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Unpaid Internships Done Right: Industry Leaders’ Perspectives

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Unpaid Internships Done Right: Industry Leaders’ Perspectives

Navigating the ethics of unpaid internships requires balancing organizational needs with meaningful opportunities for growth. 

This HR Spotlight article compiles insights from business leaders and HR professionals on specific situations where unpaid internships can be considered fair or appropriate. 

Experts highlight scenarios where internships prioritize education, mentorship, and skill-building, such as structured programs for students or career-changers gaining hands-on experience in fields like law, finance, or HR. 

They emphasize clear learning outcomes, short-term commitments, and access to industry networks as key justifications. By focusing on development over labor, these practices ensure interns gain valuable insights, making unpaid roles a fair stepping stone to future paid opportunities.

Read on!

James Parkinson
Head of Marketing Content, Personnel Checks

An unpaid internship is fair if the person feels they are getting value out of the arrangement. When it comes to content, copywriting and digital marketing interns, it goes without saying that an unfair situation would occur if the person were delivering a high volume of work without proper and adequate mentoring or training.

For our business specifically, we already have a successful mentoring programme in place due to an established apprenticeship scheme.

For unpaid interns, we treat them similarly from an educational and development perspective, also encouraging them to take advantage of our learning resources with the aim of nurturing them into potential paid employees.

If the business appreciates and sees the value in the intern, and returns this with a commitment to their personal development, the unpaid element is considered ‘fair’.

Value-Driven Internships Ensure Fairness

Bradford R. Glaser
President & CEO, HRDQ

By way of being a learning experience in adult soft-skill development, it is reasonable to offer an unpaid internship, especially where we create tools enhancing communication, leadership, and teamworking, as in the case of HRDQ.

An intern who gets involved in assessing construction, participating in team-development workshops, or assisting with webinars related to HR gains exposure to the strategic initiative that goes into performance improvement.

The key is to ensure the intern receives guidance, an opportunity to contribute, and reflection on learning.

When the focus is on building HR-relevant capabilities rather than just filling supporting tasks, the arrangement honors both organizational integrity and the intern’s development.

Educational HR Internships Justify Unpaid

Julia Simkus
Resume Writer, Wanderlust Careers

I recently completed my Master’s Degree in Applied Psychology at NYU. As part of our program, we were required to complete a set number of clinical hours. Before joining Wanderlust in a paid role, I interned there to fulfill these clinical hours and receive supervision from a licensed counselor.

In this case, the internship was unpaid, but I found it entirely fair because it provided me with essential training, mentorship, and real-world experience that were imperative for my professional development.

I believe unpaid internships can be appropriate in situations like this where the primary benefit to the intern is educational, such as gaining required training hours, hands-on experience, or mentorship.

Mentorship Makes Unpaid Internships Fair

Jackie Domanus
Founder, Idea Citizen

There’s a time and place for unpaid internships, but only under specific, transparent conditions.

First, the experience must be clearly structured, ideally using a framework like STAR to define learning outcomes.

Second, it should be designed for individuals with no prior working experience in the field.

Third, it must be time-bound; I’d advocate for contracts that include a scaled pay structure after a set period, such as three months.

And finally, it should be geared toward students actively enrolled in school. Internships, paid or unpaid, can open doors to networks and skill-building, but compensation shapes expectations.

Unpaid internships should focus solely on guided learning. Paid internships, by contrast, imply a level of autonomy and responsibility to contribute value beyond assigned tasks. Anything outside of that risks misalignment.

Structured Learning for Student Interns

Brenda Manea
Managing Director, BAM

I applied for my first internship in 2013, back when I was in college still figuring out what I wanted to do. I found a PR agency that looked cool and landed an unpaid internship. I was over the moon; it didn’t even cross my mind to ask about pay. Three months later, they started paying me minimum wage, and I stuck around part-time until graduation.

Fast forward 11 years, and I’m still at that same agency, having worked my way through 10 different roles.

That unpaid internship opened the door, and it completely changed the course of my career. For me, it’s proof that when structured well and tied to real opportunity, unpaid internships can be fair; sometimes just getting your foot in the door makes all the difference.

