Unpaid Interns

News & Analysis as of

A New And More Flexible Approach To Internship Programs

Class action lawsuits filed by interns who claim they should be classified as employees have proliferated over the last few years. In these types of cases, a large number of interns have argued that they were actually...more

It’s a Trap!  Students Receiving Credit Need Not Be Paid? 

As colleges and universities begin new terms, not all students are returning to the classroom. Some students are headed into the “real world,” to work alongside corporate titans, small-business owners, or moms and pops in...more

2nd Circuit Amends Unpaid-Internship Opinion

Readers will recall that, last July, the Second Circuit U.S. Court of Appeals (with jurisdiction over Connecticut, New York, and Vermont) adopted a "primary benefit" framework for determining whether a for-profit entity's...more

Second Circuit Leaves Interns in the Cold—Again

While most New Yorkers rode out last weekend’s blizzard by binge watching television or enjoying playoff football, three Second Circuit judges apparently spent their time more productively, as the court on Monday issued an...more

New York Employers – Looking Backward and Forward.

Last year was a ‘big year’ in New York in terms of new employment laws, and 2016 is shaping up to be just as big – as employers come into compliance with the many new laws, and brace for additional changes to come....more

Unpaid Internships: Stocking Stuffer for Employers, or a Proverbial Fruitcake?

It’s been said the best things in life are free. In California, where running a business is very expensive, an unpaid internship program might seem a perfect gift. Employers of all sizes and in virtually all industries use...more

The Employment Law Authority - September/October 2015

On October 16, 2015, the U.S. Department of Homeland Security (DHS) released a notice of proposed rulemaking (NPRM) concerning new rules for extending the Optional Practical Training (OPT) program for international students...more

Michael Kors and Versace Sued by Unpaid Interns

Earlier this month, approximately 100 former interns filed class action suits in New York state court against Michael Kors and Versace for allegedly classifying them as interns rather than employees....more

Employment Law - October 2015 #2

Take the Cure: New California Law Permits Corrections of Wage Statement Violations - Why it matters: Employers may want to review their wage statements after Governor Jerry Brown signed a new law that permits them...more

[Event] Labor & Employment Law Update & Happy Hour - Oct. 15th, Los Angeles, CA

Please join us for Sheppard Mullin's bi-annual Labor & Employment Law Update & Happy Hour. There have been significant developments in California labor and employment law this year. We will explain how these new developments...more

Eleventh Circuit adopts and clarifies "primary beneficiary" test for unpaid interns under the FLSA

On September 11, 2015, the US Court of Appeals for the Eleventh Circuit handed down a landmark decision clarifying the circumstances under which unpaid interns are entitled to receive compensation under the Fair Labor...more

Is the Six-Factor Test Still Good? Eleventh Circuit Endorses Modified Intern Test

A recent decision by the Eleventh Circuit Court of Appeals appears to reject the U.S. Department of Labor’s oft-recited six-factor test, which is used to determine whether interns are actually functioning as employees. In...more

Eleventh Circuit Joins Second Circuit in Holding the Unpaid Intern FLSA Classification Analysis Depends on the “Primary...

The Eleventh Circuit recently joined the Second Circuit in adopting the employer-friendly “primary beneficiary” test to determine whether unpaid interns are properly classified as employees under the FLSA. The Second...more

[Event] Labor & Employment Law Update & Happy Hour - Oct. 7, Palo Alto, CA

Please join us for Sheppard Mullin's bi-annual Labor & Employment Law Update & Happy Hour. There have been significant developments in California labor and employment law this year. We will explain how these new developments...more

Eleventh Circuit Rejects DOL Test in Internship Collective Action

It is almost an axiom that the Fair Labor Standards Act, 29 U.S.C. §§ 201 et seq., passed in 1938, is out of date. Despite modest tweaks since the time it was enacted, a particularly dark time in the Great Depression, it is...more

Another Court Adopts "Primary Beneficiary" Internship Analysis

We reported in July that the Second Circuit U.S. Court of Appeals (with jurisdiction over Connecticut, New York, and Vermont) laid out seven non-exhaustive factors as part of a "primary beneficiary" analysis for evaluating...more

11th Circuit "Tweaks" Test For Whether Interns Are Employees

If you are a regular reader of this blog, you are probably familiar with the six-factor test that the U.S. Department of Labor uses to determine whether an intern should be considered an employee for purposes of the Fair...more

Student Interns: To Pay or Not to Pay?

With the school year just underway, thousands of students are heading off campus to begin student internships. (Hollywood is paying attention too.) Of those interns, many go unpaid. In recent years, the number of students...more

Another Blow to DOL Position on Internships

Blog readers who have been following the recent wave of wage and hour lawsuits by interns will recall that the Second Circuit, in a major decision issued in early July, held that the “primary beneficiary” test should govern...more

Class Action Round-Up: Summer 2015

The big news this quarter is the U.S. Supreme Court’s acceptance of Tyson Foods, Inc. v. Bouaphakeo, an employment case likely to have major ramifications across the whole spectrum of class action litigation. The Court is set...more

Another Blow to Intern Test

The DOL’s six-factor test for determining “employee” status for interns or trainees under the FLSA took another blow last Friday, this time from the Eleventh Circuit in Schumann v. Collier Anesthesia, PA (11th Cir. Sept. 11,...more

Eleventh Circuit Adopts Second Circuit’s “Primary Beneficiary” Test for Unpaid Interns

On September 11, 2015, the Eleventh Circuit became the first appellate court to address the standard for lawful unpaid internships since the Second Circuit’s ruling in Glatt et al. v. Fox Searchlight Pictures, Inc. et al....more

[Event] Labor & Employment Law Update & Happy Hour - Sept. 24th, San Francisco, CA

Please join us for Sheppard Mullin's bi-annual Labor & Employment Law Update & Happy Hour. There have been significant developments in California labor and employment law this year. We will explain how these new developments...more

DOL’s Publishes How-to Guide for Inclusive Internship Programs

The U.S. Department of Labor’s Office of Disability Employment Policy has recently released the “Inclusive Internship Programs: A How-to Guide for Employers” (How-To-Guide). The DOL’s guide provides information on the...more

Second Circuit: An Internship is an Internship

Recipients of the benefits of unpaid intern labor everywhere recoiled in horror in June of 2013 when a Federal District Court Judge in Manhattan held that unpaid interns on the set of the film “Black Swan” were protected by...more

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