Discussed at length the rulings of current cases in unpaid internships, the relationship between the university and federal government and potential solutions.
3. 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 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.
5. • Esquire, Redbook, Marie Claire
• Xuedan “Diane” Wang called the “Norma Rae
of fashion interns
• Importance of
“Class Certification”
6. “I thought that I was wronged…It’s not really about
money. I want to prevent this [experience] for future
interns” (Barnidge, 2013, p. 1).
7. “Who will this benefit? If the honest answer is ‘the company’ you
will want to think again.” (Gest, 2013, p. 22).
“All the potential legal ramifications an employer would have with
independent contractors, the company would also have with
interns. These ramifications include workers’ compensation,
personal injury claims, and state law issues.” (Potential Pitfalls,
2013, p. 8).
8. The decision to shut down the internship program “shocked
former interns and aspiring writers, who say the decision will
hurt college students struggling to gain experience at a
shrinking number of publications…the decision will close the
door on hundreds of students hoping to intern at [Condé Nast
publications] making it even tougher to break into the
journalism industry, students say” (Otani, 2013).
9. Either pay the intern
Or create a formal learning agreement
10. • No friendly line broached when it comes to colleges and the Labor
Department understanding on how internships should be handled
financially
• “It’s up to the colleges and universities to define the educational
import of the internship. Some unpaid internships may exploit
students, and the Labor Department must enforce the law. But
assessing educational merit is colleges’ – and their accreditors’ –
prerogative.” (Lipka, 2010, p. 1).
11. “At institutions across the country, full time, unpaid
internships required for graduation are often charged at
or near the normal tuition rate” (Perlin, 2011, p. 1).
“The National Association of Colleges and Employers has
found that only 28% of colleges associate classroom
experience with academic credit for internships, while 25%
do not require any kind of written assignments, 15% do not
require any faculty supervision and 6% require nothing at
all” Perlin, 2011, p. 2).
12. • “The LACI 101: Credit Internship Course is a one-credit, web-based
course designed to complement a student’s internship
experience. Assignments will be completed each week and uploaded to
UT’s online course site, Canvas. Assignments include journals, resume
writing, evaluations and a final paper” ("UT College of Liberal Arts",
n.d.). Internships can be located in any area around the country and
across the globe. Internship site eligibility is evaluated on a case-by-case
basis using the base criteria as provided by the Liberal Arts
Center.
• UT’s LAC website states “the fee for the LACI Internship Course has an
administrative fee of $40 and a course fee of $260, for a total of $300.”
Editor's Notes
During the Middle Ages and Renaissance periods, in order for individuals to become skilled workers within a specific area, they had to work as an apprentice for seven years.
This time frame was set by their masters as to ensure their investment had plenty of time to mature and develop into highly skilled technicians not individuals to be exploited as low cost, short term laborers.
The apprentice were not given an chance to simply gain handyman talents, but the opportunity to receive an extended tool kit such as “tacit skills needed for professional success, such as informed intuition, judgment under pressure, ease with clients, and problem-solving abilities, skills that often improve with experience” (Burke and Carton, 2013, p. 99).
Fast forward to the second half of the millennium, present day, and the apprentice is now the called intern.
In April 2010, the Obama Administration took notice of the unpaid internship situation losing some control. President Obama sought to update the Fair Labor Standards Act and requested the DOL update the FLSA to include Fact Sheet 71: Internship Programs under the Fair Labor Standards Act.
The hope behind this fact sheet was to aid employers and universities in developing an ethical and legal internship program through the utilization of a six-prong test:
Eric Glatt was a nontraditional student, age 41, seeking a career transition.
In 2010, Glatt felt as though good fortunate had come as he was hired by Fox Searchlight Pictures as an intern on set.
Glatt spent “hundreds of hours on the set of Black Swan, doing the essential work of drawing up purchase orders, making spreadsheets, running errands – and earning nothing for his work
At the end of the internship he was disheartened to learn that not only did he earn any money, he had no job prospect with the corporation.
To add salt to the wound, that year Black Swan made over $300 million dollars.
Partnered with Alex Footman, a fellow intern, and Outten and Golden to file a class action suit.
Fox Searchlight violated federal and state labor laws by failing to pay any wages at all to unpaid interns who perform the work of production assistants, bookkeepers, secretaries, and janitors on films produced and co-produced by Fox Searchlight” (Fox Searchlight Case Litigation, n.d.).
In June 2013, a judge for the Southern District of New York found that Fox Searchlight Pictures, Inc. and Fox Entertainment Group, Inc. failed to abide by the Department of Labor’s federal statutes and were in violation of Fair Labor Standards Act.
The judge confirmed that Glatt and Footman should have been considered employees of the companies and therefore should have been protected by the Fair Labor Standards Act.
