New government action on internships

In a significant move to address the issue of unpaid internships, the UK government has announced the initiation of a call for evidence aimed at better protecting younger workers from exploitation. This follows ongoing concerns that some employers continue to flout existing regulations banning unpaid work, which could impact the financial stability of interns and create barriers to career opportunities.

Business Secretary Jonathan Reynolds highlighted the importance of equal access to quality work experiences when he stated "Every young person deserves the chance to build their career through quality work experience, but good employers are still being undercut by those exploiting interns by illegally asking them to work for free." With the launch of this initiative, the government aims to create a framework that ensures fair pathways into the job market for all young people.

The government's Plan for Change represents a broader commitment to enhance worker rights, particularly through the Make Work Pay agenda. This initiative is expected to directly benefit over 15 million workers across the UK. It seeks not only to uphold compliance with existing laws against unpaid internships, which are largely prohibited when they do not accompany educational or training programmes, but also to strengthen protections against those who misuse these opportunities.

Employment Rights Minister Justin Madders commented on the value of internships, emphasising that "Internships provide a strong platform from which to build a career, allowing young people to learn new skills and giving employers a pipeline of future talent to hire from." He further added that unpaid internships disadvantage individuals who lack financial support.

Research from the Sutton Trust, led by CEO Nick Harrison, underscores the urgency of this action, with findings indicating that "61% of internships undertaken by recent graduates were ‘unpaid or underpaid’, effectively excluding those who can’t rely on financial support from family." This highlights the systemic inequality fostered by unpaid internships, reinforcing the need for robust regulatory measures.

The call for evidence marks a vital step in addressing the issue, with the promise that it will lead to improved conditions for interns and broaden the talent pool available to employers. The overwhelming support from three quarters of employers for a ban on unpaid internships suggests a consensus on the necessity of reform in this area.