Indiana Unpaid Interns May be Eligible for Worker's Compensation

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US-0543BG
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Description

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

You must be an employee. Your employer must carry workers' comp insurance. You must have a work-related injury or illness. You must meet your state's deadlines for reporting the injury and filing a workers' comp claim.

Employers who hire unpaid interns face potential legal troubles, including costly class action lawsuits. Recently, unpaid interns brought a class-action lawsuit against Mary-Kate and Ashley Olsen's entertainment company, Dualstar Entertainment Group, LLC.

Unpaid internships can be a great way to start building your professional network, develop skills and receive valuable feedback from professionals. They can also be a good indicator of whether you'll like your future profession.

Footnotes to the old policy and to the new policy acknowledge that unpaid internships are generally permissible in both the public sector and in nonprofit charitable organizations.

There are no rules. The company will have their own reasons and standards by which they want to check your background. All you can do is let them do their own checking through their own professional resources, and if they aren't satisfied then, they will come to you and see if you have evidence that will satisfy them.

Internships and work-based learning programs can be either paid or unpaid. However, most experiences on Work and Learn Indiana are paid positions.

Unpaid internships are legal if the intern is the primary beneficiary of the arrangement. This is determined by the seven-point Primary Beneficiary Test. If an employer is the primary beneficiary, the intern is considered an employee under the Fair Labor Standards Act and entitled to minimum wage.

Unpaid internships are legal if the intern is the primary beneficiary of the arrangement. This is determined by the seven-point Primary Beneficiary Test. If an employer is the primary beneficiary, the intern is considered an employee under the Fair Labor Standards Act and entitled to minimum wage.

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Indiana Unpaid Interns May be Eligible for Worker's Compensation