Why are so many lawyers unhappy? Jessica Pryce-Jones seeks to find out – and offers some tips on how to shake the downturn gloom

As a specialist on happiness in the workplace, I have worked in a wide variety of sectors. Out of all the clients I have sat across the table from, lawyers have been consistently the most unhappy.

The current economic climate is hardly likely to allay this melancholy. Furthermore, a recent study by recruitment consultancy Badenoch & Clark found that more than a fifth of law firms have had to lay off employees as a result of the current economic -climate. Worries over finances are likely to get worse in January when firms have to pay their partnership tax bills.

With budget cuts, restructuring and redundancies, lawyers cannot help but feel that work performance is being assessed purely against the bottom line of billable hours. Because, for many, this is indeed the case. On top of that, thoughts such as 'How safe is my job?', 'Will I be able to pay the mortgage?' and 'Am I doing enough?' add to levels of anxiety. Stress is endemic in many organisations, but right now it is particularly high among lawyers.

Telltale signs that things are tough include more tiredness around the office, less task-focus, doubts about one's personal capabilities, more negative language or gossip and more hints that people think events are out of control. On top of this, there may be an increase in sick leave.

All is not lost, however. There are a number of immediate things that both assistants and partners can do to create a happier workforce.

For assistants

Much of what determines a happy law firm is down to management. A 2007 Law Society survey found that 80% of respondents claim that a good line manager is key to keeping them happy. Of course, employees can also help themselves.

Firstly, it is important to remember why you entered law in the first place and all the positive attributes you bring to your job. At many City firms, there are 2,000 applications for around 50 training contracts – so remember what you have achieved to date in becoming a lawyer and why your firm is lucky to have you.

Whether it is the knack of developing closer relationships with clients, contract negotiation skills, or interpreting how law applies to a particular case, don't forget what your strengths are.

It is also important to try and make yourself indispensable and increase your knowledge. Volunteer for interesting new assignments or perhaps identify a type of knowledge within the firm that is in short supply, but of high value.

Focus on deepening your relationships with clients, even if they are not as profitable as before. A stronger
relationship is going to pay dividends when the economy improves, both for you and the firm, and is likely to increase your morale.

And try and embrace change if it comes your way. I have worked with a number of senior law firm employees who have been terrified by the shuffling of teams and new responsibilities, when really such a change represents a significant opportunity in their development. You also don't want to be seen by senior partners as being an obstacle to change. Show your support. Remember that they are finding things hard too.

Finally, it is easier said than done, but try to keep things in perspective. Your work is only one part of your life. Make sure that you have enough time to relax outside work. With a more balanced life you are likely to be happier and contribute more in the office.

For partners

Communicate your future strategy, make sure that people understand the importance of what they do, and support team members as much as possible. At a time of anxiety, it is essential that rumours – about redundancies, for example – are not allowed to pick up steam and that you are seen to be up front with people.

Face to face contact is important. Don't hide yourself in the office. Clarifying people's roles, objectives and performance benchmarks, as well as explaining to them how they fit into the future goals of the firm, is vital. The 2007 Law Society survey found these to be key factors in motivating employees – and, as the economic gloom unfolds, they are going to become more important than ever.

Giving employees as much control and influence as possible over their jobs is also essential. It is all too easy during difficult times to seize the reins, making people feel ever more helpless. And it is counter-intuitive to let go when things seem extra tough. But it will engender greater loyalty.

It is also important that your employees' work remains challenging and that they continue to have a high degree of client contact. Again, the 2007 Law Society survey found these two factors to be central to motivated and loyal employees. Creativity needs to be nurtured, which means fostering as upbeat an atmosphere as possible. That way you will ensure that your employees don't become too risk averse.

While seemingly obvious, it is important to thank people when they have done something difficult – so many managers don't bother. People respond very well to praise, especially when things are tough, with 3:1 being seen as the optimal ratio between positive and negative feedback.

It is also essential that you are able to support your lawyers effectively in the transitions they make in the firm. Currently, many general corporate lawyers are being asked to turn their hands to restructuring. Taking on new types of work can be stressful, and the changes involved unsettling. Ask what knowledge and skills these people need to acquire and how they can get the most out of others.

An economic downturn shines the spotlight on management and operational decisions, and the people taking on these new roles must be well-prepared and supported.

It is also important for managers to not just focus on billable hours as the only route to survival. We all know that if you want to get on in the UK's leading law firms, you work long hours.

And, according to Badenoch & Clark, some law firm employees are working the equivalent of an extra day a week compared to the start of the year. But to focus on time sheets even more during a downturn can only exacerbate burn-out and anxiety.

One final piece of advice for managers and partners: make sure you can create a place where you can think calmly. When relaxed, you generate and evaluate more creative options, make better decisions and structure plans for implementation more effectively.

Challenges no doubt lie ahead for UK law firms. Now is the time to take action to maintain happiness levels and morale in the workplace.

Jessica Pryce-Jones is a joint founder and partner of iOpener.