Exploitative or Educational
Re-evaluating the industry’s relationship with internships
A deep dive into the fashion industry’s relationship with internships by Jessica Carroll, Editorial Assistant at Black Neon Digital.
Key takeaways
The proposed Private Members Bill prohibiting unpaid four weeks internships could create loopholes and allow for further exploitation of young creatives.
Chancellor Rishi Sunak’s Kickstart Scheme promises essential experience for young people from low socio-economic backgrounds, but without the promise of work after completion, means it is yet to be seen if it will lead to increased job prospects.
Unpaid internships do not enable the industry to be inclusive. This impacts social mobility, a brand’s business potential and doesn’t allow creativity to flourish.
Unpaid internships aren’t always exploitative. If the company genuinely cannot afford to pay their interns (because they are a small business, not a large corporate without budget) but offer legitimate hands-on experience, creating a true partnership and open up network opportunities, meaningful relationships can still be forged.
Jobs in the creative industries have always been hard to come by and are frequently underpaid. The COVID-19 pandemic has only made things harder; restricted budgets have forced many companies to let go of employees, or cancel upcoming work. However, one thing that has not changed throughout this restructuring is the industry's reliance upon unpaid internships.
With competition for jobs so high, years of industry experience is one-way companies differentiate between applicants’ suitability for a role. Young people are therefore expected to complete multiple - often unpaid - internships to be considered for supposed entry-level positions.
Some believe these internships perpetuate elitism, with those who cannot afford to work for free unable to gain experience. However, others argue internships allow a regular turnover of young people at companies, gaining hands-on experiences in places that might otherwise be inaccessible.
For businesses, especially those who consider themselves sustainable, it can seem impossible to navigate the ethics of internships. What happens when a business can’t afford to pay interns but could offer a genuinely beneficial experience to a young person desperate for industry experience? It’s important that both brands and interns fully understand each other's expectations before their time together.
The laws surrounding unpaid internships
Currently, in the UK, an intern is entitled to be paid the National Minimum Wage if considered a worker or promised future work. However, students completing an internship as part of a course aren’t entitled to pay if they are there for under a year. Similarly, if the company hires someone under the guise of work shadowing (where an intern is only observing and producing no work) the employer isn’t required to pay minimum wage.
An oft-cited argument in favour of unpaid internships is, without payment, interns have to meet fewer requirements and so are given the flexibility to work around studies and other paid jobs. Once an intern is paid for their time, a company will expect some level of control over them - be that when they arrive each day, the quality of the work they produce, or the number of hours they work. Once these regulations are put in place, a blurred line occurs where an intern could argue they are now a worker and require employment rights.
No matter what has been formally agreed by an employer, if the intern can prove they have been doing work of financial benefit to the company, they can contend their employment status. Once considered a worker with employment rights, interns are entitled to, among other things, National Minimum Wage, annual holidays and protection against discrimination. This would also make it harder to ensure an intern leaves when their internship period is over.
Unpaid internships and social mobility
While many industries offer unpaid internships, the creative sector is perhaps hit hardest by the reliance on such positions. This is problematic as it means only those wealthy enough to work for free can gain access. “Internships in the arts have one of the highest levels of social segregation of any sector,” explains Rebecca Montacue, Research and Policy Manager at The Sutton Trust, an organisation tackling social mobility within the UK.
The Sutton Trust’s research found that 32% of interns within the arts sector complete three or more internships, with 86% of these positions not paying the minimum wage. Even more worrying is that many employers hiring interns are unaware of the laws protecting such workers. “Up to 50% [of employers] incorrectly thought a scenario where an intern was being paid under the national minimum wage was legal.”
“32% of interns within the arts sector complete three or more internships, with 86% of these positions not paying the minimum wage.”
This expectation that all young creatives should have low (often unpaid) internships on their CVs creates a narrative where those from lower socio-economic backgrounds feel unable to access the industry. With White British children most likely to live in high-income households, this doesn’t just create a class divide, but also one based on race. “Many young people of colour feel that they won’t be able to start a career in fashion unless they take up unpaid internships,” says Daniel Peters, founder of Fashion Minority Report.
“Many young people of colour feel that they won’t be able to start a career in fashion unless they take up unpaid internships.”
