A 2021 survey by the National Association of College and Employers (Nace) in the US of 267 large corporations found that, across the board, intern pay is going up (and has been for close to a decade) in all sorts of sectors, including transport, insurance, retail management and food services. Nace’s research found that the average hourly wage in summer 2020 for paid interns at these companies was $20.76, up $1.22 from the previous year – the highest wage on record. That’s over $3,300 a month; if a worker were paid that much for an entire year, their salary would be nearly $40,000, which is still higher than the individual wage of half the US population.
What it means for the future
Yet despite intern wages ticking up across many sectors, interns in other sectors – like creative or charitable sectors – might still be working for free.
In fact, according to 2018 data, over 40% of internships in the US don’t pay at all, a long-standing trend especially rampant in fields such as non-profits, government or the arts. Good levels of intern pay may have become the norm in traditionally well-salaried sectors like banks, consulting and tech, but that “does not necessarily signal normalisation of [high-paid] internships in arts, sports, media or other industries”, says Heather Byrne, managing director of the Career Development Office at the Ross School of Business, University of Michigan, US.
There are signs of change. Public resentment over unpaid internships has been growing significantly in recent years, with some former interns successfully suing past employers over exploitation claims in a recent slew of high-profile lawsuits. Plus, since the pandemic and resultant labour shortages hit, employers are increasingly aware that skilled people are steering well clear of poorly remunerated work.
“In my HR experience, employers are realising that individuals do not have the ability to work for free in this current climate,” says Yvette Lee, knowledge advisor at the US-based Society for Human Resource Management (Shrm). “It’s increasingly more challenging to attract talent if individuals must sacrifice their financial security to gain experience.”
In the future, then, it might be that decently-paid interns are the norm, not the exception – especially since interns can bring so much to a team, says Delfine. It may not translate to thousands of dollars a month for everyone, but it might be more, on average, than what it is now. “I’m just hoping people realise what the value of interns is, because interns can make an impact and let you explore new ways to do business,” he says.
Often, companies try to convince interns they’re there for the experience, and should be grateful just for the learning opportunity. But in the post-pandemic labour market, interns should feel more confident to …….
Source: https://www.bbc.com/worklife/article/20220428-the-top-talent-interns-taking-home-sky-high-wages