The document discusses the crucial importance of internships for college students in securing employment post-graduation, highlighting statistics that show a strong correlation between internship experience and job offers. It outlines challenges facing internship availability, including legal concerns over unpaid positions and changing student employment preferences, and promotes innovative practices among colleges to enhance internship programs. The narrative emphasizes the need for experiential learning opportunities that benefit students, colleges, and employers alike in a rapidly changing job market.

1. Internship
innovation
JAMIE STACEY

2. /02
At a crossroads, students,
colleges, and employers must
renovate experiential education
opportunities if they want to
succeed in the 21st century.

3. When education is the only highlight on their résumé, graduating
seniors stand little chance of attracting the attention of employers.
In the United States, 1.6 million students expected to earn a bachelor’s degree
this year, according to the National Center for Education Statistics. Factor in the
competition fostered by a global economy, and the number of new graduates vying for
employment grows exponentially.
“If students don’t have the opportunity for internships or work experience, they will be
at a deficit,” says Marv Russell, HR professional and author of Finding Your Internship:
What Employers Want You to Know.
Research from the National Association of Colleges and Employers (NACE) supports
that view:
• 52 percent of seniors receiving job offers before graduation held internships,
according to the Class of 2014 Student Survey Report.
• Employers made full-time offers to 64.8 percent of their interns though fewer interns
accepted the offers in 2014 (79%) than in to 2013 (85.6%), according to the NACE
Internship and Co-op Survey.
INTRODUCTION /03
“If students don’t
have the opportunity
for internships or
work experience,
they will be at a
deficit,” says
Marv Russell …

4. In addition, the NACE Internship and Co-Op Survey reported that employees who
interned or completed a co-op at their employer were more likely to be working for the
company between one and five years later, when compared to their co-workers. That’s
a significant benefit for employers, who not only retain that worker’s knowledge, but
avoid the high costs associated with hiring a new employee.
While everybody agrees that internships are a prime differentiating factor—a
“must-have” for college graduates—the number of internships is declining. In 2014,
employers in two-thirds of the industries surveyed by NACE said they were hiring fewer
interns, resulting in a 3.4 percent decline.
NACE researcher Kenneth Tsang says there isn’t a definitive answer to explain the
decline, but he offers three possible contributors:
• Recent litigation and negative media attention over unpaid internships have
dissuaded employers from hiring any interns, for fear of facing similar lawsuits.
• Students are opting for higher-paying part-time jobs, like bartending, because
intern salaries have stagnated in the last few years.
• The Affordable Care Act requirements for employer-provided benefits make
internships cost-prohibitive.
INTRODUCTION /04
In 2014, employers
in two-thirds of
the industries
surveyed by NACE
said they were hiring
fewer interns ….

5. The drop in internships is a big problem for colleges and universities because students
more frequently cite “to get a job” as their primary reason for attending college, rather
than “to learn” or “to get an education.”
“If a student invests in education, there better be something at the end of those four
years,” says Kevin Hewerdine, director of career services and employee relations at the
Rose-Hulman Institute of Technology.
So if the goal of colleges is to recruit students, the goal of students is to get a job,
and the goal of employers is to hire well-qualified workers, how can these parties align
to benefit everyone? It requires an internship intervention, challenging preconceived
notions and renovating the internship into an experience that benefits students,
colleges, and employers alike, says Jocelyn Lincoln, Vice President of Recruitment
Operations for the Americas at Kelly Services Inc.
The days of internships focused on grunt work—getting coffee and filing endlessly—
should be gone. “Internships should be more experience-focused. Bring in students
and give them a significant business challenge,” Lincoln advises.
In this ebook, you will learn what innovative colleges, students, and employers are
doing with their experiential practical learning to succeed in the 21st century.
INTRODUCTION /05
“Internships should
be more experience-
focused. Bring in
students and give
them a significant
business challenge,”
Lincoln advises.

