Employment Law

Do Interns Get Paid? Federal Standards and State Rules

Learn about federal standards and state rules on intern pay, and find out if interns are entitled to compensation.

Introduction to Intern Pay

The Fair Labor Standards Act (FLSA) sets the federal standards for intern pay, but state rules may vary. Generally, interns are not entitled to pay unless they meet specific criteria.

To determine if an intern is eligible for pay, employers must consider factors such as the intern's role, responsibilities, and the level of supervision they receive.

Federal Standards for Intern Pay

The FLSA requires employers to pay interns at least the minimum wage and overtime if the intern is considered an employee. However, if the internship meets certain criteria, such as being for the benefit of the intern and not displacing regular employees, the intern may not be entitled to pay.

The Department of Labor uses a six-factor test to determine whether an intern is an employee or not. If the internship is primarily for the benefit of the intern and meets the other criteria, the intern may not be entitled to pay.

State Rules and Regulations

Some states have their own rules and regulations regarding intern pay. For example, California requires employers to pay interns at least the minimum wage unless the internship is for a non-profit organization or a government agency.

Employers must be aware of the specific state rules and regulations that apply to their internships to ensure compliance with labor laws.

Types of Internships and Pay

There are different types of internships, including paid, unpaid, and for-credit internships. Paid internships provide interns with a stipend or salary, while unpaid internships do not provide any compensation.

For-credit internships provide interns with academic credit instead of pay. Employers must consider the type of internship and the level of compensation when determining whether to pay an intern.

Conclusion and Best Practices

Employers must be aware of the federal standards and state rules regarding intern pay to ensure compliance with labor laws. It is essential to determine whether an intern is eligible for pay and to provide clear guidelines and expectations.

Employers should also consider providing interns with a stipend or other forms of compensation, even if they are not required to do so, to attract top talent and provide a positive internship experience.

Frequently Asked Questions

Do all interns get paid?

No, not all interns get paid. Interns may be eligible for pay if they meet specific criteria, such as being considered an employee under the FLSA.

What is the difference between a paid and unpaid internship?

A paid internship provides interns with a stipend or salary, while an unpaid internship does not provide any compensation.

Can interns be required to work for free?

It depends on the specific circumstances. If an intern is considered an employee, they may be entitled to pay. However, if the internship meets certain criteria, such as being for the benefit of the intern, they may not be entitled to pay.

Do state laws override federal laws regarding intern pay?

State laws may provide additional protections for interns, but they do not override federal laws. Employers must comply with both federal and state laws regarding intern pay.

Can interns file a complaint if they are not paid?

Yes, interns can file a complaint with the Department of Labor if they believe they are entitled to pay and have not received it.

How do I determine if an intern is eligible for pay?

To determine if an intern is eligible for pay, employers must consider factors such as the intern's role, responsibilities, and the level of supervision they receive, as well as the specific state and federal laws that apply.