Intern + Output = Paycheck

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It's no secret that today's economy is tough. The result? Business vets are joining this year's crop of students as fall interns. They will work away – often for free – in hopes of a future job, a resumé builder and even to sample "the real world."

There is just one problem – in many cases, this is illegal. Just last year the Labor Department issued a very specific crackdown regarding unpaid employees – a six-point checklist on just how far an internship can go before requiring a business to pay up by at least offering minimum wage. The six criteria a business must meet in order to allow unpaid internships are:

1. The internship, even though it includes actual operation of the facilities of the employer, is similar to training which would be given in an educational environment;

2. The internship experience is for the benefit of the intern;

3. The intern does not displace regular employees, but works under close supervision of existing staff;

4. The employer derives no immediate advantage from the activities of the intern – and on occasion its operations may actually be impeded...

Please see full article below for more information.

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Published In: Administrative Agency Updates, Labor & Employment Updates

DISCLAIMER: Because of the generality of this update, the information provided herein may not be applicable in all situations and should not be acted upon without specific legal advice based on particular situations.

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