Simmons Rogers, LLC
  • Home
  • Practice Areas
    • Business Law
    • Personal Injury
    • Wills, Trusts, & Estate Planning
  • Attorney
    • Maya Simmons Rogers
  • ADR
    • ADR Service Fees
  • Blog
  • Contact Us

Hiring A Summer Intern: To Pay or Not to Pay

4/17/2014

Comments

 
Picture
The summer is fast approaching and perhaps you are considering hiring summer interns for your business. Why not? Hiring summer interns is a great business strategy. Summer interns are a great way for your business to increase its recognition in the marketplace, recruit future talent, liven up your workplace, and provide your current employees with an opportunity to gain experience serving as a mentor and a manager. 

However, there are some legal risks involved with hiring interns. Whether your interns are paid or unpaid, many of the legal risks associated with traditional employees also apply, including, for example, anti-discrimination laws.  

When it comes to unpaid interns, violating the Fair Labor Standards Act (FLSA) is one of the biggest risks for "for-profit" businesses. Internships at "for-profit" businesses will typically be viewed as employment, unless the internship is deemed exempt by the U.S. Department of Labor.

To ensure that your business' internship program is exempt you must make sure the program is properly structured. 

The 6-point test for determining if an unpaid internship program is exempt from FLSA's requirement to pay interns a minimum wage and overtime, according to the U.S. Department of Labor, is as follows:
  1. The internship, even though it includes actual operation of the facilities of the employer, is similar to training which would be given in an educational environment;
  2. The internship experience is for the benefit of the intern;
  3. The intern does not displace regular employees, but instead works under close supervision of existing staff;
  4. The employer that provides the training derives no immediate advantage from the activities of the intern; and on occasion its operations may actually be impeded;
  5. The intern is not necessarily entitled to a job at the conclusion of the internship; and
  6. The employer and the intern understand that the intern is not entitled to wages for the time spent in the internship.
If all of the factors listed above are met, no employment relationship exists under the FLSA, and the FLSA’s minimum wage and overtime provisions do not apply.

In addition to federal laws, your business must also consider what state laws apply to the internship. Check out this list of cases, summarizing internship-related lawsuits filed over the past 3 years. While you cannot prevent lawsuits, you can increase the likelihood of your business winning a lawsuit.     

So, remember unpaid internships are not meant to be free labor for your business. Before you bring on your interns this summer, make sure you have a formalized internship program that complies with both federal and state laws. Once you have written down the details of your internship program make sure you have them reviewed by both your human resources department and an attorney. 


Comments

    Simmons Rogers, LLC

    Simmons Rogers, LLC is a full- service civil law firm based in Atlanta, Georgia. We provide legal services as well as mediation and arbitration services, to businesses and individuals throughout the state of Georgia and beyond. 

    Archives

    January 2018
    December 2017
    November 2017
    September 2017
    August 2017
    July 2017
    June 2017
    April 2017
    February 2017
    January 2017
    December 2016
    November 2016
    August 2016
    June 2016
    May 2016
    April 2016
    March 2016
    January 2016
    December 2015
    November 2015
    August 2015
    July 2015
    June 2015
    April 2015
    March 2015
    February 2015
    January 2015
    November 2014
    September 2014
    August 2014
    June 2014
    April 2014
    February 2014
    December 2013
    November 2013

    Categories

    All
    Auto Accidents
    Business
    Car Accidents
    Contracts
    Death
    Employment Law
    Entity Formation
    Estate Planning
    Firm Updates
    General Counsel Services
    Intellectual Property
    Maya Simmons Rogers
    Mediation/Arbitration
    Medical Malpractice
    Movies
    Non Profits
    Non-profits
    Personal Injury
    Probate
    Products Liability
    Property
    Slip And Fall
    Trademarks/Service Marks
    Truck Accidents
    Volunteer Work
    Wills & Trusts

    RSS Feed

    This blog is not intended to be a complete explanation of the law. Its purpose is to inform, not to advise on any specific legal problem or legal rights. If you have specific questions regarding any topic in this blog, you are encouraged to consult the Atlanta based law firm of Simmons Rogers, LLC or an attorney licensed in your
    ​state. 
Picture
Simmons Rogers, LLC
4045 Orchard Rd SE, Suite 210
Smyrna, Georgia 30080
Phone: 404-445-8146
Fax: 404-445-8226

E-mail: info@simmonsrogerslaw.com

LEGAL DISCLAIMER
The information on this website is for informational purposes only and is not legal advice. Use of this website does not create an attorney-client relationship between you and Simmons Rogers, LLC. You should not act upon the information within this website without seeking advice from a lawyer licensed in your own state or country. You should not send any confidential information to Simmons Rogers, LLC until and unless a formal lawyer-client relationship has been established in writing. Unless you have received such written confirmation, we will not consider any correspondence you send us as confidential.
   © 2013-2018. All Rights Reserved. Simmons Rogers, LLC
​Attorney Advertising. The choice of a lawyer is an important decision and should not be based solely upon advertisements.

Privacy Policy
Photos used under Creative Commons from Soggy6, www.audio-luci-store.it
  • Home
  • Practice Areas
    • Business Law
    • Personal Injury
    • Wills, Trusts, & Estate Planning
  • Attorney
    • Maya Simmons Rogers
  • ADR
    • ADR Service Fees
  • Blog
  • Contact Us