THE SENATE |
S.B. NO. |
988 |
THIRTY-FIRST LEGISLATURE, 2021 |
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STATE OF HAWAII |
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A BILL FOR AN ACT
relating to labor.
BE IT
ENACTED BY THE LEGISLATURE OF THE STATE OF HAWAII:
SECTION 1. The legislature finds that upholding labor laws and the minimum wage requirements are of the highest priority in the State. The legislature recognizes that since 2018, the United States Department of Labor has put forth additional guidelines to ensure individuals are not being taken advantage of by companies under the guise of offering unpaid internships. However, these guidelines have not yet been codified in the United States Code Annotated, nor have they been incorporated into the Hawaii Revised Statutes. The legislature further finds that unpaid internships at for-profit companies or institutions must be carefully regulated.
Accordingly, the purpose of this Act is to create clear guidelines for establishing unpaid internships under the Fair Wages Act.
SECTION 2. Chapter 388, Hawaii Revised Statutes, is amended by adding a new section to be appropriately designated and to read as follows:
"§388-
Educational internships; program criteria.
(a) All unpaid internships are prohibited except educational
internships. To be classified as an unpaid
student internship under this chapter, an internship program shall meet the following
criteria:
(1) The training is similar to training provided
in an educational program, regardless of whether it includes actual operation of
the employer's facilities;
(2) The training is for the benefit of the intern;
(3) The student works under close supervision and
does not displace regular employees;
(4) The activities of the student do not provide
an immediate advantage to the employer;
(5) The student is not entitled to a job at the
conclusion of the training period and may take a job elsewhere in the same field;
(6) The student is notified in writing that the
student shall not receive any wages and is not considered an employee for minimum
wage purposes;
(7) Any clinical training is performed under the
supervision and direction of a person who is knowledgeable and experienced in the
activity;
(8) The student does not receive employee benefits;
(9) The training is general and qualifies the student
to work in any similar business; provided that the training shall not be designed
exclusively for a job with the employer who offers the program;
(10) The screening process for the internship program:
(A) Is
not the same as for employment and does not have the appearance of being for that
purpose; and
(B) Only
uses criteria relevant for admission into an independent educational program; and
(11) Advertisements, postings, or solicitations for
the program clearly discuss education or training rather than employment, although
employers may indicate that qualified graduates may be considered for employment.
(b) For the purposes of this section, "student" means any person enrolled at least part-time in a course of instruction leading to a degree, certificate, or diploma at a secondary or post-secondary educational institution, or who is completing residence requirements for a degree. A person shall be deemed to be a student during the time that school is not in session if the person was a student during the preceding semester."
SECTION 3. New statutory material is underscored.
SECTION 4. This Act shall take effect upon its approval.
INTRODUCED BY: |
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Report Title:
Unpaid Internships; Students; Guidelines
Description:
Establishes clear guidelines for unpaid internships under the state wage and hour law.
The summary description
of legislation appearing on this page is for informational purposes only and is
not legislation or evidence of legislative intent.