3 Things You Need to Know About the 7-Factor Internship Test

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As a career services professional, you understand how important an internship is for a student’s career development. The work experience helps them to determine what they’re truly passionate about. They also learn valuable skills that will give them an edge during their job hunt.
But you also know that not all internships are created equal.
Some internships are great opportunities. They provide hands-on experience and an insider’s look at how a business functions. Others are mostly grunt work. And more importantly, to many students, some are paid.
Until recently, the Department of Labor had a six-factor checklist to determine if an intern should be paid. Even if the internship did not meet one of those criteria, the individual deserved compensation. But, as of the first of the year, there is a new set of guidelines.
The seven-factor test is more flexible. Instead of demanding that the company receive almost no financial benefit from the intern’s work, the test serves to determine who is the “primary beneficiary.” As long as the intern is getting more out of the position than the employer, they don’t have to be paid.
So what does that mean for your students? Here are three changes they need to be aware of: