Unpaid Interns Internships

News & Analysis as of

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

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It is almost an axiom that the Fair Labor Standards Act, 29 U.S.C. §§ 201 et seq., passed in 1938, is out of date.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

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

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

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

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

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

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

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

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

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