The COVID-19 crisis has only helped to widen this segregation. In July this year, the number of young people claiming Universal Credit more than doubled to around 538,000, compared to the total in March. With these increased financial difficulties, even more young people are unlikely to be able to afford access to internships when these involve working for free.
What is being done?
In February of this year, Alex Cunningham MP, following work by Lord Holmes of Richmond MBE, introduced a Private Members’ Bill into the House of Commons. This Bill would ban unpaid work placements beyond four weeks.
Many were relieved to hear that the exploitation of young people in the workplace was being formally addressed and taken seriously. “There remains significant confusion among employers and interns as to the law as it stands on unpaid internships,” says Rebecca. “To increase clarity, the current law should be tightened to ban unpaid internships over four weeks in length.” It is undeniable that such a Bill would bring publicity and attention to an issue that often goes overlooked. Additionally, a concrete set of legal standards that a company must adhere to would remove any ambiguity that currently surrounds internships.
Despite the positives that might come from this Bill, many within the industry are questioning whether it will, in fact, just encourage further exploitation of young creatives. Four weeks is a long period to be working unpaid, especially when most of these roles are in cities like London, where The Sutton Trust estimates a month-long internship can cost an individual at least £1,100.
Because of this, many are calling for the Bill to be reconsidered, believing it will create a loophole for exploitation to continue. Fashion Workie, a job site which advertises paid internships and other entry-level opportunities, is one such company that is petitioning for the blocking of the Bill. With their ‘No To Four Weeks’ petition, they hope to ensure that other, more meaningful, alternatives are considered. As their site states: “The Unpaid Work Experience Bill needs to be stopped, or changed, to allow a solution that can be devised that is heavily in favour of the experience seekers/interns and not the exploiters of unpaid internships.”
Fashion Workie aren’t the only ones wary that the Bill will allow further exploitation of young people. “Whilst Lord Richmond’s intentions are painted as an opportunity to ‘remove the stain on our society’… this still creates a loophole for businesses to exploit young people across a one-month period,” says Daniel. “If young people are our future, we must do better at valuing their time, minds and work from day one.” Daniel notes how unpaid positions are usually only reserved for charities or non-profit organisations that benefit those less fortunate. Why then, are unpaid intern positions in the creative industries, which serve largely to make companies richer, so commonly considered acceptable?
“If young people are our future, we must do better at valuing their time, minds and work from day one.”
In an attempt to tackle this (and rising unemployment due to COVID-19) Chancellor Rishi Sunak announced in July government plans to fund a £2bn Kickstart Scheme. Aimed at 16 to 24 year-olds on Universal Credit, it will pay companies £1,500 for each young person who completes a six-month placement.
While positive that the government is finally focusing on helping those from disadvantaged backgrounds (Jobcentre staff will identify those most in need of these opportunities to take part) others are worried about what will happen to these individuals once their placement finishes. With no guarantee of a job at the end of the contract, many are raising concerns as to whether the schemes will be used as a means of securing cheap, short-term labour. Only time will tell if the scheme is a genuinely useful way for disadvantaged young people to gain experience in these industries, without being exploited.
Vetements SS16 lookbook
Options for SME's looking to hire interns
Whatever your stance on unpaid internships, it is clear that such hands-on experience is invaluable to young people. Not only do internships allow access to professional networks, they also give an insight into the tasks required to succeed in entry-level positions. They are also incredibly beneficial to the companies themselves, bringing fresh perspectives to the workplace and introducing employers to potential employees.
However, not every company can afford to create internship programmes. Thankfully then, for those that are still keen to be involved, there are schemes that can help make this possible. For example, Santander Bank’s Universities SME Internship Programme works with small and medium-sized enterprises and partner universities to find interns, who are then paid £315 a week – half of which is paid by Santander, and half by the SME.
There is also often location-based funding available to support businesses who are looking to hire interns in certain regions. For example, the Northern Ireland Creative Employment programme offers up to £2500 per paid intern aged 16-24 years old. Similarly, the University of York has just announced a collaboration with XR Stories that will fund 12-week internships for 50 young people with SMEs in the local area.
