Hawaii Unpaid Interns May be Eligible for Worker's Compensation
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FAQ
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.
Unless all of the following criteria are met, the intern is legally an employee, who must be paid the minimum wage, earn overtime, and receive all of the other protections guaranteed by state and federal employment laws: Interns cannot displace regular employees.
It is unlawful for any employer to suspend or discharge any employee solely because the employee suffers any work injury which is compensable under the workers' compensation law unless it is shown that the employee will no longer be capable of performing the employee's work as a result of the work injury and that the
Am I eligible for unemployment benefits? Most likely not, but it depends. As a paid intern, you are required to report your salary in your taxes. Depending on the income threshold for unemployment benefits in your state, you may be eligible.
So unpaid internships are highly dicey as to their legality or not. They are also not realistic for many people. An unpaid internship can take up the time of a full time job, making it difficult for poorer students who may need additional sources of income. It's hard to balance a full time internship, job and school.
California Law Protects Unpaid Interns and Volunteers from Harassment and Discrimination. California has become the third state in the country, after New York and Oregon, to ban sexual harassment and discrimination in the workplace directed toward unpaid interns.
Student interns are individuals who provide services to gain work experience. Workers' Compensation coverage is required for student interns (paid or unpaid) who provide services to a for-profit business, a nonprofit organization, or a government agency.
The first benefit is attainability. An unpaid internship will require much less from its prospects than a paid internship. This may be a great option for you if you don't yet have relevant experiences (yes, some paid internships require previous experience). The second is the low-risk, practical environment.
In California, the vast majority of workers are covered by workers' compensation. Any employer who has even one employee must have workers' compensation insurance. There are no exceptions for employees who work part time vs. full time, nor are there any exceptions for seasonal workers.
The NACE study that found unpaid internships negatively impact how long it takes a student to find a job after graduation, also found positive results. The study found that unpaid internships help confirm or reject interest in a career, help set career goals, and positively benefit networking.
