Report: Shift in Australian Lawyers’ Approach to Work
Artificial intelligence (AI) is transforming industries worldwide, and the legal profession is no exception. Thomson Reuters' Tech, AI and the Law 2024 report, based on a survey of 869 legal professionals in Australia, explores how AI and related technologies are reshaping the legal landscape. AI will revolutionise legal practice by enhancing efficiency and shifting business models.
AI's Role in Legal Practice
The core appeal of AI in legal practice is its ability to improve efficiency and productivity. As AI tools become more sophisticated, legal professionals increasingly use them to handle tasks such as document review, legal research, and administrative work. This allows lawyers to focus on more complex, value-added activities directly benefiting clients.
Carl Olson, Interim Director for Thomson Reuters in Asia and Emerging Markets, explains, "GenAI technology continues to disrupt traditional norms and redirect the course of the industry." The survey findings underscore the growing adoption of AI, with many professionals recognising its potential to streamline workflows, unlock time, and improve overall productivity.
For instance, as AI takes over basic tasks, legal professionals can reinvest their time in higher-value activities like learning, taking on additional client projects, and honing their expertise. AI is not just an efficiency tool; it's enabling a shift in how lawyers approach their work.
AI Adoption in Private Practice
AI adoption within law firms is still evolving. While some firms have fully integrated AI into their practices, others are still in the early stages of implementation. The survey found that 31% of private practice legal professionals use unofficial GenAI tools to assist with their work. Even if AI isn't officially part of their firm's technology stack, lawyers are finding ways to incorporate it into their daily tasks, demonstrating a growing recognition of AI's value.
Additionally, 32% of respondents expressed interest in their firm adopting a GenAI legal assistant. This reflects a broader demand for AI-powered solutions that can handle repetitive tasks, improve efficiency, and give legal professionals more time to focus on client matters. As more firms see the benefits of AI, adoption is expected to increase.
Shifting Legal Service Delivery
AI's impact on the legal profession is not confined to how work is done. It is also poised to transform how legal services are priced. The survey suggests that AI will shift law firms away from traditional hourly billing models towards more value-based pricing structures.
Nearly 60% of in-house professionals (58%) surveyed believe AI should be factored into law firm pricing. As AI becomes more integrated into legal workflows, law firms may offer more transparent pricing models, reflecting the efficiencies created by AI tools. This could lead to a more predictable and client-focused approach to legal services, where clients better understand how AI contributes to the cost and quality of their legal work.
AI and Human Oversight
While AI is increasingly seen as a tool that can augment legal practice, it is not a replacement for human expertise. Ninety-five percent of private practice professionals surveyed agree that while AI can accelerate legal work, it is no substitute for the depth of thorough legal analysis. This highlights that AI is a complement to, rather than a replacement for, the skills and judgment of lawyers.
However, as AI becomes more ingrained in legal work, ensuring ethical use and maintaining oversight will be essential. Carter Cousineau, Vice President of Responsible AI and Data at Thomson Reuters, emphasises the importance of keeping "humans in the loop" when deploying AI technologies. This ensures that AI systems are accurate, ethically sound, and aligned with the standards expected in the legal profession.
"Human involvement is crucial when considering the GenAI models' performance," Cousineau explains. "We require developers and product owners to document their human oversight processes and regularly review outputs to ensure accuracy and compliance." At Thomson Reuters, experts routinely review the outputs of AI systems, ensuring that they meet the highest standards of quality and ethical responsibility.
Overcoming Barriers to AI Adoption
The report also highlights some of the challenges that remain in AI adoption within the legal sector. Key concerns include cybersecurity, privacy, and the accuracy of GenAI outputs. These challenges are not unique to the legal profession but must be addressed as AI systems become more widespread.
For example, there is a growing need for transparency and governance in AI development to ensure systems are deployed responsibly and securely. Many legal professionals have expressed needing more rigorous oversight and accountability when implementing AI tools. This is where the "human-in-the-loop" approach becomes critical—legal professionals must be actively involved in developing, deploying, and monitoring AI systems to ensure they are functioning as intended and protecting client data.
The Future of AI in Legal Practice
The findings of the Tech, AI and the Law 2024 report clarify one thing: AI is reshaping the legal profession profoundly. From improving efficiency to changing pricing models, AI has the potential to revolutionise how legal services are delivered. However, adopting AI must be done responsibly, focusing on maintaining the human element at every stage of implementation.
AI's integration into legal practices will only deepen as it continues to evolve. While AI can help lawyers work smarter and more efficiently, it is not a substitute for lawyers' expertise and judgment. By combining the power of AI with human oversight, the legal profession can ensure that AI serves as a tool for innovation, efficiency, and ethical practice.
For more insights into the evolving landscape of AI in the legal industry, you can download the full Tech, AI and the Law 2024 report here.
