Liberal Talk Radio

Village Voice writer Anya Kamenetz tackles what I’ve long thought has been a much-overlooked issue — how unpaid internships exacerbate societal inequities:

The Bureau of Labor Statistics does not identify interns or track the economic impact of unpaid internships. But we can do a quick-and-dirty calculation: according to Princeton Review’s “Internship Bible,” there were 100,000 internship positions in 2005. Let’s assume that out of those, 50,000 unpaid interns are employed full time for 12 weeks each summer at an average minimum wage of $5.15 an hour. That’s a nearly $124 million yearly contribution to the welfare of corporate America.

In this way, unpaid interns are like illegal immigrants. They create an oversupply of people willing to work for low wages, or in the case of interns, literally nothing. Moreover, a recent survey by Britain’s National Union of Journalists found that an influx of unpaid graduates kept wages down and patched up the gaps left by job cuts.

There may be more subtle effects as well. In an information economy, productivity is based on the best people finding the jobs best suited for their talents, and interns interfere with this cultural capitalism. They fly in the face of meritocracy — you must be rich enough to work without pay to get your foot in the door. And they enhance the power of social connections over ability to match people with desirable careers. A 2004 study of business graduates at a large mid-Atlantic university found that the completion of an internship helped people find jobs faster but didn’t increase their confidence that those jobs were a good fit.

These internships — often in big industries in competitive cities — are in some ways worse than the Ivy League snobbery in the way they reinforce class in our supposedly classless, meritocratic society. Definitely part of the problem.