Deryl Earson, Vice President Legal Services of Environmental Management Corp., part of the BOC Group, spoke at the ACC 2005 Annual Meeting on the subject of law department benchmarks. His slides state that EEOC data indicates one claim per 512 full- and part-time employees (0.2 per 100). By that ratio, a company with 10,000 on the payroll would experience in a typical year 20 EEOC claims. What staffing in the legal department and what spending on outside counsel does that require? (See my post of Jan. 3, 2005 on training HR clients to handle such claims.)
Later, Earson states as a benchmark 0.05 (one in 20) “contract claims per major account.” Here, too, if a company completes 500 major contracts a year, that cohort will give rise according to the benchmark to 25 contract claims, thus justifying what level of legal staff and spending?