Opportunity-Driven Internships Change Careers

Griff Harris
President, Griffith Harris Insurance Services

The key is that these internships must provide genuine learning about complex risk assessment that can’t be taught in classrooms.

When a student witnesses how we structure a $5M umbrella policy or analyze medical malpractice coverage for physicians, they’re gaining specialized knowledge worth more than minimum wage.

After 75 years serving this community and my experience at major firms like Marsh & McLennan, I’ve seen that insurance expertise only develops through real client scenarios. Students who complete these programs typically land $60K+ starting positions because they understand risk management principles that take years to master otherwise.

The internship becomes unfair if students are just filing papers or answering phones. But when they’re learning our industry’s most valuable skill—protecting family legacies through proper coverage—that education is invaluable.

Specialized Skills Justify Unpaid Roles

Alex Langan
Chief Investment Officer, Langan Financial

In finance, an unpaid internship can be fair in very specific situations, mainly when it’s structured as a true learning experience rather than free labor.

For example, if you’re a student or career-changer curious about wealth management or investment analysis, an unpaid internship can give you exposure to compliance work, financial planning tools, and client service without the pressure of revenue targets.

It should be short-term, clearly educational, and paired with mentorship so you’re building skills that will translate into paid opportunities.

In my view, it’s only appropriate when the intern gains more than the firm does, and when the program is designed to help them decide if this is the right path.

Educational Finance Internships Are Fair

Brian Joslyn
Owner, Joslyn Law Firm

In the legal field, I believe unpaid internships can be considered fair when they are structured around genuine education and skill-building rather than free labor.

For example, a law student shadowing attorneys in a criminal defense practice can gain invaluable experience observing hearings, reviewing case strategy, and understanding how client relationships are built – insights that can’t be learned in a classroom.

When the internship is short-term, clearly educational, and not displacing paid staff, it can give students the clarity they need to decide if criminal defense, or even law as a whole, is the right career path for them. In that sense, an unpaid internship becomes less about cost-saving for the firm and more about creating a bridge between academic theory and the realities of legal practice.

Legal Shadowing Benefits Unpaid Interns

Steven Rothberg
Founder & Chief Visionary Officer, College Recruiter Job Search Site

There are different customs and laws in different countries regarding whether internships should or even must be paid.

In the United States, the law is pretty clear, although many would prefer to think otherwise. In a nutshell, if you’re a non-profit or government agency then legally you may employ interns without paying them.

Under the Fair Labor Practices Act (FLPA), for-profit organizations must pay them, as there will always be some benefit accruing to the employer.

But, even if it is legally permissible to not pay an intern for the work they deliver to your organization, that doesn’t mean that you should accept their labor without paying them for that labor.

I believe that all interns should be paid at least the prevailing minimum wage and that the additional training and management of these inexperienced workers should factor into the wages they’re paid, but not eliminate the wages they’re paid.

Pay Interns, Prioritize Fairness

The HR Spotlight team thanks these industry leaders for offering their expertise and experience and sharing these insights.

Do you wish to contribute to the next HR Spotlight article? Or is there an insight or idea you’d like to share with readers across the globe?

Write to us at connect@HRSpotlight.com, and our team will help you share your insights.

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The Case for Unpaid Internships: Leaders Share Ethical Contexts

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The Case for Unpaid Internships: Leaders Share Ethical Contexts

Unpaid internships spark debate, but in specific cases, they can be fair when prioritized as educational experiences. 

This HR Spotlight article gathers insights from business leaders and HR professionals across industries like tech, law, and manufacturing, exploring when unpaid internships are justified. 

From short-term, mentorship-driven programs in startups to observational roles in niche fields like military justice, these experts highlight scenarios where learning trumps labor. 

Emphasizing transparency, structured training, and tangible skill-building, they reveal how to design internships that benefit interns without exploitation, ensuring mutual value in competitive sectors. 

Discover when unpaid internships can ethically bridge education and career growth.

Read on!

Margaret Buj
Principal Recruiter, Mixmax

Unpaid Internships Must Offer Tangible Learning

In tech and SaaS specifically, I believe unpaid internships should be the exception, not the rule – but there are a few niche situations where they can be fair and mutually beneficial.

