Hiring Interns

Unpaid Internships can benefit both parties if done correctly, but as usual, we want to make sure we're on the legal side of things if we're bringing on an intern!

A rule of thumb I like to use with my Clients is that if you're just starting out: go through a local community college, college, or graduate program that has a long-standing internship/externship program. They’ll usually "know the ropes" and make the process so much easier for you (PLUS: this is legally required in some states!)

Your intern’s legal status should be assessed on a case-by-case basis. Always start broad then go local.

The Department of Labor (DOL) has factors you should be considering:

1) Extent to which the intern and the employer clearly understand that there is no expectation of compensation.

2) The extent to which the internship provides training that would be similar to that which would be given in an educational environment.

3) The extent to which the internship is tied to the intern’s formal education program by integrated coursework or the receipt of academic credit.

4) The extent to which the internship accommodates the intern’s academic commitments by corresponding to the academic calendar.

5) The extent to which the internship’s duration is limited to the period in which the internship provides the intern with beneficial learning.

6) The extent to which the intern’s work complements, rather than displaces, the work of paid employees while providing significant educational benefits to the intern.

7) The extent to which the intern and the employer understand that the internship is conducted without entitlement to a paid job at the conclusion of the internship.

Once you've figured out whether or not your intern can go unpaid (talk to a local attorney!) it is highly suggested to memorialize your understanding with your intern via an agreement.

*Disclaimer: This post is strictly for general informational purposes only and is not intended to constitute legal advice.

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