The Government has targeted unpaid internships in its latest shake-up of modern employment practices.
It warned companies that it will put an end to “exploitative” internships and set up enforcement teams to tackle repeat offenders.
According to the Guardian, HM Revenue & Customs is likely to target sectors such as the media, performing arts, law and accountancy firms.
Interns working as though they are an employee of the firm should be earning at least the National Minimum Wage (NMW), according to the tax office.
The NMW – sometimes referred to as the national living wage – for workers over the age of 25 is currently £7.50, but is due to be raised to £7.83 in April this year.
Recent figures, published by charity Sutton Trust, suggest that as many as 40 per cent of the 70,000 internships undertaken annually are unpaid.
Business minister Andrew Griffiths said: “Employing unpaid interns as workers to avoid paying the National Minimum Wage is against the law and exploitative.
“No-one should feel like they have to work for free to get the skills and experience they need to get ahead.
“That’s why over the last three months Government enforcement teams have been targeting employers advertising for unpaid interns, reminding them of the law and the consequences of breaking it.”
The reforms come in light of the Matthew Taylor Review of modern working practices.
