Nothing In Life Is Free, Including Employees

Many employers understandably believe that their business can provide valuable training, experience and education to unemployed individuals and students, and therefore see a mutual benefit to hiring unpaid "interns". However, employment standards legislation in most jurisdictions only permits interns to be unpaid in very limited circumstances, and employers can find themselves facing significant fines or court damages for failing to pay and provide employment benefits to people they called interns, but who are in fact deemed to be employees at law.

In addition to the potential legal liabilities, unpaid internships in Canada and the U.S. are now posing a risk to employers' reputations as well. Indeed, a national news story from Canada released just this week highlights a growing backlash against unpaid internships, framing them as "exploitation" and alleging harsh practices on the part of employers, including refusals to provide references to interns who will not work