Lawyers face work-life paradox as AI adoption soars across the profession

Australasian law firm leaders see themselves as struggling with work-life balance, even as they say their own firms are delivering a healthy environment for staff, according to new research by the Australasian Legal Practice Management Association (ALPMA) and Dye & Durham.

The 2025 ALPMA/Dye & Durham Changing Legal Landscape Report*, of 181 firms across Australia and New Zealand, found more than two-thirds of legal professionals believe the legal industry does not offer a healthy work-life balance, while up to 97 per cent of firms reported that their employees do enjoy balance.

Carl Olson, Managing Director of Dye & Durham APAC, said the disconnect may be masking hidden burnout risks.

“The commentary in our report posits that firms might be underestimating the personal toll of work demands despite assuming that organisational culture supports balance,’’ Mr Olson said.

There was no uniformity in responses in how to improve work-life balance but the ability to reduce to a four-day week stood out. While only 10 per cent of firms are actively exploring it, nearly one in three lawyers said it would most improve their wellbeing.

Senior staff dominate work-from-home privileges

The survey also found widespread adoption of hybrid work but with stark divisions between roles. Partners and senior lawyers typically enjoyed more flexibility, while support and administrative staff were more likely to be required in the office full-time.

Respondents overwhelmingly said working from home improved attraction, retention and wellbeing – but 82% warned it hampered mentoring and team building.

“The pandemic normalised flexible work, but firms now face the challenge of balancing collaboration and connection with individual wellbeing,” Mr Olson said.

“The firms that succeed will be those that blend human expertise with technology, foster a culture of trust, and adapt work models to genuinely support balance.”

Other key survey findings include:

• 73% of firms plan to grow solicitor headcount in FY26, highlighting strong demand for legal talent.
• Firms continue to compete on personal service (75%), access to senior staff (72%) but clients increasingly expect fixed fees (64%).
• Talent attraction and retention remain under-prioritised, despite being cited as the area of greatest future benefit.

Only 5% of firms currently offer clients advice on AI adoption – but this is expected to triple in the coming year.

AI adoption near universal

Artificial Intelligence has been widely adopted within the industry with more than 90% of law firm leaders reporting they were experimenting with AI tools such as ChatGPT, CoPilot and CoCounsel.

Mr Olson said the use of AI in the legal profession, with 70% reporting regular usage compared with 44% across the wider population, using figures compiled by pollster Resolve Strategic.

Firms were using AI for many and varied use cases including searching for ideas and inspiration, summarisation and drafting through to marketing and business development messaging.

“Over the last couple of years, I have had many conversations with law firms about the longer-term risk and rewards of AI and we have seen sentiment swing more towards optimism with 65% of respondents indicating high levels of enthusiasm.

Mr Olson said the survey showed that old value-adds such as offering access to senior staff, fixed fees and personalisation of service would soon be considered baseline expectations while technology, AI, and innovation-driven delivery were becoming the next real differentiators.

Cyber security tops the agenda

Cybersecurity and regulatory compliance reached its highest ever level of importance in the 2025 survey at 63%, showing the profession views cyber risk, data protection, and regulatory compliance as existential strategic issues.

Technology adoption also rebounded to 59% from 49% in 2024. Generative AI explicitly entered strategic priorities at 51% signalling recognition of AI in the industry as a distinct transformation force. “Firms now consider tech strategy (automation, AI, integrations) as a core competitive pillar rather than an enabler,’’ Mr Olson said.

ALPMA Chief Executive Officer Emma Elliott said the report showed an industry at an inflexion point. “Firms that are curious, open to change, embrace AI responsibly, invest in culture and talent, and balance flexibility with connection will not only attract the best people but also redefine what it means to deliver legal services,” Ms Elliott said.

Methodology

The 2025 ALPMA and Dye & Durham Survey was available for all Australian and New Zealand law firms to complete between 22 July and 6 August 2025. A total of 181 individuals participated, each representing their wider organisation. Respondents were made up of ALPMA members and subscribers, including 144 law firms with operations in Australia, 39 with operations in New Zealand, and 2 with operations in both countries. The survey collected data on topics around the themes of people, technology, and business strategies.

About Dye & Durham APAC

Dye & Durham is a global leader in legal practice management software, with a strong and growing presence across the Asia-Pacific region. We enable legal, financial, and government professionals to manage business transactions and regulatory compliance with confidence, through powerful, intuitive solutions.

Our platforms provide seamless access to public records and government registry data, helping streamline workflows, reduce risk, and drive efficiency.

As a trusted partner throughout the property and asset life cycles, Dye & Durham is backed by a proud legacy of innovation and industry firsts. Our customer-focused technology and dedicated support are trusted by top professionals across Australia and extend to our global operations in Canada, the UK, Ireland, and South Africa.

For more information or to arrange an interview with Dye & Durham please contact:

Judith Silva
Account Manager, Cole Lawson Communications
M: 0423 665 220
E: judith.silva@colelawson.com.au