6. /06
Engineering the
internship

7. “Internships truly play a vital role in students gaining hands-on
practical experience in their chosen field,” says Jennifer Williamson,
director of academic and career advising at University of Wisconsin—
Platteville. “They gain valuable experience in what it’s going to be
like to work in their field, what the daily routine is like, and what to
expect in the environment.”
Although she works with students in many fields, Williamson points to engineering as an
industry that understands how to create effective internships. “They truly embrace what
an internship is. They see the value in engaging students who are going to become their
co-workers, their colleagues, and representatives of the field. So they want to ensure
that—through the training, hands-on experience, and other activities—they are truly
helping and promoting the profession to the students,” she says. “It requires more than
just saying, ‘Yes, I’ll take an intern.’”
Williamson explains that, unlike practical work experience, an internship must be more
structured—an educational tool. Like many other schools, the University of Wisconsin
requires students to have a faculty adviser, who ensures the student truly is gaining from
the experience and can help facilitate discussions if problems arise.
/07ENGINEERING THE INTERNSHIP
“It requires
more than just
saying, ‘Yes, I’ll
take an intern.’”

8. /08
Starting early

9. STARTING EARLY /09
At the Rose–Hulman Institute of Technology, recognized as one
of the best departments in the United States by BestColleges.com,
students are introduced to the concept of internships two weeks
into their first year.
“Culturally, the expectation is that students have multiple experiences before their
senior year, and that view is really coming from corporate America. Students who don’t
have that internship experience are really behind the eight ball when they are seniors
searching for their first full-time job,” says Hewerdine, from Rose-Hulman.
In 2014, 95 percent of Rose–Hulman graduating seniors had at least one internship,
and 82 percent had multiple internships. About half of the multiple-internship students
gained experiences with different companies, and half worked for the same company.
In addition, all seniors complete a capstone project, most of which are done with
external companies.
“First and foremost, students are seeking an opportunity that is going to increase their
technical skill set, increase their knowledge base in the real world, and teach them how
the company operates,” Hewerdine says.
Students who don’t
have that internship
experience are
really behind the
eight ball when
they are seniors
searching for their
first full-time job.

10. /010
Getting the
message

11. While engineering and technically focused colleges have advocated
and integrated internships or co-op experiences for decades,
liberal arts colleges are only now stepping up their promotion of
internships as they strive to be more relevant and responsive,
to better demonstrate the value of a liberal arts degree in a 21st-
century economy, according to Hanover Research.
Cornell College in Iowa is rare because it has been challenging the liberal arts norm
for decades. In fact, its unique academic calendar opens up the opportunity for
internships in a way that few schools can. Cornell’s academic calendar is focused on
one class at a time. Every 3.5 weeks, a student completes a single course. “We can do
internships during one of the blocks so students can work 40 hours a week for a month.
That’s different to most universities, where students might intern part time during the
semester and can only do full-time internships in the summer,” says Joe Dieker, Vice
President for Academic Affairs and Dean.
Cornell students have interned at a range of employers, from the national
merchandiser Target®
to a small publishing house in Denver and a women’s health
clinic in Mexico, as well as diverse nonprofit, arts, theater, and music organizations.
/11GETTING THE MESSAGE
Cornell’s academic
calendar is focused
on one class at
a time. Every 3.5
weeks, a student
completes a
single course.

12. New York–based Hamilton College overhauled its internship support structure in
2005. The liberal arts college now encourages students to have at least two unique
internships on their résumé by the time they reach graduation. By 2012, the number
of students completing an internship doubled to 80 percent, while 65 percent of
graduates that year had completed two internships, according to Hanover Research’s
Career Pathways and Programs for Liberal Arts Students report.
Using a two-tiered internship strategy, Hamilton College encourages rising juniors
(students who have completed their sophomore years) to apply for “break-in”
internships—usually unpaid positions with small local organizations near campus or the
students’ homes. Rising seniors (students who have completed their junior years) are
encouraged to apply for capstone internships—paid positions with larger firms in major
metropolitan areas.
Hamilton credits this approach with easing students into the professional world and
encouraging them to explore different work environments.
/12GETTING THE MESSAGE
Rising seniors
(students who
have completed
their junior years)
are encouraged to
apply for capstone
internships—paid
positions with
larger firms in major
metropolitan areas.

