unpaid interns

HRinGA · January 2005

We have a formal, paid internship program in place already that runs the summer months. A few managers now want unpaid interns at other times during the year. Most will participate for a class credit, others may not. They just want the experience. We have a letter that explains the duration of the internship, that it's unpaid, etc. etc. and plan to send them thru a mini-orientation that explains work rules and conduct. Am I missing something else? What if they fall and crack a skull? (I know we would be liable) What are other legal ramifications here? Anyone have experience with this? Thx.

Don D · January 2005

You are correct in assuming you are liable for workers' comp coverage. I also seem to remember that there are some rules and regulations about not being able to benefit financially from the productivity of an unpaid intern, especially if he is connected with a school or training facility. I think the guys who recommended this are misguided. Ask them if they would have gone for this opportunity when they were younger. And, what level of allegiance do you suspect you might have from someone working his butt off for zero wages?

**When we do for others what they should do for themselves, we disempower them.**

Shadowfax · January 2005

I don't have any first hand experience with this area, but I would proceed very cautiously. I don't think you can ever use sub min w/o a labor DOL certificate. see 29 USC 519 and 520. I know there are legitimate unpaid interns, but I couldn't find the statutory references. I found some old DOL opinion letters (Jan 88;Mar 70;April 73) that ok the practice, but there are some cases, as Don noted where the exclusion was not allowed if the primary beneficiary of the arrangement was the er not the ee. I suspect, at aminimum, theprogram has to have some sort of oversight, or at least report procedure with some institution of training or education. I would be interested in what you discover as you poke around in this area.

colleenr · January 2005

I agree with the others that I would double check the laws but I think they should at least be given mininum wage. I would also recommend that you request a Certificate of Liablity showing the appropriate worker's comp coverage from the school to cover these students in case of a work related accident.

CourtHR · January 2005

We utilize students (college & High School) and other volunteers year-round and we pay an annual amount to a company that provides accident and liability coverage for volunteer workers. The rate is based on the number of volunteers and has an additional amount if they are required to drive a vehicle in performing any of their duties. It's really a reasonable amount to pay for the coverage. I'm sure it doesn't cover every scenario, but it does offer some protection.

We just make sure that every volunteer is formally signed up for our "volunteer services" program and that we keep a record of their hours and dates of service, etc. I think we do a criminal background check on the volunteers as well. We are a public entity, but I don't know if this procedure or company providing the coverage is limited to public agencies or not.

unpaid interns

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