Arizona Unpaid Interns May be Eligible for Worker's Compensation

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If your organization helps students and recent graduates gain work experience by offering internships, be aware that even interns who aren't paid could be eligible for workers' compensation.

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FAQ

Interns who qualify as employees under the FLSA must be compensated pursuant to federal and state minimum wage and overtime laws. Several big companies, including Fox Searchlight and NBC Universal, have recently been hit with million-dollar class action lawsuits from former and current unpaid interns.

Compensation is paid at 662/3% of your established average monthly wage. The average monthly wage is usually calculated on your earnings during the 30 days before your injury, although there are other methods for calculating the average monthly wage.

Under Arizona law, it is mandatory for employers to secure workers' compensation insurance for their employees. Workers' compensation is a no fault system in which an injured employee is entitled to receive benefits for an industrial injury, no matter who caused the job-related accident.

Arizona Workers' Compensation Requirements Companies with one or more full or part-time employees are required to buy workers' compensation insurance in Arizona. Sole-Proprietors and Partners are automatically excluded from coverage.

Under Arizona's law, if you have one or more workers, you must carry workers' compensation insurance. What's covered? In Arizona, workers' comp covers all medical expenses to heal the work-related injury or illness. It can also provide some of the missed wages when injured workers need time off to recover.

California rules for an unpaid internshipThe intern can't get employee benefits, such as insurance or workers compensation. The employer must instruct the intern to operate in a specific industry, not only a particular firm. After recruiting, the company has to be upfront about the unpaid nature of this position.

Under Arizona law, it is mandatory for employers to secure workers' compensation insurance for their employees. Workers' compensation is a no fault system in which an injured employee is entitled to receive benefits for an industrial injury, no matter who caused the job-related accident.

That said, the average cost for workers' comp in Arizona is about $1.50 per $100 of payroll. But the easiest way to find out what you'll pay is to get an instant estimate here.

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Arizona Unpaid Interns May be Eligible for Worker's Compensation