Internships are widely used by different industries to bring talented students and workers to the company. These internships provide valuable experience and personal connections to the interns. Many times, they will lead to permanent job placement after the completion of the program.
Under the Fair Labor Standards Act (FLSA), there are many circumstances under which interns must be paid overtime pay by the employer. Traditionally, this has never been paid and many companies simply refuse to pay those wages despite a federal law requiring payment of overtime wages. This had led to several unpaid intern overtime lawsuits that have resulted in substantial settlements.
To determine whether you should receive overtime for internship position, there are six criteria that must be applied to determine if an intern is must be paid overtime pay:
- 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;
- The internship experience is for the benefit of the intern;
- The intern does not displace regular employees, but works under close supervision of existing staff;
- 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;
- The intern is not necessarily entitled to a job at the conclusion of the internship; and
- The employer and the intern understand that the intern is not entitled to wages for the time spent in the internship.
If all of these criteria are met, then the federal minimum wage and overtime provisions do not apply to the intern. However, overtime pay may be required even if only one of the conditions is not met. The criteria are also subject to interpretation based upon the individual job type and duties. Therefore, all unpaid interns should speak to an experienced overtime pay lawyer to determine if they should have received overtime pay.
Contact Our Unpaid Intern Overtime Lawyers
If you or someone you know is a current or former unpaid intern doing the work of a paid employee, you may have a wage claim. You may even be eligible to join this collective action. Call our experienced team of overtime pay lawyers today at (855) 754-2795 to discuss your situation and rights. Or complete the Free Unpaid Overtime Case Review form on the top right of this page and our experienced legal team will evaluate your case. If we accept your case, we will represent you under our No Fee Promise. This means there are no legal fees or costs unless you receive a settlement.
FAQs:
Is overtime pay required for an unpaid internship?