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Lawyers perceived as only slightly more ethical than bankers

Even in the wake of the banking royal commission, Australians perceive lawyers to be almost as unethical as bankers, insurers and financial services professionals, according to new research.

user iconJerome Doraisamy 04 September 2018 Big Law
Lawyers slightly more ethical than bankers
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The Governance Institute Australian Ethics Index 2018 found that while the banking, financial services and insurance sectors have a net ethical score of -15, with only 30 per cent of respondents thinking that workers within those sectors behave in an ethical fashion, lawyers do not appear to be faring much better, with just 33 per cent seeing legal professionals as ethical, with a net score of -9.

All sectors implicated in the Royal Commission into Misconduct in the Banking, Superannuation and Financial Services Industry have been tainted, particularly for perceived lack of accountability and transparency, and lawyers have been implicated in that, according to UTS Business School academic Rosemary Sainty.

“Lawyers play a significant role when it comes to our corporate boards and their systems of corporate governance, so it’s not a surprise to me that [the legal profession] has suffered a hit,” she said.

An interesting takeaway, however, was that people seem to trust the lawyers they personally deal with, according to Governance Institute executive manager of policy and advocacy Catherine Maxwell.

“People trust their own lawyer, but their general perception of lawyers is very poor,” she said.

“I think it feeds into this whole mistrust that we’re seeing in a number of sectors, with people who are perceived to be on the side of big business and large corporations, particularly. And if you’ve got a royal commission on our television screens at night, you can see a number of lawyers in action.”

Deloitte partner Dr Deen Sanders said there is a lot to be learned from this particular finding for professional communities.

“There’s lots of disappointment and concern around things like executive salaries, bribery and corruption, executive bonuses, [and while] the Australian public may have had a sense of it before, the royal commission does tease them out. It does tell us a lot about professions like law, and the way professions are organised,” he mused.

Seeing stories about corporate Australia play out in the media can be surreal, he explained. Law is not a normal workplace environment for most Australians, and that difference creates a sense of disconnect and inequality which can breed that distrust, he posited.

“The more we hold ourselves out from the normal public environment, the greater the risk, I think, of professions being further alienated from a public understanding of what’s good and ethical.”

These issues were discussed in more detail in a recent podcast episode, sponsored by Governance Institute, examining the findings of the Ethics Index 2018 study. You can listen to the podcast below.

Jerome Doraisamy

Jerome Doraisamy

Jerome Doraisamy is the managing editor of Lawyers Weekly and HR Leader. He is also the author of The Wellness Doctrines book series, an admitted solicitor in New South Wales, and a board director of the Minds Count Foundation.

You can email Jerome at: jerome.doraisamy@momentummedia.com.au 

Comments (4)
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    As a Father whose two daughters were abducted twice in 1999 in your country the claims that solicitors are ethical is beyond preposterous. Whether it is your Courts from which I am barred of course being British, your various legal agencies staffed by solicitors, the so called LPCB in Adelaide, the private lawyers who prepared a statement so full of defects it made the statement worthless. Whether it is the current AG and his solicitor staffs or his predecessors, or solicitors elsewhere in Government, the DHS for example or the SA or NSW governments, the claims otherwise just show how out of touch with reality this anon party is. Child abuse is wrong but is still condoned, rewarded and encouraged 20 years after the events. Watch the testimony on toxic stress in infants suffering traumas by Harvard;s Professor Jack Shonkoff and learn what so many of your ineptocrat legal colleagues do sustain to protect their careers, pensions and public personas; (2019, 6 minutes). These are facts not subjective.
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    As a lawyer of 30 years practice, I'm afraid I have to agree that many lawyers - particularly partners in large firms who are under pressure to maintain huge billings - act very unethically in terms of extreme and unnecessary overservicing of clients (with corresponding extreme overcharging of fees). Unfortunately there is no easy solution, as it depends on such lawyers growing a conscience.
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    Questionable ethics among law firms, as perceived by the Australian Community, would sadly, come as no surprise. Exploitative billing my some firms, brings hardworking and ethical organisations into disrepute. At a recent local Law Association function, a well respected Justice encouraged budding young Lawyers, to remember that the Law is a Profession Not a business
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    There is no surprise in this finding - sad to say. Exploitative billing would appear to be high the agenda of law firms. At a recent local Law Association function, a well respected Justice, while providing encouragement to budding young Lawyers, urged them to never forget that law is a Profession NOT a business.
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