Leading banks demand Diversity from their legal advisors
As Diversity becomes more and more relevant three of the world’s largest financial institutions, Deutsche Bank, Goldman Sachs and Morgan Stanley, are seeking Diversity information from their legal advisors. Legal firms who are pitching for business are expected to inform the banks on diversity statistics relating to their employees’ backgrounds.
The trio follows the example of banks including JP Morgan and Barclays and other major corporate companies who are asking advisers for a breakdown of diversity information. JP Morgan assistant general counsel Tim Hailes comments: “It is a relevant factor, if not a determining one.”
This information becomes even more relevant in consideration of the fact that City law firms are among the worst in the UK for Diversity, according to a survey published by the Black Solicitors Network. Furthermore, the Recruiters Guide to Courses and Campuses report found out that this year almost one in every four law students came from an ethnic minority. Keeping these facts at the back of one’s mind, it becomes obvious that law firms have to start to deal with Diversity, if they want to keep their clients.
Ashurst finance partner Mark Vickers states: “It is an issue that is becoming more prevalent and that can only be a good thing. Banks are not the diversity police — it is a case of encouraging law firms to take the issue seriously.”
