To Pay or Not to Pay - Summer Workers

Those of you who have been reading this newsletter for a few years know that every year around this time I include an article on tips for properly classifying interns and volunteers.  This year will be no exception. Last month I had the honor and pleasure of again presenting at SHRM's Staffing Management Conference, this time on two topics.  One of those two was, "Are You My Employer: Tips for Managing Contingent Workers."  No sooner had I returned home than I read the U.S. Department of Labor (DOL) published an updated Fact Sheet (#71) reminding employers about how to properly classify an intern as paid versus unpaid.  Now don't be fooled, these six factors are not new.  But the fact that the U.S. DOL chose now to publish this reminder may reasonably indicate the Department's intent to monitor these classifications more closely in the upcoming months.  The DOL considers six factors to determine whether an internship has been properly classified as unpaid.  Unlike assessing the classification of an independent contractor in which a variety of factors are weighed against one another, all six of the following factors must be met for classifying an intern as unpaid:

1. The internship, even though it includes actual operation of the facilities of the employer, is similar to training which would be given in an educational environment;
2. The internship experience is for the benefit of the intern;
3. The intern does not displace regular employees, but works under close supervision of existing staff;
4. 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;
5. The intern is not necessarily entitled to a job at the conclusion of the internship; and
6. The employer and the intern understand that the intern is not entitled to wages for the time spent in the internship.

Volunteers may pose another classification challenge for employers.  In June 2009 Reuters reported that volunteerism was on the increase, "Applications for the AmeriCorps rose 234 percent this year compared with last. Similarly, Teach for America, the program that sends America’s brightest college graduates to teach in its poorest schools, saw a 42 percent increase in applications this year...There is more of a desire to serve the community among people in [their] 20s and 30s." Remember that just because someone volunteers to work for free does not mean it is legal to permit them to do so. Unlike the test for interns, the DOL uses a three factor test to determine whether an individual is properly classified as an unpaid volunteer.  Generally the individual:

1. Works part time in the volunteer role;
2. works for a religious, civic, or humanitarian organization; and
3. works for a religious, civic or humanitarian objective.

What to Learn More?

Join this month's webcast on May 26th from 10:00 - 11:00 a.m. EST, "Are You My Employer? Tips for Managing Contingent Workers" as we practically apply these tests to real life examples; consider current trends in volunteerism; review tips and tools for properly classifying non-employee workers; and compare and contrast related federal and state legislative trends. Click here and then click on the "Upcoming" tab to register (still just $35 per person).

 Hot Hits!! Education Corner

May's Public Seminars & Presentations

Presented by Christine V. Walters, MAS, JD, SPHR

Wednesday, May 12th, "Workplace Wellness: The Employer's Perspective" a Keynote Presentation provided for a Healthier Carroll County. Westminster, MD 8:00 - 1100 a.m.

Wednesday, May 19th, "Practice Your Passion: Advocacy as a Core Competency for HR Professionals" presented for the CHRA (pre-approved by HRCI for 1.0 strategic credit) Baltimore, MD 8:45 a.m. - 9:45 a.m.

Wednesday, May 19th, "Employee Where Art Thou? The Latest News in Managing Disability & Leave Issues," presented for Banyan Consulting's 10th Annual Conference, Hershey, PA 1:45 - 2:00 p.m.

PUBLIC SEMINAR: Tuesday, June 1st, "HR and the Law for Maryland Employers," Owings Mills, MD 8:00 - 4:30 p.m. Pre-approved by HRCI for 6.5 general credit hours.  Don't Delay. Register today. Both Programs in 2009 Sold Out in Advance!

   May's Client Training Programs 

"HR & the Law for Managers" 

"Maintaining an Inclusive Workplace"  

NEXT WEBCAST!

May 26, 2010 10:00 - 11:00 a.m. EST

"Are You My Employer? Tips for Managing Contingent Workers"

As summer approaches employers may consider using a variety of contingent workers including interns, volunteers and independent contractors.  How are the various classification "tests" practically applied? When may an intern be properly unpaid? Can anyone volunteer to work for free? Join this month's interactive webcast as we:

• practically apply these tests to real life examples;
• consider current trends in volunteerism;
• review tips and tools for properly classifying non-employee workers; and
• compare and contrast related federal and state legislative trends.

Click here and then click on the "Upcoming" tab to register (still just $35 per person).

This webcast is pre-approved by HRCI for 1.0 general credit hour 

2010 Annual Subscriptions are still available!

Subscribe for the year (7 remaining webcasts) for the price of 5!  Get TWO FREE! Click here to register.

In the interim are you in need of HRCI credits?  Any of FiveL's webcasts archived in or after August 2009 are pre-approved for 1.0 credit hour (see individual, archived listings for strategic or general credit). Just $25 per person.

Use of this seal is not an endorsement by HRCI of the quality of the program. It means that this program has met HRCI's criteria to be pre-approved for recertification credit.