U.K. law firm heads believe they have a new drawing card for law graduates. No longer able to compete with U.S. firms on salaries in London, many of the top firms privately say they are attempting to become a popular destination for the best talent through their diversity policies.

Many top U.K. firms already dominate international rankings of LGBT-friendly employers, and they are stepping up their efforts to improve the gender and racial balances in their partnerships. Yet, although it might help firms in the hiring process, the broader purpose in the push for diversity seems to have been lost.

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