One example is when an early-stage startup genuinely lacks funding but can offer tangible, structured learning in exchange for the intern’s time. For instance, if the internship provides mentorship, exposure to real-world projects, and measurable deliverables that the intern can showcase later — and the duration is short and clearly defined (e.g., 4–6 weeks) – it can be appropriate.

However, in my 20 years hiring across Europe, LATAM, and the U.S., I’ve seen too many unpaid internships that exploit candidates without giving them meaningful skills or experience.

My rule of thumb: if the company benefits from the intern’s work, the intern should be compensated — but when the primary value flows to the intern’s learning and portfolio-building, a short unpaid placement can make sense.

Belle Florendo
Marketing coordinator, Sunny Glen Children’s Home

Unpaid Internships Work When Education Trumps Labor

An unpaid internship can be appropriate when it is structured as a short-term, skills-focused experience that directly benefits the student rather than the organization.

For example, a social work or child development student might participate in a summer program where they shadow case managers, attend training workshops, and observe family support services without being asked to shoulder essential responsibilities. In this case, the purpose is not to replace staff but to give the intern exposure to real-world practices in a supervised, educational setting.

Fairness comes from transparency and boundaries.

The internship must be clearly presented as a learning opportunity with defined outcomes, limited hours, and mentorship built in.

If the arrangement is designed around the student’s academic growth and offers access to training or professional connections that would otherwise be difficult to obtain, then it can serve as a valuable bridge into the field. Anything beyond that—particularly if the organization relies on the intern for ongoing work—should be paid.

Josh Qian
COO & Co-Founder, LINQ Kitchen formerly BestOnlineCabinets

Learning-Focused Design Internships Create Mutual Benefits

As I see it, an unpaid internship is a good experience if considered an opportunity to learn, rather than work.

If a prospective designer wanted to witness a luxury cabinetry and closet program, a period of unpaid internship could be a positive initiative for both parties.

The intern would receive real experience, hands-on exposure to design software, customers, and project management. At the same time, the firm could mentor and educate candidates without putting them into a position with an obligation of production.

It is a mutually beneficial relationship that emphasizes skill development over direct financial contributions.

Internship goals would include specific learning objectives and direction roles for mentoring.

We aim to avoid turning the internship into a role-filling exercise and instead foster the development of the next generation of professionals in the industry.

By allowing students to work in a framework that is facilitated but flexible, we can help the intern to develop their portfolio work, and the company gets to experience their energy and outlook.

Peter Shogun Trnka
Founder & CEO, Mr. & Mrs. Shogun

Personal Growth Becomes Valid Currency in Fair Internships

Fair internships are those where the experience itself becomes a form of meaningful compensation

At Mr. & Mrs. Shogun, we work in the field of personal growth and conscious living, where people don’t only learn by gathering information—they grow through experience, reflection, and transformation.

That is why an internship with us is not about filling a role cheaply, but about creating space where someone can immerse themselves in this process while contributing to our mission.

Our interns receive full access to our tools, guidance sessions, and the same safe environment we use within our team to explore sensitive issues and personal growth.

This creates a unique exchange: while they support us with their skills, they also benefit from deep, structured learning and a chance to understand themselves on a much more conscious level.

We believe payment comes in many forms. Financial reward is one, but equally valuable is the exchange of energy, presence, and growth.

An unpaid internship can be fair when it is clearly built as a transformative learning experience—one where the intern leaves not only with new skills, but with deeper clarity, self-understanding, and inner resources that will serve them far beyond the time spent with us.

James Shaffer
Managing Director, Insurance Panda

Shadow-Only Roles Define Ethical Unpaid Insurance Internships

Here’s the only case I think unpaid internships are fair in: when the role is explicitly shadow-only, short-term, and framed as education, not labor.

I’ve had college students ask to shadow me for two weeks just to see how the auto insurance quoting business works. They sat in on calls, watched how we build campaigns, and asked blunt questions about commissions, compliance, and lead buying. They didn’t handle client accounts, they didn’t generate billable work. It was exposure, nothing more.

That’s the line. If the intern is producing assets that make the company money, pay them. If they’re literally observing, taking notes, and getting an inside look into an industry most schools never teach, then I see unpaid as acceptable, provided it’s brief, clearly defined, and the value exchange is obvious.

