal counselors who are willing and able to accept alternative fee arrangements for their firms.
Fifth, nationwide, there is a push for increased diversity in the ranks of chief legal counsel and the pipelines that lead to the C-suite. Recognizing that there is a lack of diversity in the current pool of chief legal counsel, corporations are working to develop pathways that prioritize early career development and sponsor women lawyers and lawyers of color.