ISSUES

Why All Businesses Should Pay Their Interns

There's no justifiable reason for why companies shouldn't have to pay their interns.

Pursuant to the United States' Fair Labor Standards Act (FLSA), an internship can be unpaid if it meets very specific requirements, the most important one being that "the intern's work complements, rather than displaces, the work of paid employees while providing significant educational benefits to the intern." If the wording there seems a bit murky, that's perhaps intentional, considering the amount of companies who benefit from unpaid student labor each semester. The law was actually rewritten earlier this year following a string of class action lawsuits that were leveled against Fox for not paying its interns. The new law considers the seven parameters outlined in the FLSA, described as a "primary beneficiary test," as flexible, with no single factor being determinative. Unlike in years past, no threshold related to these rules has to be met. The law is now far more subjective and overwhelmingly benefits companies who wish to hire interns without paying them.

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ISSUES

Should interns be paid?

What does an intern provide to a company and should they be paid for their work?

If you've ever searched for an internship, you know how rare it is to find one that's paid. Usually, the associated advertisements focus on how potential interns will benefit by working as part of the team at a top company, learning skills they'll use for the rest of their lives and networking with notable people.

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