In my shop, the shadow interns left with something tangible: access to raw performance dashboards, a peek at how quote funnels are tested, and time with staff across departments. They weren’t fetching coffee, they were pulling back the curtain on a business model.

Anything beyond that, and “unpaid” becomes exploitation dressed as opportunity.

Mark Hirsch
Co-founder & Personal Injury Attorney, Templer & Hirsch

Law Externships Offer Real Experience Through School Credit

When a law student seeks to earn school credit through an externship program, it may be fair and proper to offer them an unpaid internship.

I’ve helped dozens of these interns over the past 30 years. They’re not doing office work; instead, they’re watching depositions, helping get ready for trial, and watching real talks. Their law schools and the ABA have strict rules about these jobs.

One of my interns went on to work for a top plaintiff’s firm in Miami. He still thanks me for giving him the chance to “see the trenches.” The essential things are being open, teaching others, and not letting paid workers go. It’s not free work; it’s legal schooling.

Always follow the rules set by the federal and state governments about work to stay honest and legal.

Steven Rodemer
Owner & Attorney for Law Office of Rodemer & Kane DUI & Criminal Defense Attorney

Military Justice Internships Offer Unique Value

For law students interested in military justice, an unpaid internship in this setting can be uniquely valuable. Many defense attorneys in Colorado handle cases involving service members facing courts-martial or administrative actions.

An intern can observe these proceedings, learn the differences between civilian and military courts, and study how legal strategy adapts in this environment. The internship’s fairness comes from the rare opportunity to access a niche field that students often cannot see firsthand.

Because military cases involve sensitive issues, these internships remain observational and educational.

Wendy Makinson
HR manager, Joloda Hydraroll

Fair Internships Provide Insight, Not Just Labor

Unpaid internships can be more than fair if the businesses are providing insight and experience into relevant job roles, departments and real-life scenarios for those who have an interest in working within that sector.

Whether they are performing work experience through their high school, a longer internship as part of a university degree or an unpaid work agreement for a career change – if the person gains knowledge and confidence in the area, it is advantageous for them.

When a company is demanding free labour from an intern, and not doing their part of educating, training and enabling them to flourish it – becomes unfair.

Within our specific industry of manufacturing, we see that a fair internship will enable the person to be exposed to multiple processes of the chain – from planning and procurement, engineering and development, marketing and sales, the factory floor and warehouse and logistics.

Their internship is fair if they are provided with the opportunities to experience and learn the full journey and process and leave with an understanding of the whole business.

Michał Bieńko
Recruiter & HR Generalist, Omni Calculator

Internships: A Smart Hiring Funnel

Unpaid internships can only be fair when they work like a boot camp or mentorship program, where interns gain skills directly relevant to today’s job market. In that case, as an intern, you get great value in exchange for your time.

However, the employer has to generously invest in developing skills that an intern can, and most likely will, use in another company. In the short term, that might seem like wasting money. Yet an employer who uses this as a recruiting tool has enormous leverage in finding the most promising performers.

Using an internship for this purpose reveals interns’ learning agility, openness to feedback, and culture fit for the company. With this knowledge, it’s easy to make an excellent long-term hire.

The HR Spotlight team thanks these industry leaders for offering their expertise and experience and sharing these insights.

Do you wish to contribute to the next HR Spotlight article? Or is there an insight or idea you’d like to share with readers across the globe?

Write to us at connect@HRSpotlight.com, and our team will help you share your insights.

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Responsible AI Hiring: Mitigating Major Risks

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Responsible AI Hiring: Mitigating Major Risks

The integration of Artificial Intelligence into the hiring process promises unprecedented gains in efficiency, but it has also introduced a complex new set of challenges. 

While AI tools can help screen thousands of resumes and streamline workflows, a growing chorus of business leaders and HR professionals are sounding the alarm about the serious risks of relying on these systems without critical human oversight. 

From reinforcing historical biases to overlooking exceptional but non-traditional talent, the consequences of unmitigated AI in recruitment can be severe, leading to legal liabilities, a lack of diversity, and a team that lacks true creative and collaborative strength. 

