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Are companies required by law to pay interns in California?

Specifically for early stage startup companies.

9 Replies

Victoria Cabrera
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0
Victoria Cabrera Entrepreneur
Marketing Coordinator at Patxi's Pizza
Take a look at these past discussions that may help answer your question: Intern Compensation & How much should you pay startup interns?

Hope that helps!
Lorraine Wheeler
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President at Redstoke, LLC
I am not an attorney, but I believe every state has a minimum wage law. I would check with an employment attorney to understand the rules for unpaid internships and what conditions have to be met so that the minimum wage law does not apply.
Kelliane Parker- Lam
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Kelliane Parker- Lam Entrepreneur
Founder at Time To Go Social and Kelliane Parker Farmers Insurance Agency
I'm not sure about interns, but I have used the Cal Work Study program. I had grad students taking on projects related to their major. The min pay was $12.50, (that was 5-7 years ago), and you received a grant of up to $4000 back a semester.

But I would do my research, fines for labor law infringements are steep. Go tohttps://www.dir.ca.gov/.Ca Dept of Labor Relations can give you the definitive answer.
Alexander Laszlo Ross
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Alexander Laszlo Ross Entrepreneur • Advisor
Head of Business Development at Verifide
I'm not a lawyer either, but I do believe that academic credit (through an official accredited program, etc) would be the only exception to the minimum wage law.

Andreas Ramos
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Andreas Ramos Entrepreneur • Advisor
VP Marketing at Zenyx Inc.
The Fair Labor Standards Act (FLSA)requires employers to pay for all hours worked. It's illegal to not pay interns.
Alexander Laszlo Ross
1
0
Alexander Laszlo Ross Entrepreneur • Advisor
Head of Business Development at Verifide
Google show this:

http://www.propublica.org/article/when-interns-should-be-paid-explained

Apparently, the courts are pretty strict on this and academic credit by itself isn't enough to justify no pay.
Liza Taylor
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Liza Taylor Entrepreneur
Communication Specialist at Keyideas Infotech
Whether there is a law or not but interns need to be paid. It is against the labour law if interns are providing their service without getting paid. Unfortunately with the number of organizations looking for experienced graduates, some interns are willing to provide their service for free of cost so that they can get an experience certificate from the concerned firm. This has given companies wider choice to choose candidates for internship. As per the Dept of Labor, every organization needs to pay a minimum wage of$7.25per hour.
Kirsten Minshall
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Founder of UVD and CTO at Limpid Markets
Have you potentially thought about forgetting what the law says and just doing the right thing? I know it sounds terribly left wing and all but I happen to think paying people for their contribution is just the right thing to do. I've written about it here:http://www.uvd.co.uk/blog/5-good-reasons-to-pay-your-interns/
Mike Cavaretta
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Mike Cavaretta Advisor
Co-founder and Member at The Startup Coalition
An intern for a for-profit business must be paid unless the internship meets the requirements of the narrow "learner/trainee" exemption under the federal Fair Labor Standards Act (FLSA), the federal law governing payment of minimum wages and overtime. Failure to meet this narrow exemption could result in costly litigation and possibly significant liability. See: http://employmentlawblogma.com/2014/04/08/will-your-interns-sue-you-for-unpaid-wages/
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