13. /13
Operating in the
smaller workplace

14. The Detroit Collaborative Design Center works exclusively
with nonprofits seeking to do cutting-edge work within cities.
It is housed within the School of Architecture at the University
of Detroit Mercy and hires full-time interns for the fall, spring,
and summer semesters.
In an office of just 10 staff members, interns do everything, according to Executive
Director Dan Pitera. Students report to project managers, attend client meetings, and
get to learn and practise many aspects of architecture across diverse interest areas—
urban design, landscape, planning, and more.
“We feel strongly that an intern should be a part of all aspects of a project and of day-
to-day life. Typically, in a larger firm they get pigeonholed into one or two things, and
don’t get exposed to a variety of experiences,” Pitera says.
He acknowledges that the Design Center’s approach to internships isn’t the most
efficient way to operate the overall business. Consider the example of a client meeting.
The interns’ presence isn’t required, but the center finds merit in their involvement.
“In the long run, we’re making better interns because when they’re working on follow-
up work, they remember what the client said, and they have a tenor and feel that they
couldn’t get if they weren’t there,” Pitera says.
/14OPERATING IN THE SMALLER WORKPLACE
“We feel strongly
that an intern
should be a part
of all aspects of
a project and of
day-to-day life.”

15. However, having interns directly interact with clients can present some challenges.
“The client can say something and we can keep our poker face whereas the students
might heavily sigh or roll their eyes. They don’t even know they’re doing it,”
Pitera says.
To preserve the client relationship, “we explain to the client that this student has only
been working with the Center a few months and doesn’t necessarily hold the same
values. We explain that we, not the intern, are the continuity for the client’s project.”
After the meeting is over and the client placated, the Design Center staff will speak
to the intern to ensure it never happens again. In fact, the Design Center attempts to
thwart the potential for challenges in public. During the course of the internship, Pitera
or another staff member creates informal training opportunities by posing theoretical
client questions or asking off-the-wall questions to see how the interns respond.
Then they explain why another response may be more appropriate.
Design Center interns work full time, and receive both academic credit and
compensation. Pitera says interns are paid hourly rates comparable to what they would
receive from another employer in the industry.
/15OPERATING IN THE SMALLER WORKPLACE
During the course of
the internship, Pitera
or another staff
member creates
informal training
opportunities by
posing theoretical
client questions …

16. /16
Debating paid
or unpaid

17. While the Detroit Collaborative Design Center interns are
compensated as most are in the engineering, science, and
professional fields, many internships—particularly those in social
science fields—are unpaid. This has drawn fire from students and
the U.S. Department of Labor in recent years.
Five years ago, Dallas Mavericks owner Mark Cuban wanted interns to create
time-sensitive content during the NBA team’s games for outlets that would not
be able to buy the content. Since he couldn’t monetize the endeavor, he thought
unpaid interns would be the key to its success. But, as he learned, that’s not the way
internships work legally in the United States, and as a result Cuban became a vocal
critic of the unpaid intern requirements.
For an internship to be exempt from the U.S. Fair Labor Standards Act (that is, unpaid),
it must offer training for the benefit of the trainee, shouldn’t displace a regular
employee, and should take place under close observation. Employers must gain no
immediate advantage based on the trainee’s activities, and on occasions may actually
have their operations impeded.
/17DEBATING PAID OR UNPAID
But, as he learned,
that’s not the way
internships work
legally in the United
States, and as a
result Cuban became
a vocal critic of
the unpaid intern
requirements.

18. As the U.S. Department of Labor began cracking down on rule-breakers, more
employers discovered the restrictive nature of unpaid internships and realized they
legally couldn’t continue their unpaid internships as they were.
Students, and some universities, frown upon unpaid internships because they can
have a negative effect on post-graduation employment compensation. NACE’s Class
of 2014 Student Survey revealed that graduates who came from a paid internship and
received a full-time job offer generally commanded a higher starting salary than did
graduates who had an unpaid internship and received a full-time job offer.
/18DEBATING PAID OR UNPAID
… more employers
discovered the
restrictive nature of
unpaid internships
and realized they
legally couldn’t
continue their
unpaid internships
as they were.

19. /19
Going virtual
and freelance

20. A couple years ago, Lauren Holliday’s father put an end
to her unpaid internships after she completed two
non-compensated opportunities.
Lauren interned at the Sun-Sentinel newspaper in Florida, where she discovered her
passion for marketing, and added more lines to her résumé and items to her portfolio.
Then she secured a virtual position as a blogger and marketing intern for MusicSkins
(now Zing Revolution). While she didn’t have to pay the expenses that come with
relocating for an internship, she still didn’t earn any money, and relied on her family’s
financial support.
Critics say that unpaid internships marginalize students who may excel in a profession
but who simply can’t afford to take an unpaid internship.
Holliday understands. “I couldn’t afford an unpaid internship in New York,” she says,
noting that the virtual internship helped her gain valuable experience in social media,
writing, and editing content, plus researching ways to convert social media to dollars.
/20GOING VIRTUAL AND FREELANCE
Critics say that
unpaid internships
marginalize
students who may
excel in a profession
but who simply can’t
afford to take an
unpaid internship.

