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Companies trending toward paid internships, NACE survey finds

February 15, 2018

Companies increasingly pay college students taking part in internships, according to a report from the National Association of Colleges and Employers.

NACE’s Class of 2017 Student Survey found 61% of graduating seniors took part in an internship or co-op experience during their college careers; among that group, 56.7% of the experiences were paid, up from 55.8% in 2016 and 51.3% in 2011, when NACE began tracking compensation status.

Pay for interns is most common in the private sector; paid internships at for-profit companies accounted for nearly 38% of all internships compared with less than 11% at nonprofits.

Whether the trend toward paid internships will continue remains to be seen, according to NACE. In January, the US Department of Labor scrapped its six-part test and issued new guidance around compensation for internships; under the new test, if the intern is determined to be the primary beneficiary of the internship experience, he or she may be unpaid.

The survey was distributed through NACE-member colleges and universities nationwide, and garnered responses from 21,194 college students; the focus of this report is on the responses from 4,213 bachelor’s degree students graduating as part of the class of 2017. Data were collected from Feb. 15 to April 30, 2017.