In today’s economy all businesses are looking for ways to cut their expenses. Could this be by hiring an intern or is this the wrong route for you? Interns for the most part are known to just be given the bare minimum of work, the things an owner is to busy for. For them to learn though, give them a responsibility and hold them accountable, so the intern can get the feeling what it would be like to hold a position at the company.
The HR experts at Personnel Policy Service recently published the article, “Paying Summer Interns Less Than (or No) Minimum Wage” where they discuss the 4 four circumstances when you do not owe nonexempt employees the minimum wage.
CLICK HERE to read the article, or see our quick summary below…
Four Occasions when Minimum wage is not owed.
1. The opportunity Wage: If your recently hired employee is under the age of 20 you may give them a substantial decrease in salary for the first 90 days.
2. Students and Disabled Employees: When being a student and working at the same time your employer is allowed to pay you at least 75% of the minimum wage. Then depending on the severity of your employees disability is determined how much is payed out.
3. Trainees and Interns: To actually qualify a worker as an intern the employer must follow a list of regulations stating things like; employer cant benefit from interns work and how they can’t replace an employees current position. These rules were created to prevent the Trainees from just filing paper instead of actually learning.
4. Volunteers: Most places that have volunteers are non-profit organizations like a food bank. Another factor the department of labor will look at to qualify the worker is a volunteer is by seeing if it is a full time occupation and how much the organization benefits from it.
Read more on “Paying Summer Interns less than (or no) minimum wage” by HR Matter E-tips.
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