SMEs often offer some of the best intern experiences for young people. With less staff and more intimate office spaces, interns will likely be entrusted with greater responsibility, and have more meaningful conversations with those in positions of leadership. This is the sort of experience gained at independent brand Madia & Matilda. “I was an intern and saw the benefits of being able to have one-to-one mentoring with a business owner,” explains Shalize Nicholas, Director at the sustainable clothing brand. “Because we are such a small company, interns really have a chance to make a difference.”
As an SME brand, Shalize has found that working closely with universities or colleges enables her to offer the most beneficial experience to her interns. Running a self-funded business, she is currently only able to pay expenses. However, she offers a particularly hands-on experience. Some of her interns have gone on to work within her company, and she stays in touch with many of them, following their careers closely. She hopes to be able to offer payment in the future. “I have been working with the government on providing [financial] support. It's an invaluable experience that can open many doors… with COVID-19 there are going to be so many unemployed, a scheme which provides a bridge gap would be really useful.”
It is clear that thanks to the level of respect offered to interns at Madia & Matilda, a meaningful transaction – one not based on finances - is made possible between the company and its interns. If this experience was no longer to be offered, many young people would miss out on invaluable industry experience. “I know there are some negative connotations to internships, but I believe that is down to the individual internships and if [interns] felt valued in the position.”
“I know there are some negative connotations to internships, but I believe that is down to the individual internships and if [interns] felt valued in the position.”
Interestingly, despite seemingly being able to pay interns for their time, there are many larger companies that still offer very little financial compensation. This can lead to the exploitation of young people. Selfridges, for example, have stopped their internship programme altogether in recent years but were still hiring visual merchandiser interns during the Christmas period as recently as 2017. Despite the job advert asking for, “a possible relevant qualification or equivalent training,” (therefore requesting skilled workers) the role was still unpaid. No longer offering internships, the company declined to offer a comment when approached by Black Neon Digital.
There are, however, many large companies that offer great examples of how internships schemes can be created to benefit both the intern and the company itself. John Lewis, for example, treats interns like full-time employees, giving them a wage and the potential for progression within their company as part of their graduate scheme. Similarly, ASOS offers 12-month opportunities for students, complete with a competitive salary, benefits package, a mentor and regular training sessions.
It’s also important to note that internships aren’t the only way companies can help educate the next generation of talent. Many within the industry are attempting to side-step internships altogether. Isabel Farchy, for example, founded Creative Mentor Network as a way to match underprivileged young people with experienced mentors within the arts sector. She ensures that each mentee receives valuable one-on-one time with experts in the field. “We offer them the opportunity to have a mentor early on in their careers, giving them experience and exposure to the industry. This allows them to focus on their goals, rather than them servicing another company.”
Despite her reticence to advocate for unpaid internships, Isabel makes clear that there are instances when these positions can be successful. In most cases, this is when they are only for very short periods of time. “If it’s for a really short period, like a week, and you’re offering 16-year olds their first exposure to the world of work, then this can be beneficial,” she agrees. These sort of experiences, she says, allow young people (who might not otherwise have access due to the absence of a professional network) an understanding of work culture and professional environments.
Looking to the future
The current employment market for those within the arts sector – be they graduates, interns or experienced creatives – is undeniably worrying. With the creative industry hit hard by the COVID-19 pandemic and a predicted 409,000 jobs at risk this year, employment within the sector has become increasingly unreliable and uncertain.
Perhaps most worrying is that, once again, it will be those from disadvantaged backgrounds who are left worst affected. This will further increase the disparity between the wealthy and the poor and perpetuate the barriers stopping those most disadvantaged from breaking through class and career barriers. “When fewer opportunities are available, it is likely to be those from poorer backgrounds who suffer, as opportunities are kept close to those with resources, contacts and know-how,” agrees Rebecca.
It is, therefore, more important than ever that those businesses who can begin to offer meaningful experiences to young people – from all backgrounds. While the industry awaits government legislation to be formalised (for the protection of both interns and businesses) it is up to those in positions of power to lead the way for new structures to be created. Although there is currently little in the way of financial assistance for companies, through placing education and genuine opportunities for growth at the forefront, it is not only interns that will benefit, but those offering such opportunities will also see their businesses evolve.
Header image via Pinterest
07.09.2020
