Need of Internship Act: An Amendment to Labor Laws

Introduction:

The Article is about problems interns face in the absence of legislation; and how organizations, most of them unregistered start-ups, are taking undue advantage out of it.

If you’re curious to know how important an internship plays, simply click on the Google search bar. Your professional career doesn’t end with a degree in your name; rather practical application of it is a must. No doubt that in today’s competitive environment an internship can give a boost to your career. It’s not like a cherry on top of a cake but more like a freshly whipped cream frosting. The internship experience is for the benefit of the intern. Internships can help to earn credits and gain experience that will enhance your resume to get a good job. Most of the colleges and universities require internships for graduation. There is an increase in the percentage of college students who complete their internship, most of which are unpaid internships. Not all students can afford unpaid internships, especially when they have the burden of academic expenses.                                                  

Today’s internship is not all about knowing the practicality but an essential requirement before getting your degree. In countries like India, where the distribution of income is still a debatable issue & requires concern, students pay high amounts of fees in circumstances against taking an educational loan; so they require an internship to reduce this particular liability. This leads to an environment where students face exploitation in the name of the internships. Therefore, we need an Act for its regulation & enforcement of rights & duties.

Due to a lack of any regulation regarding this subject, students are facing problems; like an internship that only pay to get you a cutting chai. Most of them are in metro cities & interns can’t even cover the traveling expenses. They are spending more to do a free work against the Apprenticeship Act; where there is fix stipend following different classes of work and months. No Act covers any intern; though there is no direct nexus to Apprenticeship Act, yet it covers a student of engineering, vocational studies & registered medical practitioner in the Act.

The Industrial Employment (standing orders) Act, 1946 defines the conditions of recruitment, discharge, disciplinary action, holidays, leaves, etc. applicable to every industrial establishment; wherein 100 or more workmen are employ or were employ on any day during the preceding twelve months, including an apprentice, but not an intern. The Minimum Wages Act 1948 does not cover interns therefore aren’t entitled to get minimum wages. Also, in the absence of legislation, no fixed working hours are taking the reference of The Factories Act 1948. It were 9 hours per day/48  hours a week &  The Apprenticeship Act, 1961; where not more than 42 hours in a week is fixed.

Social media is full of memes of how rare it is to get you a paid internship. Job portals are full of options where you get an unpaid internship for one to six months with a working hour requirement of 900 hours for 3 months & 1800 hours for 6 months internship that is inappropriate. Yes, an intern is not a labor define under labor laws, not a trainee or an apprentice define under respective law but that does not mean that they are open to exploitation. In the case of non-profit-organization getting no stipend is alright. But the organization for profit should be compell to pay a reasonable amount.  They are hiring an intern to do work for an employee & against which they pay you nothing more than a cutting chai. An intern is not an employee. Therefore they are not obliged to discharge any duty of an employer.

In the offer letter, they specifically mention that there is no relationship as employee and employer; between the organization and intern. No other relationship they specify; but they bind an intern in the name of contract by signing an offer letter. Most of the unregistered start-up companies in metro cities are only hiring interns. They provide a certificate & stipend only after its completion that is around Rs. 3000.

I do not forget to mention 3000 per month or for the complete duration. This is what they do these start-ups in there offer letter only mention the amount. But in most of the cases, students couldn’t complete their internship. Due to how they treated them therefore after working for two months minimum. As in that offer letter they bind you with a clause that you could not leave the organization; before two months so at the end you get nothing against your work. This is how smartly they exploit in lack of law & regulating authority. In case you are going for a part-time internship for say 6 months; you are required to work for 1.5 years to complete the require hours. Is it not a curse to students? Also in the event of an accident, an intern has no right to be compensated.

These start-ups protect their unlawful conduct by taking the shield of an offer letter & organization policies on the other hand interns fail to protect themselves in the absence of governing laws. Are we as a country with a growing economy & policies like start-up India and make in India open to interns exploitation.

We need to formulate guidelines determining basic principles with which the criteria will be set that whether the intern is an employee or not. And in a case where the intern is likely classified as an employee, the employer under labor laws will require wages to be paid; and will impose various restrictions on the employment. In case the intern doesn’t fall under the classification of an employee proper law is applicable to them for the protection of their interest. Organization policies cannot determine the rights and duties of an intern. There is a need to form norms for such organizational policies. So, there will be a bar on unfair policies & practices.

An Amendment in Employment Act is required where the Act shall cover every employee who is engaged under a contract of services, including an intern. This will obligate employers to accord statutory benefits prescribed under the Act with provisions to it. So, in The Employment Exchanges (Compulsory Notification of Vacancies) Act, 1956 provides for compulsory notification of vacancies and submission of employment returns by the employer to the employment exchange’s that covers any person who is employed in an establishment to do any work for remuneration. On the other hand, education institutions shall adhere to guidelines regarding student evaluation of internship programs, working environment, and approach to provide feedback & seek guidance.

An Act made will promote goodness. The person can be held responsible & employers become aware of the laws, they begin to be conscious of their actions. Currently, the enforcement of rights & duties depends on organizational policies but an Act will make it a mutually beneficial agreement. It restricts the practice of many companies that offer unpaid internship practices unfair means to utilize the skill-full energy of students without spending anything and unpaid internships that provide an immediate advantage to the employer will also be prohibited as among other countries where it’s illegal.

Today when most of the interns are afraid to stand up against workplace harassment for the fear of ruining their career as these organizations, Mostly unregistered start-ups threaten the interns that they will complain against them to various job portals and college placement cells, Sending mail by HR and their other recruited intern’s that results in a negative impact on mental health and adverse impact on academics of students an Act will protect them.

India needs to build an environment where interns have rights and will not face any problems due to a lack of regulations like I faced.