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News | 07.16.15

CLIENT ALERT: Second Circuit Confirms Employers’ View on Unpaid Internships

July 16, 2015 - Recognizing the inconsistent approach taken by federal district courts in evaluating the legality of unpaid internships in the private sector, the United States Court of Appeals for the Second Circuit Court has issued a long anticipated ruling that will provide employers with some clarity regarding whether their interns are required to be paid minimum wage and overtime compensation in accordance with the Fair Labor Standards Act and New York Labor Law.

The Second Circuit expressly rejected the U.S. Department of Labor's 6-factor test that courts have previously utilized and adopted a “primary beneficiary” test that focuses more on what the intern receives in exchange for his or her services. Click here to read the full article.

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