In 2011, Xuedan “Diane” Wang dreamt of working within the fashion industry.
At the age of 20, she left her job as a pharmaceutical representative to pursue an internship with Harper’s Bazaar Magazine under the Hearst Corporation.
Wang was made “Head Accessories Intern” in which she worked over 40 hours a week, many times not eating until past 4 pm (as that is when lunch was allowed). Of the variety of her responsibilities, they included bookkeeping, tracking accessories utilized in photo shoots, and “managed a crew of up to eight interns, helped them to file expense reports, answered phones, and even hand-delivered clothes to fashion editors’ doors during New York Fashion Week” (Justice, 2013).
Upon the conclusion of the internship, Wang was told she was not ready to become a full time employee of the Hearst Corporation.
In turn, Wang sought the help of Outten & Golden LLP to file a class action complaint in conjunction with interns from other Hearst publications, Esquire, Redbook, and Marie Claire, joined the suit.
the court decided to deny class certification, that is, they couldn’t sue en masse, as a class or group” (Justice, 2013).
Why is class certification important? Because if Wang had filed the case by herself, she may have attained $10,000 in damages in which much of that would’ve gone to court costs and attorney fees. It’s hardly enough to make the venture worthwhile for a law firm.
But gather a group of individuals to file together and it be certified as a class action suit, the monetary compensation is highly more lucrative.
The question the judge had to ask himself to deny the certification was if all the plaintiffs shared a commonality in their complaint. Based upon a previous ruling in Wal-Mart vs. Dukes, the judge determined no.
According to the ruling of the Wal-Mart case, “if you’ve got a lot of people that were affected by many different employment decisions over the course of several years, then what they would each get in court would be slightly different. And, without any common policy or practice holding all of the decisions together, it would be unfair to the employer to try and resolve everything over the course of a single trial” (Justice, 2013).
Robert C. Weich, III, a journalism major in the fall of 2012, attained an internship with 540 ESPN Milwaukee, a sports news and talk radio station.
According to Weich, the internship was mostly busy work and that “he was never allowed to actually learn hands on” (Barnidge, 2013, p. 2). Weich desired to learn the skills necessary to become successful in a future career as a sports caster and young sports journalist.
When he first started the internship, he was assigned to aid in the marketing department where he created a variety of promotional materials. Feeling it was tedious work and not necessarily the experience he was searching for, Weich asked to be relocated to another department. He found himself working within the production booth watching live sessions, but without authority to participate in the learning outcome of how to manage the control booth, he found the experience boring and ineffective in his professional development.
To make matters worse, ESPN claimed they provided academic credit for Weich by arranging it with his professor. Weich disputed this and when the professor was asked if she granted ESPN credit, she claimed she never spoke to anyone at ESPN about Weich. When asked why Weich felt the need to sue the internship site, he stated, “I thought that I was wronged…It’s not really about money. I want to prevent this [experience] for future interns”
why would an employer host an unpaid internship at all? Why would any university condone the action of an unpaid internship?
“Who will this benefit? If the honest answer is ‘the company’ you will want to think again” (Gest, 2013, p. 22).
“all the potential legal ramifications an employer would have with independent contractors, the company would also have with interns. These ramifications include workers’ compensation, personal injury claims, and state law issues” (Potential Pitfalls, 2013, p. 8).
This is an area in which many employers do not closely evaluate their responsibility to the safety of the intern.
Many employers simply assume the liability fall upon that of the university or the student. Some employers will go as far as to create legal documents indemnifying them of responsibility but many times these documents do not hold up in court.
Condé Nast decided to cut the cord of their internship program in October 2013. The publishing company which oversees The New Yorker, Vanity Fair, and other high profile publications, were sued by two formal interns regarding their internship.
The interns claimed they had been overworked and received no compensation for their internship.
The decision to shut down the internship program “shocked former interns and aspiring writers, who say the decision will hurt college students struggling to gain experience at a shrinking number of publications…the decision will close the door on hundreds of students hoping to intern at [Condé Nast publications] making it even tougher to break into the journalism industry, students say” (Otani, 2013).
One recommendation for a company to set up a successful internship program which would guard them legally would be to simply consider paying the intern minimum wage. Yet if the company is set on hosting an unpaid internship, they need to “truly tie the internship program to an educational benefit” (Potential Pitfalls, 2013, p. 9).
Whether a company is hosting a paid or unpaid internship, they need to ensure some sort of formal agreement is created and put forth to the institution and the student intern. The agreement would lay out the internship’s objective, the learning outcomes of the assigned projects, outline the proper training of an assigned supervisor/mentor, and discuss “rotating interns through different departments, and not hiring exclusively from among interns are some further options for employers to justify an unpaid internship program” (Potential Pitfalls, 2013, p. 9).
