Internships

News & Analysis as of

Key Lessons From The SEC's FCPA Enforcement Action Against BNY Mellon

The cost of hiring an intern just went up. The Bank of New York Mellon Corp. ("BNY Mellon") last week agreed to pay the U.S. Securities and Exchange Commission ("SEC") $14.8 million to settle allegations that the company...more

Large Multinational Financial Services Company Settles FCPA Charges Relating to Internships

On August 18, the SEC announced a settlement with a large multinational financial services company over allegations that the company had violated the FCPA by giving internships to family members of government officials...more

Bridging the Week - August 2015 #4

CME Group Files Disciplinary Actions for Trading Ahead of Block Trades and Failure to Supervise an Employee Engaging in Disruptive Trading Activities - In two cases of first impression, CME Group exchanges brought and...more

Unpaid Internships: Tips for Avoiding Legal Liability

Unpaid internships present companies with potential legal exposure, as shown by several recent, well-publicized legal victories for interns, including one against NBC, which ultimately paid out millions of dollars. To help...more

SEC Unveils First FCPA Enforcement Action Focused On Hiring Practices: BNY Mellon

The SEC is having a good year in the FCPA enforcement arena. As a former prosecutor, my eyes would sometimes glaze over when discussing civil enforcement actions. The SEC, however, has turned its FCPA enforcement program into...more

Full Court Press for Interns at Second Circuit?

As this blog previously reported, a three-judge panel of the Second Circuit ruled against two separate groups of interns in early July, applying the “primary beneficiary” test—to evaluate whether unpaid interns are trainees...more

BNY Mellon and Lessons Learned In Hiring Family Members – Part II

In yesterday’s post I reviewed the Securities and Exchange Commission (SEC) Foreign Corrupt Practices Act (FCPA) enforcement action involving the Bank of New York Mellon Corporation (BNY Mellon) around its hiring of sons and...more

Yelp Reviewers Are Not “Employees”

In a world where the lines between employees and volunteers/interns are becoming increasingly blurred, it is nice to see at least one court easily dispense with a wage and hour lawsuit. On August 13, 2015, a federal judge...more

SEC- BNY Mellon Settle FCPA Charges Tied To Hiring Relatives of Officials

The SEC has been investigating sovereign wealth funds and issues relating to the hiring of friends and family of foreign officials for some time. Now it has filed a settled action centered on both of those issues which...more

Guidance on Using Unpaid Interns

With school about to start, students looking for internships will not be far behind. If your company has an internship program, you need to be award of the regulations governing the same....more

FLSA: Changes Continue to Affect Employers

This past year has brought major changes to the laws affecting wage and hour issues. The Department of Labor has been particularly active this year putting out its first Administrator’s Interpretation regarding independent...more

That is SO last week - August 2015 #3

Last week, The New York Times reported on Amazon’s “bruising workplace” and described Amazon’s theory that “conflict brings about innovation.” According to the article, Amazon employees are encouraged to criticize each other,...more

Miss Any of the Major Wage & Hour Law News this Summer? We’ve Got You Covered

Developments in wage and hour law made major waves for employers this summer. They include: (1) proposed new overtime regulations from the U.S. Department of Labor (DOL); (2) an announced crackdown by the DOL on employers who...more

Second Circuit Decisions in Glatt and Wang Likely Preserve Essential Internship Opportunities

On July 2, 2015, in Glatt v. Fox Searchlight Pictures and Wang v. The Hearst Corporation, the Second Circuit Court of Appeals addressed when unpaid interns are “employees” entitled to compensation under the Fair Labor...more

Employment Law - July 2015 #2

DOL Proposes Major Overhaul of Overtime Rules: Why it matters - Expanding the scope of employees eligible for overtime, the Department of Labor (DOL) released its long-awaited new rules revising the white collar...more

Connecticut Passes Two Employment-Related Bills: Pay Secrecy and Workplace Protections for Interns

Bill Barring Pay Secrecy - On July 2, 2015, Governor Dannel P. Malloy signed Public Act 15-196, "An Act Concerning Pay Equity and Fairness” (“Pay Equity Act”), which makes it illegal for Connecticut employers to prohibit...more

Throw the DOL "Intern Fact Sheet" Away: Second Circuit Rejects DOL's Unpaid Intern Six-Factor and Adopts New "Primary Beneficiary"...

The Department of Labor's ("DOL") six-factor test has long been the incontrovertible standard for determining whether employers are required to pay an intern under the Fair Labor Standards Act. That may no longer be the case...more

Client Alert - Interns & Independent Contractors

Second Circuit Reverses Class Certification Ruling in Fox Searchlight Unpaid Intern Case, Directing Trial Court to View Economic Benefit Factors Through New Lens - A federal appellate court in New York handed an apparent...more

Second Circuit Rejects DOL Test on Intern Pay

Over the past several years, employment lawyers have cautioned their clients with regard to legal risks involved with unpaid internships. As these internships rose in popularity, many of the arrangements failed to meet...more

Intern or Employee? Second Circuit Outlines Test to Determine Unpaid Interns' Status Under Fair Labor Standards Act and New York...

The U.S. Court of Appeals for the Second Circuit July 2 handed down a significant decision in Glatt v. Fox Searchlight Pictures, Inc. in connection with a pair of lawsuits challenging the legality of unpaid internships under...more

Employment Flash - July 2015

The July 2015 edition of Employment Flash covers a number of developments, including: the U.S. Supreme Court's ruling that job applicants need only show that a religious accommodation was a factor in denying employment to...more

Alert: Hiring Unpaid Interns: Federal Court Changes (Some of) the Rules

On July 2, 2015, a federal appeals court upended the test companies and courts have relied upon for nearly seventy years to determine whether or not an intern must be paid. Instead, in Glatt v. Fox the Second Circuit Court of...more

California Employment Law Notes - July 2015

Employee's Inability To Work For A Particular Supervisor Does Not Constitute A "Disability" - Higgins-Williams v. Sutter Med. Found., 237 Cal. App. 4th 78 (2015) - Michaelin Higgins-Williams worked as a clinical...more

Second Circuit Adopts a New Test to Determine Whether Unpaid Interns Should be Classified as Employees

Earlier this month, the U.S. Court of Appeals for the Second Circuit (“Second Circuit”) issued a new test for determining whether interns must be classified and paid like “employees,” as that term is defined in the Fair Labor...more

Second Circuit Announces New Test For Intern Claims and Puts the Brakes on Class and Collective Claims by Interns

On July 2, 2015, the U.S. Court of Appeals for the Second Circuit issued two eagerly awaited decisions that may dampen the recent wave of collective and class actions filed by unpaid interns claiming they should be paid...more

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