Download as PDF, PPTX
Uploaded byCatherine Gannon
Internships
The document discusses the complexities of internships, including legal definitions, rights, and the distinction between employees and workers. It highlights the issues surrounding unpaid internships, national minimum wage entitlements, and immigration considerations for non-EEA nationals. Practical guidance is provided for drafting contracts and ensuring compliance with employment law and regulations.
Internships
- 1. Internships – asource of free labour or a labyrinth of confusion? Alex Kleanthous Matt Gingell
- 2. What interests you? •Internships on the agenda – 1 in 3 unpaid • Politics – campaign for fair pay • Benefits of internships - varied
- 3. FAQs we cover •What is an intern and the employment rights • Can interns be unpaid? • Other legal and practical issues • Immigration considerations
- 4. What is anintern - label • No legal definition – life gets complicated • Usually short term • Shadowing and completing tasks
- 5. Why do youcare? Employment rights will depend on status • Employees: unfair dismissal plus the rest • Workers: the rest - NMW, holiday, whistleblowing, part time workers protection and discrimination
- 6. Employees • Require: - acontract of service - personal service – no right of substitution - mutuality of obligation (work in return for a wage) - employer in control
- 7. Workers • Require: - acontract of service - personal service - less control – can turn down work - not consultant or self-employed or sent to work for clients
- 8. Is there acontract? A contract requires: • Offer • Acceptance • Consideration • Intention to create legal relations • Certainty No contract = mess
- 9. National Minimum Wage •Anyone who “works” is entitled • £6.19 for those over 21 – rates vary • 6 years backdated claims • Criminal penalties if wilfully neglected to pay NMW
- 10. But does itreally happen? • Central London Employment Tribunal, 12 May 2011 • Keri Hudson v TPG Web Publishing • £1,025 for 5 weeks work • Supported by NUJ • Reading Employment Tribunal, 20 November 2009 • Vetta v London Dreams Motion Pictures • £2,400 including accrued holiday pay • Supported by BECTU • Other reports • NOW magazine - £750 for one month (Justice for Interns campaign) • Arcadia – “dozens” of interns received pay for up to a year after HMRC enforcement • Vast majority are quietly settled
- 11. Practical guidance • Lesscontrol over what is done when – encourage shadowing • Be clear what payments are being made – clear reimbursement of expenses • Avoid language of contractual obligations (“might”, “could include”, “possible”, “approximate”) • Be fair and reasonable • But the label does not matter – the facts of the arrangement do
- 12. Documenting the arrangement •Placement dates • Suggested hours • Location • Supervisor’s name • Specific learning objectives • Work related expenses • Health and safety • Insurance • Intellectual property • Confidentiality
- 13. CIPD Internship Charter •Recruitment • Induction • Supervision • Treatment • Payment and duration • Certification/reference and feedback
- 14. CIPD Guide forEmployers Internships that Work http://tinyurl.com/cipdinterns
- 15. Immigration issues • Internationaldimension and access to talent • Disconnect between employment law and immigration law
- 16. Right to workin the UK • Employing non-EEA (European Economic Area) nationals - Need express right to work • Nationals of EEA countries
- 17. Tier 4 –Student visas • Degree level or above/Recognised Body or Higher Education Institution (HEI) - Term-time – 20 hrs max - Vacation – Full time • Below degree level - Term-time - 10 hrs max - Vacation – Full time
- 18. Tier 5 –Government Authorised Exchange • Approved schemes • Overarching bodies – sponsors • Lack of candidates in financial sector
- 19. BUNAC • Overarching sponsor/anyindustry - Aged 18 and over - Current full-time degree level student (or graduate in last 12 months) - Good English skills - Internship max 6 months/structured programme
- 20. Other solutions • Tier5 (Youth Mobility Scheme) - 18 to 30 years olds - Participating countries - Max 2 years - National government acts as sponsor
- 21. Other solutions • Tier2 (Intra-Company Transfer) (ICT) Skills Transfer - Licensed sponsor - Bypass Tier 5 - Acquire/impart skills - Minimum salary £24,000 per annum
- 22. Other solutions • Tier1 (Graduate Entrepreneur) - Graduates with endorsement from approved HEI - Up to 2 years - Max 20 hrs per week
- 23. Illegal working • Civiloffence - Maximum fine £10,000 • Criminal offence - Punishable up to 2 years in prison • Entry bans • Reputational damage
- 24. Conclusions • Consider whatyou need interns to do • Which category do they fall into? • Consider whether NMW applies • Draft an appropriate contract • Consider immigration issues and risk of discrimination claims
- 25. Future fixtures • NewYear 2013 Social media and restrictive covenants - How will you protect the Company’s IP? • Spring 2013 Consultants - Could you get clobbered?
- 26. ANY QUESTIONS? Visit www.gannons.co.ukfor further information and don’t forget to follow us on Twitter @Gannons_law and subscribe to our blog http://www.gannons.co.uk/blog/.