Top law firm to ‘lock out’ lawyers in ugly dispute

Prominent workers’ rights law firm Maurice Blackburn is poised to effectively lock out its own unionised lawyers in a fight over pay and conditions, after the lawyers signalled they would participate in an Australian-first ban on recording billable hours.

The lawyers, who are members of the United Services Union in NSW and the Australian Services Union across the rest of the country, are seeking a pay increase and 10 days of reproductive leave.

Maurice Blackburn is locked in a dispute with its staff over pay and conditions.

The proudly pro-union firm is chaired by former Victorian Labor premier Steve Bracks and is famous for its “We fight for fair” advertising campaign.

The unions notified Maurice Blackburn last week that members employed by the firm would engage in protected industrial action on Thursday, March 6. Industrial action is rare in the legal profession because rates of unionisation are low, but the majority of lawyers at the firm are unionised.

The lawyers are not proposing to down tools but to implement a one-day ban on recording their billable hours, which would affect the firm’s profits.

The firm responded by issuing a non-payment notice under the Fair Work Act. That notice signalled it will not accept any work from the lawyers engaged in the partial work ban on that day until they are prepared to perform all normal duties.

We believe this will be the first time lawyers in Australia have taken industrial action in the form of a ban on recording ... billable hours.

ASU National Secretary Emeline Gaske

While this is not a lockout in technical terms because the firm remains willing to accept lawyers’ labour, the effect is similar.

Non-lawyer unionised staff at the firm were also expected to participate in work stoppages on Thursday of up to three hours.

ASU national secretary Emeline Gaske said its members “will not be intimidated by legal tactics”.

“We believe this will be the first time lawyers in Australia have taken industrial action in the form of a ban on recording their billable hours,” she said.

“Members are making a strong point – while the firm charges clients hundreds of dollars per hour for legal work, it refuses to fairly compensate the staff who generate that revenue.

“If the firm refuses work from lawyers who aren’t recording their time, it reveals that profit matters more to them than genuinely supporting their clients.”

‘Fight for fair wages’

Gaske said that “management’s current pay offer of 3.75 per cent, 3.5 per cent and 3.25 per cent falls far short of what workers deserve”.

It is understood lawyers had sought yearly increases closer to 5 per cent each year over the term of the agreement.

“For years during the pandemic, our members endured pay rises well below inflation and, with the cost-of-living crisis, they are now prepared to fight for fair wages,” Gaske said.

Reproductive leave

Reproductive leave covers a range of health issues including menstruation, fertility treatments, endometriosis and menopause.

The firm has joined in union campaigns to increase reproductive leave entitlements across the country.

“Maurice Blackburn has publicly campaigned for employers to provide 10 days of reproductive leave, yet it refuses to move beyond four days for its own workers. This hypocrisy has deeply disappointed our members,” Gaske said.

Unions NSW Secretary Mark Morey backed the action and said: “Everyone has a right to ‘fight for fair’, including those employed at a law firm like Maurice Blackburn, which has built its practice on high profile union cases.

“The lawyers, paralegals, administrative and clerical workers who have contributed to the firm’s victories deserve to share fairly in its success and we are wholly committed to supporting their campaign.”

‘Staff not locked out’

In a statement, Maurice Blackburn denied staff were being “locked out”.

“We are simply operating under the Fair Work Act. Maurice Blackburn continues to negotiate with the union and wants its valued staff to receive a fair and sustainable pay rise,” it said.

The firm said its “latest offer is a 5.5 per cent pay rise in the first year for those earning under $100,000, which would cover 60 per cent of Maurice Blackburn’s staff including administrators, receptionists, call centre workers and legal assistants”.

“Staff earning above $100,000 would receive a pay rise of 3.75 per cent in the first year.

“All staff would receive a 3.5 per cent pay rise in the second year of the agreement, and a 3.25 per cent pay rise in the third year.

“We respect the rights of our staff who are members of a union to engage in industrial action and will continue to take steps to ensure that clients remain unaffected.

“Maurice Blackburn Lawyers is one of only two major law firms that supports staff to join unions so that they have strong representation during … negotiations.”

Start the day with a summary of the day’s most important and interesting stories, analysis and insights. Sign up for our Morning Edition newsletter.