21. Eventually, Holliday left college just short of earning her degree, taking what she
learned in her internships—both practically and philosophically—and turning it into
a business. She created Freelanships, a virtual internship site, to help her millennial
generation gain experience and make money without participating in formal on-site
programs.
Author and HR executive Russell says virtual or telecommuting internships are difficult
to find, in part because universities too often think internships have to happen at
brick-and-mortar locations. “They’re way behind on this. I understand they want to
ensure the internship has rigor, but [virtual] is our way of life,” he says.
At Rose–Hulman, students can turn their internships into a freelance career during the
school year. Some students work for companies from their dorm rooms. “We have a
lot of opportunities for students to get paid well from part-time or contract work that
companies want them doing while they’re here at school—it’s becoming second nature
to students who understand that work style and work life,” Hewerdine says.
/21GOING VIRTUAL AND FREELANCE
Students can turn
their internships
into a freelance
career during the
school year. Some
students work for
companies from
their dorm rooms.

22. /22
Embracing the
new world of work

23. Workers now expect to have at least seven to 10 jobs in their
lifetime, says Williamson of the University of Wisconsin–Platteville.
With that evolution, long-time loyalty between the employer and the employee
is gone. As a result, workers—especially those in the millennial generation—have
embraced the “what-can-you-do-for-me” attitude.
“Before the employer had the power. Now the candidate has the power, a greater
sense of entitlement, and a greater sense of work–life balance, and employers are
going to have to adjust to that mentality,” Williamson says.
University of Wisconsin–Platteville students are encouraged to look beyond salary
when considering employment opportunities. “There are other things involved in
making your decision—benefits, time off, work–life balance, and more,” Williamson
says. “Companies need to adapt to that, while at the same time maintaining the
integrity of their company without alienating the current workforce and while still
continuting to engage fresh talent. It’s truly an adaptation.”
/23EMBRACING THE NEW WORLD OF WORK
“Before, the
employer had the
power. Now the
candidate has the
power, a greater
sense of entitlement,
and a greater
sense of work–life
balance” …

24. The Detroit Collaborative Design Center recognizes the adapting workplace. It doesn’t
operate a traditional 9-to-5 office, and doesn’t expect its interns to conform to that
rigidity either. Pitera says interns are made aware that if they want to put in an hour or
two posting on Facebook, responding to personal email, or running errands, they can,
but they need to make up that work time.
“We adhere to deadlines. It’s all about getting quality work done, and if their work
happens on schedule, then they can adjust their time. That never would have
happened 20 years ago,” Pitera says. “Now we manage time in a very different way.
I’m fine with them doing this or that, as long as the work and the deadlines are met,
and they give advance notice of in-office schedule changes.”
/24EMBRACING THE NEW WORLD OF WORK
“Now we manage
time in a very
different way. I’m
fine with them doing
this or that, as long
as the work and the
deadlines are met.”

25. /25
Taking the “old”
approach

26. Eschew the word “internship” in favor of “experiential learning.”
“Internship is the nomenclature for learning experiences—
practicums, co-ops, internships—it’s still the same,” Russell
says. “It’s university students coming together in the business
environment to apply what they’ve learned academically in a
real-life opportunity.”
Apprenticeships are an example of experiential learning, though they typically
haven’t been a part of the U.S. university experience. Tamar Jacoby recently wrote in
The Atlantic about how apprenticeships fell out of favor in the United States, a “victim
of our obsession with college and concern to avoid anything that resembles tracking.”
As she cited, less than 5 percent of young people train as apprentices in the United
States, and those apprenticeships are primarily in the construction trade. In Germany,
though, apprenticeships are experienced by close to 60 percent of students, and cover
fields as diverse as advanced manufacturing, IT, banking, and hospitality.
As Jacoby detailed, dual training is a highly respected career path in Europe.
Trainees split their days between classroom instruction and on-the-job time at a
company. The arrangement generally lasts four years with the hope of it leading
/26TAKING THE “OLD” APPROACH
Dual training is a
highly respected
career path in
Europe. Trainees
split their days
between classroom
instruction and
on-the-job time
at a company.

