Class action lawsuits filed by interns who claim they should be
classified as employees have proliferated over the last few years.
In these types of cases, a large number of interns have argued that
they were actually entitled to be paid wages under federal and
state laws.
The success they have enjoyed stems from a rising concern that
unpaid interns are becoming the modern-day equivalent of
entry-level employees, performing many of the same duties as paid
workers – except that in many cases, of course, the interns
are working for free.
Labor Department's Hardline Position
Not surprisingly, the U.S. Department of Labor (USDOL) takes a
very strict approach to this issue. Following a test established by
a 1947 Supreme Court decision, the USDOL evaluates internship
programs using a six-factor test that requires all prongs to be met
for an unpaid internship to be considered lawful. The test requires
that:
