Showing 5 posts in Employment.
For the past eight years, the U.S. Department of Labor (the "DOL") followed a strict six-part test to determine whether a for-profit employer could use interns without compensating them for the services they provided. Read More ›
Are you aware of the six-part test to determine whether or not a worker can be classified as an unpaid intern? Most interns working at for-profit organizations must be paid at least the minimum wage, plus applicable overtime. To learn more about the risks of unpaid internships, read this technology law blog post.
Like so many start-ups, Michigan fashion designers have, or will, experience that moment when they really, really need a hand but hyperventilate at the thought of paying an employee. You thought an unpaid intern was the answer, until you read Internships – A Teachable Moment. How do you respond when that eager student that still needs a summer internship sends you another email and tempts you with an offer to work without pay? A training wage may be the answer. Read More ›
If you employ anyone or hope to employ someone, be aware of a very bad idea. House Bill 4198, introduced by State Rep. Peter Lucido would, if it became law, effectively ban non-compete agreements between employers and employees in the State of Michigan. Particularly for fashion designers, who lack statutory protection for the overall design of their garments and accessories, a covenant not to compete is a very important provision in the designers’ agreements with their employees.
According to Crain’s Detroit Business (March 23, 2015, p. 25), House Bill 4198 was a reaction to a publicized debate over the use of covenants not to compete by Jimmy John’s Franchise LLC to prohibit their sandwich makers from working for a competitive sandwich shop. I have to wonder whether anyone involved in such a debate, or involved in authoring House Bill 4198, has a working knowledge of current Michigan statute on the topic and the role of our courts in enforcing covenants not to compete. Read More ›
Internships are a beautiful thing. They can provide a student with invaluable experience. If you are working with an intern or you were interested in offering an internship, please read on.
If you need a hand with your work as you are launching your design business, and you thought an intern would be a great way to get free labor, think again. Calling an employee an intern, as a way to cut costs, is a really bad idea and will expose your business to the wrath of the U.S. Department of Labor (“DOL”). Generally speaking, an internship in a “for-profit” private sector business will be viewed as employment unless the relationship meets the following six factors: (1) the internship is similar to training which would be given in an educational environment, even though the intern is involved in the “actual operations” of the employer; (2) the internship experience is for the benefit of the intern; (3) the intern does not displace regular employees, but works under close supervision of existing staff; (4) the employer that provides the training derives no immediate advantage from the activities of the intern and on occasion its operations may actually be impeded; (5) the intern is not necessarily entitled to a job at the conclusion of the internship; and (6) the employer and the intern understand that the intern is not entitled to wages for the time spent in the internship. Read More ›
Categories: Employment, Fashion