27. to full-time employment. Dual-training competition is stiff. Only 425 of the 22,000
applications were accepted by Deutsche Bank, and John Deere approved only 60 of
3,100 applicants. As Jacoby wrote, “In both settings, university and dual training, it’s
agreed that the purpose of education is to prepare people for jobs. In America, we’re
not so sure. We’re committed to the idea of education that prepares people for life
and suspicious of anything that smacks of training.”
/27TAKING THE “OLD” APPROACH
“In America, we’re
not so sure. We’re
committed to the
idea of education
that prepares people
for life” …

28. /28
Lagging behind versus
leading the innovation

29. “It appears that many institutions are focusing on redesigning and
improving career services offices, internship opportunities, and
experiential learning instead of altering curricula or graduation
requirements,” according to the 2013 Hanover Research report.
The research cited some exceptions. Wake Forest University offers an undergraduate
minor in entrepreneurship and social enterprise. At Messiah College, administrators
challenged all academic departments to redesign requirements to ensure students
could understand and express the relationship between their academics and the world
of work.
Lincoln from Kelly Services says that universities would do well to proactively address
workforce matters–not only from the career-services level, but in the classroom like
Messiah College is doing. She is struck when she looks at curricula and sees little
education provided on the diverse ways to procure talent. Higher education tends
to teach the traditional W-2-employee model, and fails to instruct on varied work
experiences and formats.
/29LAGGING BEHIND VERSUS LEADING THE INNOVATION
Lincoln from Kelly
Services says that
universities would
do well to proactively
address workforce
matters–not only
from the career-
services level, but in
the classroom …

30. “I think that 40-hour full-time week expectation is changing so dramatically. The
concept of free agency—where the worker is not tethered to one particular employer
and can go anywhere—is gaining acceptance,” Lincoln says. “We’re more contract-
driven, especially as we get to the point where health benefits are more portable, and
more people are electing to choose how they’re going to work.”
She says the new world of work requires innovative thinking from both universities
and employers. “It’s a holistic view of talent engagement. Organizations focused on
workforce planning in their business model are getting more sophisticated. They’re
thinking about the internship pipeline differently,” Lincoln says.
/30LAGGING BEHIND VERSUS LEADING THE INNOVATION
“The concept of
free agency—
where the worker
is not tethered
to one particular
employer and can
go anywhere—is
gaining acceptance.”

31. /31
Acting now

32. With this revelatory understanding of experiential
education, universities that want to innovate their
approach to internships should:
• Develop a better understanding of how a work-focused education (including
internships) can positively affect their student recruitment.
• Require internships or practical work experience as a component of any study
program where the main goal is to secure post-graduation employment.
• Redefine internships as experiential education opportunities, allowing for co-ops,
practicums, on-the-job experience, contract work, and other models that further
students’ practical skills.
• Develop experiential work programs with small businesses and medium-sized
enterprises—in addition to large, well-known companies—to better encompass the
varying employer sizes in the workforce.
• Educate organizations on the value of offering paid experiential education
opportunities, and ensure they understand the legal ramifications if they don’t.
/32ACTING NOW

33. • Promote and reward experiential programs where students are able to make an
impact, undertaking real-life projects to improve the organization.
• Foster a better understanding among students of potential post-graduation work
opportunities, including full-time, contractual, part-time, freelance,
and work-to-hire positions.
• Advocate that university-accrediting organizations grow their definition of
student success to encompass the new world of work and the importance of
experiential education.
/33ACTING NOW

34. EXIT
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ABOUT KELLY SERVICES®
Kelly Services, Inc. (NASDAQ: KELYA, KELYB) is a leader in providing workforce solutions. Kelly®
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ABOUT THE AUTHOR
JAMIE STACEY joined Kelly Services in 2014 as Vice President and Science Product Leader within
the Americas Product Group. In this role, Jamie is responsible for the scientific product strategy
that ensures Kelly delivers the world’s best scientific workforce solutions to its customers. Her
expertise includes global system implementations, vendor management, global recruiting,
employment marketing strategies, contingent labor programs, talent sourcing, and diversity and
inclusion. Jamie has a Bachelor of Science in chemistry from the University of Illinois at Urbana–Champaign, and a
Master of Science in organic chemistry from the University of Wisconsin–Madison.