This HR Spotlight article compiles invaluable insights from a diverse panel of experts, revealing the key dangers of AI-driven hiring and offering a strategic blueprint for how organizations can balance technological efficiency with the human judgment, empathy, and oversight necessary to build truly resilient and innovative teams.

Read on!

Andres Bernot
Founder, WOW! Shirts

Hiring Needs Human Touch For Creative Roles

I’ve always thought that originality and a personal touch are important.

AI-driven hiring carries a significant risk of ignoring the individuality and enthusiasm needed for creative positions. Because AI favors efficiency over true innovation, hiring decisions may be made based more on patterns. For instance, AI might overlook applicants who think creatively when searching for designers who can make innovative concepts a reality.

Our hiring procedure retains the human element. To make sure we’re not just filling a position but also adding someone with new, creative ideas to our team, we prioritize in-person interviews and creative portfolio reviews.

Although technology can be useful, people are what truly contribute creativity.

Alec Pow
Founder & Editor, The Pricer

AI-Driven Hiring Risks Societal Biases

In my view, the most concerning consequence of this is the risk of inadvertently reinforcing societal biases and stereotypes. These biases can be encoded into the algorithms if the data used for training the AI is skewed or unrepresentative of the diverse society we live in.

For instance, if an AI model is trained predominantly on successful profiles of male software engineers, it might unwittingly favor male candidates over equally qualified female ones. This could perpetuate gender disparity in the tech industry, a problem we’re actively trying to solve.

At ThePricer, we’re mitigating this risk by cross-checking our AI models with diversity and fairness audits.

This involves running the models against a diverse dataset and comparing outcomes for different demographic groups. If we find any discrepancies, we fine-tune the model to ensure it doesn’t favor one group over another.

An actionable tip for others in the industry would be to involve human oversight in the AI hiring process. Combining AI’s efficiency with a human’s capability for nuanced judgement can help strike a balance between speed and fairness.

Remember, technology is a tool that reflects our intentions. It’s up to us to use it wisely and responsibly, ensuring it promotes diversity rather than stifling it.

Mark
CEO & Co-Founder, Mein Office

The Bias in AI Hiring Is Real

An adverse consequence of AI-driven hiring is the reinforcement of historical biases embedded in training data, leading to unintentional discrimination against qualified candidates based on gender, ethnicity, or age.

This is particularly problematic in industries like tech or ecommerce, where legacy data often reflects past hiring inequities.

To mitigate this risk:

We audit AI models regularly using diverse data sets.

We deploy hybrid models where human oversight supports all critical AI decisions.

Our hiring platforms are configured to anonymize attributes unrelated to job performance (e.g., name, graduation year).

Additionally, our HR team collaborates with DEI consultants to set benchmarks and accountability for fairness. AI should amplify inclusion—not replicate bias—so human validation is essential.

Joe Sagrilla
CEO & Principal Consultant, Faculty- Horizon Business Consulting LLC

Meaningful Predictors Over Correlation

A serious adverse consequence of blind reliance on AI tools for hiring is decisions made on flawed models built from spurious correlations rather than meaningful predictors of job performance.

For instance, a journalist investigation revealed that some AI video interview platforms generated different candidate ratings based solely on superficial factors like wearing glasses or a scarf—demonstrating how AI can mistake irrelevant patterns for valid insights. This results in unreliable and potentially arbitrary hiring outcomes.

To address this, I advise clients to use AI to enhance, not replace, proven human-led processes, ensuring all AI-generated recommendations are explainable and rigorously validated before implementation.

This approach safeguards decision quality and maintains accountability.

Ben Schmidt
Founder & CEO, LoopBot

Needs Competency Verification

AI-driven hiring is headed in the wrong direction.

We’re creating an arms race between AI resume writers and AI scanners, rewarding those who hack the process, not those with true ability.

We need to pivot towards verifying workplace competencies before we hire, even simple things like learning aptitude.

If we don’t, we’ll build teams based on performative marketing, not genuine skill.

At LoopBot, we’re changing this by measuring the skill and learning pace of every individual within an organization, revealing true aptitude and eliminating purely self-promotional preferences and biases.

