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Employers offering unpaid internships should
Course:- Operation Management
Reference No.:- EM132281395




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1. In an employment-at-will relationship:

employers are required to give 30-days’ notice if they are going to lay-off 10 or more people from the same location. They are also required to provide career counseling and other services to help them become reemployed.

an employee’s right to free-will is recognized and she is able to quit at any time without giving notice. An employer is required to provide a 2-week severance package if an employee is terminated without cause.

one person, the employee, undertakes to perform services or to do work, without guidance, for compensation.

An employee or employer can end the employment relationship without cause or warning.

2. Your employer is experiencing financial hardships. A plan has been presented to the HR manager to fire two employees, who are older and able to find replacement jobs easily, to lower overall payroll. The employees are ages 45 and 57. One is male and one is female and both have worked for the company for 20 years. Is this plan legal?

No – it violates the Age Discrimination in Employment Act (ADEA)

No – it violates the Longevity Protected Workers Act (LPWA)

Yes – because both a male and female are terminated so there is no gender discrimination.

Yes – because both employees are younger than 60 they are not covered by ADEA.

3. Joint employment is an issue:

that no longer exists.

because employees should only report to one supervisor instead of multiple managers.

when an employees has part-time jobs at two different employers.

when employers hire temporary staffing agencies to provide workers.

5. The economic realities test helps to distinguish between _____ and ______ in FLSA cases:

managers, non-managers

exempt, non-exempt

employees, independent contractors

salary, overtime

6. Undocumented workers:

are not subject to the protections of federal anti-discrimination laws.

have no legal employment rights per case law.

may be granted citizenship if an employer discriminated against them.

treated the same as other employees and able to pursue their legal claims.

7. The subminimum wage provision:

guarantees all employees must be paid the current federal minimum wage.

allows certain workers with disabilities (with DOL certification) and students employed at colleges and universities (payment at 85 percent of the minimum wage is allowed with DOL certification) to be paid less than current federal minimum wage.

requires employers to pay time and a half to all employees who work more than 40 hours in a work week.

protects employees for predatory employers who seek to pay less then minimum wage in poverty-stricken areas of the country.

8. Employees who are paid a salary:

are never paid an overtime pay rate because they are considered management.

are required to earn overtime if they work more than 50 hours in a week.

may be paid overtime based on the results of the “salary level test”.

must be paid every two weeks and earn extra paid time off related to the number of hours over 40 they work each week.

9. Employers offering unpaid internships should:

give interns a W-4 so they can deduct the time spent working on their federal taxes.

have a college oversee it and offer academic credit.

change to paid internships only to avoid FLSA violations.

only hire students age 16 – 18, while they are in high school




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