Unpaid internships might as well scream “free labor”. They’re the epitome of being overworked and underpaid – asking for the same dedication, time, and effort as a paid job, but offering nothing in return except "experience" that may or may not lead to future opportunities. 

This may seem especially insulting when there are several high-paying jobs that don’t require a college degree or unpaid work to break into. 

When you’re seeking experience, but experience is usually required to get a job, unpaid internships seem like a viable answer. We interviewed an unpaid research assistant intern at the end of this video that had similar thoughts.

Key points:

• Unpaid internships are not fair to workers and exclude individuals who cannot afford to work without pay.
• It depends on your specific circumstances if an unpaid internship is worth it or not.
• Unpaid internships are not the only option to get started in a new career. 60% of internships are actually paid. 
• You don’t have to settle for an unpaid internship. The highest salary for interns recorded in our Salary Database is $71,000 a year!

Paid vs. Unpaid Internships: The Pros & Cons

While the obvious upside to paid internships is the fact that they’re PAID, the downside to unpaid internships is that they’re not – which is a rather big con. It may seem like a slap in the face when offered an opportunity that doesn’t come with a paycheck. It’s essentially pay discrimination when companies think younger workers and those desperately seeking experience aren’t worth being paid fairly. We all know those companies are profiting off that labor in some way.

What if you can’t afford to work for free? Without income, you may need to rely on savings, family support, or a part-time job, adding extra stress or limiting your ability to focus fully on the internship. 

Whether the company agrees or not, unpaid internships may have a lasting impact on your future wages. That time spent at an unpaid internship may cause you to miss out on paid opportunities that may lead to higher-paying jobs down the line or other opportunities that are more aligned with your long-term career goals. 

Unpaid internships may also not guarantee a full-time position or even a job offer, leaving you without a clear long-term opportunity. In some cases, unpaid interns may even end up doing menial tasks or not gaining valuable experience, making the internship less beneficial.

Having said that, there are still some advantages that come with unpaid internships. They can provide academic credits toward completing a degree, valuable hands-on experience, and connections in your field that can lead to job offers or referrals in the future. 

You’ll also have a chance to see how things work in your field and develop practical skills and knowledge that can enhance your resume and make you more competitive in the job market. They may also help grow your portfolio.

Are unpaid internships worth it?

After weighing the pros and cons, it’s time to ask yourself whether an unpaid internship is worth pursuing in your particular circumstances. Whether it's worth it or not will be different from person to person.

Ask yourself these questions to help decide:

• Can you afford it?
• Will it help you build valuable skills and gain experience that will take you to the next step in your field?
• Can you gain valuable connections and mentorship?
• Will it provide academic credits that will go towards a degree?
• Does it provide a path to a paying position at the same company?
• Can you find any paid internship opportunities that are similar?

If the internship promises a future paid position at the company, you’re someone who can afford to take on unpaid work, or are still in school seeking academic credits, an unpaid internship may work for you. That’s if it seems like something that you will gain valuable experience from and gives you an advantage on your resume.

Are unpaid internships legal?

Honestly, any form of free labor should be illegal. Unfortunately, the current law says otherwise. 

Unpaid internships are legal under the Fair Labor Standards Act (FLSA) if they primarily benefit the intern rather than the employer and meet the criteria of the Department of Labor's “primary beneficiary test,” which examines factors like educational training.

If the work is for academic credit or within the bounds of being considered a learning environment, those unpaid internships are considered legal. These internships must also not displace paid employees or directly contribute to the employer’s profit.

To check if an unpaid internship is legal, review the DOL's internship guidelines and ensure it meets the seven factors outlined, including receiving meaningful learning opportunities and not displacing paid employees. Consult an employment lawyer if you have concerns about a particular program.

How to Find Paid Internships Instead

As much as it’s beneficial to gain as much experience as you can in the beginning of your career, unpaid internships are not the only option. 

With 60.2% of internships being paid, according to the National Survey of College Internships Report by the University of Wisconsin Center for Research on College-Workforce Transitions, you may even have better luck focusing on applying to paid internships rather than unpaid ones. Some interns are making as much as $71,000 a year, according to the highest salary recorded in our Salary Database.

There are a few sites available to current students and grads to help find paid internships, including:

• The Federal Internship Finder - filter on “paid”
• InternMatch 
• WayUp
• Handshake 
• Chegg
• Your school’s job listing job site or alumni network

We believe you deserve to get paid for your work!

Don’t forget to browse our other resources as you get your career started, including finding your market rate, interview questions and answers to prepare for, salary negotiation scripts and myths, how to ask for a raise, and more!

That wraps it up for this week. Until next time, stay awesome, stay strong, and keep advocating for yourself no matter what! I’m Daniella, a writer, engineer, and creator of I Like to Dabble and Remote Work Bestie - my blog and podcast for leveling up your money, career, and side hustles. I’m extremely passionate about workers' rights and financial freedom, so it’s a pleasure to be able to bring you this type of content through the Salary Transparent Street blog (thank you for the opportunity, Hannah!) You can also follow me on Instagram, TikTok, Linkedin, and Twitter. Chat soon!

If this guide helps you land a higher-paying job, let us know! Send us an email ➡️ hello@salarytransparentstreet.com

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