Julie Ferris-Tillman
Vice President and B2B Tech Practice Lead, Interdependence

Bias Is Created By Humans

Interdependence Public Relations, has decades of experience as a hiring manager in PR and marketing. Her insights are as follows:

AI in applicant tracking systems is improving but still relies on humans to tell them what to search for.

AI-bias is created by the hiring team, not the AI. Too often, a hiring manager feeds recruiting or HR their talent needs and waits for candidates.

Recruiting inputs to the ATS leveraging what they can access, too often that’s old job descriptions or cold, formal materials that leave out the nuance hiring managers haven’t specified.
Collaborative approaches training the AI are essential or it will always be biased toward scoring candidates on outdated descriptions.

Though AI helps review thousands of applications, another bias exists if the recruiting team doesn’t do their own investigation beyond the AI’s top-ranked candidates.

Teams should assemble all applications to assess trending skills and continuously improve how to match their AI’s ability to pair with talented humans’ ways of describing their experience just as much as applicants need to think about matching the AI.

Jon Hill
Chairman & CEO, The Energists

AI Hiring Risks Lawsuits, Reputational Damage

We’ve embraced AI-driven hiring at The Energists, and have experienced first-hand how these tools can improve both the efficiency and the quality of the hiring process. However, we are also mindful of the risks, including the potential for bias, and taking steps to mitigate those concerns is absolutely imperative for anyone planning to make use of AI for recruitment.

The most serious adverse consequence that could stem from AI-driven hiring is the risk of lawsuits or regulatory sanctions, along with the reputational damage these things could cause.

Discrimination against candidates on the basis of race, gender, age, or disability can be just cause for lawsuits, even if that discrimination was unintentional.

In addition to bias concerns, AI tools use sensitive candidate data, which could open you up to transparency and consent concerns under data privacy laws.

Our strategy to mitigate these concerns starts with expert insight. We had our legal team assess our AI system for compliance with labor and data protection laws before putting it to use, and performed the same due diligence with our cybersecurity experts to ensure we are handling candidate data in a secure and responsible way.

Along with this, we maintain full transparency about our use of AI with our clients and candidates. We explain how we use AI in the process to candidates and give them the option to opt out of AI sourcing or screening.

Regular human review of the results delivered by AI tools also helps us verify that they are free from bias and allow us to make corrections as necessary to ensure our hiring process is fair for all candidates.

Renante Hayes
Executive Director, Creloaded

Screening Risks Overlooking Diverse Talent

Having personally reviewed over 3,000 tech resumes in my career, I’ve witnessed the double-edged sword of AI hiring tools.

In the ecommerce development space, AI-driven hiring risks eliminating candidates with non-traditional backgrounds but exceptional creative problem-solving abilities. Last year, we discovered our AI screening tool was systematically filtering out self-taught developers who lacked formal credentials but possessed remarkable real-world coding experience.

At creloaded, we’ve implemented a hybrid approach where AI handles initial screening, but human reviewers evaluate a randomized 25% of rejected applications. This process has helped us discover multiple overlooked talents and continuously refine our AI parameters to recognize diverse expertise patterns rather than just conventional signals.

Hanzel Talorete
Head Coach, Get Smart Series

Hiring Overlooks Innovative, Non-Traditional Talent

Having worked with over 500 professionals on career development, I’ve witnessed firsthand how AI-driven hiring can overlook non-traditional career paths that often bring the most innovative thinking.

In the education technology sector, the most concerning consequence of AI hiring is the potential elimination of candidates with unique problem-solving approaches that don’t fit standardized patterns.

These are often the exact minds that drive breakthrough innovations.

At GetSmart Series, we mitigate this by implementing a two-phase evaluation process. Our AI screening is complemented by human-designed situational assessments that measure creative problem-solving and adaptability – qualities algorithms struggle to detect.

We also regularly audit our hiring outcomes to ensure diverse thinking styles are represented in our team.

The HR Spotlight team thanks these industry leaders for offering their expertise and experience and sharing these insights.

Do you wish to contribute to the next HR Spotlight article? Or is there an insight or idea you’d like to share with readers across the globe?

Write to us at connect@HRSpotlight.com, and our team will help you share your insights.

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