While this type of program is hard to police, to a certain degree the company is given good faith they will abide by these suggestions.
According to the Chronicle on Higher Education (2013), there is no friendly line broached when it comes to colleges and the Labor Department understanding on how internships should be handled financially.
It seems as if any understanding falls to pieces and controversy brews “in the first of the six criteria set forth in the Labor Department’s memo clarifying the government’s position under the Fair Labor Standards act: To qualify as a legitimately unpaid internship, the position must provide instruction that ‘is similar to training which would be given in an educational environment’” (Westerberg & Wickersham, 2011, p. 2).
On April 28, 2010, thirteen university presidents wrote and signed a letter to US Department of Labor’s Secretary, Hilda Solis, urging the government to “take great caution in changing an approach to learning that is viewed as a huge success by educators, employers and students alike” (Lipka, 2010, p. 1).
The fear of the universities was that the government regulations would scare off the employers and their internship opportunities for their students thus ending the years of collaboration sought to create those internships, paid and unpaid.
Joseph E. Aoun, President of Northeastern University, “It’s up to the colleges and universities to define the educational import of the internship. Some unpaid internships may exploit students, and the Labor Department must enforce the law. But assessing educational merit is colleges’ – and their accreditors’ – prerogative.” (Lipka, 2010, p. 1).
At St. Edward’s University in Austin, Texas, approximately 14 majors require students to attain an internship and enroll in a course for academic credit. For a three hour course, the student would have to pay approximately $3,336.
At the University of Texas at Austin, a three hour credit course would cost approximately $1224.75. Regardless if the student was paid or unpaid as an intern, the cost of the course outweighs the amount of money made during the semester long internship. Additional consideration should be given to the level of work and reflection provided in the internship course.
“The National Association of Colleges and Employers has found that only 28% of colleges associate classroom experience with academic credit for internships, while 25% do not require any kind of written assignments, 15% do not require any faculty supervision and 6% require nothing at all”
• Currently-enrolled, degree-seeking student in an accredited 2- or 4-year college or university
• Twelve or more credit hours by the start of the semester or summer in which you register for the internship course
• In good academic standing (above 2.0 GPA, not on academic probation) at home institution
• Not on scholastic or disciplinary dismissal at home institution
• For those who have taken any of the LACI internship courses in a previous semester, you earned a passing grade in each course (you have never failed a LACI internship course)
Waving good bye to his mother as he boards the bus, Jacob, a small child of 7, sits heavily in his seat. His father had not come home again last night and he heard his mother crying in the next room. There wasn’t much food in the cupboard other than some crackers and peanut butter as his mother had not gone to the store. A fight breaks out in the bus a few rows ahead and there is lots of commotion in the small area space of the bus. Jacob is scared and clutches on to his backpack. I just have to make it through the day, he thinks to himself. He gets to school and sits in class and prepares for the day. Though he loves school, he finds it hard to read as fast as the other kids as English is not his first language and he the words look inverted at times.
Upon 3 pm, along with several other children, Jacob is escorted to the library for his after school tutorial session. Candice is waiting for him at their special desk, with a small juice and banana in hand. Together, Candice and Jacob battle through his homework assignments. Though she speaks fluent Spanish, she tries her best to get him to speak only in English to her and gently guides him through his reading assignment, understanding his dyslexia is causing him some frustration. Candice is very nice to Jacob and he loves that she comes every other day just to see him. It makes him feel special, loved, and safe. Feelings he cannot get at home right now. As their time comes to a close, Candice gives Jacob a gentle hug, tells him to hang in there and she’ll see him in two days. And Jacob knows that unlike his father, Candice will be there waiting for him to help him through the rough spot.
This is a true story and it is told to reach a point to the reader that not all unpaid internships are horrible or delivered with ingratitude. Candice, a psychology major, interned with The Bee Hive for a year. In that year she gained an appreciation for working with children, experience and skill in working with dyslexic children, and the know how in being a positive force in a person’s life. Along with the vast majority of benefits internships provide, this particular unpaid internship provided Candice with “practice in disciplinary skills, material for disciplinary reflection, exposure to the habits of professional practice, increased self-awareness, the opportunity to exercise civic responsibility, expansion of social and professional networks, and resume building” (Westerber & Wickersham, 2011, p. 2).
Though the battle dust has not yet settled and swords are still drawn, we as higher education professionals must remember the true purpose of the internship: to provide a learning experience. Whether it’s paid or not, we must invest in our faculty and staffs who oversee internship programs to ensure students are attaining the highest caliber of experience within their internship site. One person cannot do it alone, but if there is a network at each university working together to conduct site visits, properly train students and employers in understanding the legalities of unpaid internships, closely monitoring the internships presented, maybe we can avoid the predatory scarlet letter of the unpaid internship program.