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Interns or trainees in the for-profit private sector who are qualifying more as employees than as trainees must be paid at least the minimum wage and overtime compensation for more then 40 hours worked in a workweek.

Internships in the for-profit private sector will most often be viewed as employment, unless the test described below relating to trainees is met.

1. The internship or training, even though it includes actual operation of the facilities of the employer, is similar to training which would be given in an educational environment;
2. The internship experience is for the benefit of the intern or trainee;
3. The intern does not displace regular employees, but works under close supervision of existing staff;
4. 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;
5. The intern is not necessarily entitled to a job at the conclusion of the internship; and
6. The employer and the intern understand that the intern is not entitled to wages for the time spent in the internship.

Read more about (un)paid internship regulations and violation in the section Ask Paywizard!

Read via the next link the full Labor Department fact sheet about Internships under the Fair Labor Standards Act.

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