Reference no: EM13809297

Internships for full time university students are considered to be part of the experiential learning process. They are expected to further advance and reinforce the academic classroom learning. Internships must not be undertaken for more than 20 hours per week during the traditional regular fall/spring semesters. An internship should not be pursued until a student has successfully completed the first year of university studies and the student has obtained the approval of his/her academic advisor. Students are advised to carefully pursue internships and have a full understanding of the nature of the work to be undertaken, the hours and work conditions. In the past, some of our students have reported unsatisfactory learning work environments.

Internships are available from time to time in the private business sector (consisting of sole proprietorships, partnerships, small family companies & large corporations), public entities (consisting of government bodies and schools) and non-profit entities. The vast majority of these internships are unpaid.  The available internships are listed in an annual inventory complied by the university. The listing of these internships is for convenience only and is not meant to indicate they meet all the university policies and legal requirements. This can only be determined on a case-by-case approval basis, if requested by the student. The persons and entities listed on the internship inventory have been furnished a copy of the university internship policy and they have agreed to follow the policy but those on the internship list have not been audited for compliance.

Media reports indicate that across the nation last year 37% of university internships (both paid and unpaid), students received job offers and full time employment from the employers where they interned.

Unpaid internships must comply with requirements set by the U.S. Department of Labor which criteria include "the internship experience is for the benefit of the intern," and "the intern does not displace regular employees, but works under close supervision of existing staff," "the internship even if it includes actual operation of the facilities of the employer, is similar to training which would be given in an educational environment," "the employer that provides the training derives no immediate advantage from the activities of the intern and on occasion its operations may actually be impeded," and "the intern is not necessarily entitled to a job at the conclusion of the internship."

A limited number of internships are available from the university or its affiliated agencies, e.g. the alumni association. Only unpaid university internships are eligible for approved academic course credit. All university internships that are paid internships are compensated at the same rate as students on the university's work study program, who are presently paid $8 per hour, not to exceed $160 per week. Students in paid internships must receive an annual IRS Form 1099. Students are responsible for paying any taxes.

International students who are on F-1 visas and who are enrolled full-time may work legally on campus for limited periods of time after obtaining approval from the office of International Students and Scholars (ISS). In order to be paid for their work, students must have a Social Security Number (SSN). The ISS office can help with the SSN application process.

It is important to remember that the employment of international students (F-1 visa holders) is restricted and controlled by U.S. Department of Homeland Security (DHS) rules. To work off-campus, international students must have permission from the DHS. DHS defines "employment" as "the rendering of services on either a part-time or full-time basis for compensation, financial or otherwise, including self-employment." The U.S. government requires international students to pay taxes on their earnings, in accordance with U.S. tax laws.

International students cannot engage in internships without approval from DHS and ISS. Many international students do not realize this fact and they take internship or "volunteer" positions at companies or agencies. They mistakenly believe that because they are working without pay, they can participate in internships. This is not the case.

International students (in F-1 status) may engage in optional practical training (OPT), under certain conditions and with the approval of ISS. OPT is designed to permit international students to gain practical experience in their major field of study. DHS permits international students to gain this experience either before or after graduation, but restricts the total amount of time to 12 months.

Some international students use a portion of their OPT before graduation to engage in internships. Unpaid internships outside the university do not count toward a university degree at this institution. The period of time spent in this experience is subtracted from the 12 months that an international student may work after graduation.

•  Should university students who work as unpaid interns for (i) private businesses, (ii) government and schools, (iii) non-profit entities, be categorized under federal law as (a) employees (b) independent contractors (c) volunteers  or (d) some other special category of workers? 
•  Explain why unpaid university student interns either fit or do not fit into each of those categories for each type of entity listed.