Paid vs. Unpaid Internships: Legal Rules for Students in the US, UK, France, Canada, and Germany

Sources checked 10 October 2026 · DOL, ACAS, Ontario ESA, Service-Public.fr, MiLoG §22
Written by Christian Chinonso, founder of LearnViaHub
Last updated: 10 October 2026

Is an unpaid internship legal?

Yes, but only under strict conditions that differ by country. In the US, the intern must be the “primary beneficiary” under a seven-factor FLSA test. In France, every internship needs a convention de stage, and internships over 308 hours must be paid at least €4.50/hour (2026 rate). In the UK, most interns are “workers” entitled to National Minimum Wage unless a narrow exemption applies. In Canada, unpaid internships are heavily restricted — generally only school-approved placements qualify. In Germany, mandatory internships are exempt from the minimum wage; voluntary internships over 3 months must be paid €13.90/hour (rising to €14.60 on 1 January 2027).

International students have the same wage rights as domestic students. Immigration rules (CPT/OPT in the US, the 140/280-day allowance in Germany) add separate work limits, but they do not reduce your wage rights. If you are doing real work for an employer’s benefit, you are likely an employee and must be paid.

This page gives you the legal test for each country, the exact thresholds, and the steps to take if your internship looks illegal. For the broader international internship picture, see our internships for international students hub.

Unpaid internship legality by country

Each country uses a different test. The column that matters most is the threshold — the point at which payment becomes legally required, regardless of what the employer calls the role.

Country Legal test Can it be unpaid? Payment threshold Where to complain
US FLSA “primary beneficiary” 7-factor test Only if the intern is the primary beneficiary No fixed threshold — case by case DOL Wage and Hour Division
France Convention de stage required for every internship Yes if ≤ 308 hours / 2 months Over 308 hours or 2 months → gratification at €4.50/hr (2026) DREETS; labour tribunal
UK NMW “worker” test Only if a narrow exemption applies Most interns are workers — NMW applies from day one HMRC; ACAS; employment tribunal
Canada Provincial employment standards Only school-approved placements (varies by province) Province-specific Provincial employment standards branch
Germany MiLoG §22 Mandatory internships yes; voluntary ≤ 3 months yes Voluntary over 3 months → €13.90/hr (2026); €14.60/hr from 1 Jan 2027 Zoll (customs authority)

Sources: DOL Fact Sheet #71; Service-Public.fr; ACAS; Ontario Employment Standards Act; German Minimum Wage Act §22; IHK Hannover.

Which country fits your case?

Match your situation to the closest row. Each country applies its own test, and the same internship can be legal in one and illegal in another.

Your situation Rule that applies Likely outcome
US for-profit company, intern doing routine work that paid staff used to do FLSA — employer is beneficiary Must be paid minimum wage and overtime
France, stage of 400 hours with no convention de stage Education Code — convention required regardless of length Illegal placement; both parties exposed to penalties
UK intern with set hours, deliverables, and a supervisor NMW “worker” test Worker status — NMW applies
Canada, unpaid internship not required by any academic program Provincial ESA Almost certainly illegal; minimum wage owed
Germany, voluntary internship over 3 months MiLoG §22 Minimum wage applies for the entire duration, not just after 3 months

United States — the FLSA primary beneficiary test

In the US, the Fair Labor Standards Act (FLSA) requires employees to be paid at least minimum wage and overtime. Unpaid internships in the for-profit private sector are permitted only if the intern is the “primary beneficiary” of the relationship, not the employer. The US Department of Labor applies a seven-factor test. No single factor is decisive — the test is applied case by case.

# Factor What it means in practice
1 No expectation of compensation Both sides clearly understand the internship is unpaid
2 Training similar to an educational environment Structured teaching, not just task completion
3 Tied to formal education via coursework or academic credit The internship is not standalone work experience
4 Accommodates the academic calendar The schedule fits around classes and exams
5 Limited to the period of beneficial learning Ends when the learning does, not extended indefinitely
6 Work complements, not displaces, paid employees No routine duties that a paid employee would otherwise do
7 No entitlement to a paid job afterwards No “prove yourself and we’ll hire you” arrangement

If most factors point to the employer benefiting more than the intern, the intern is likely an employee under the FLSA and must be paid at least minimum wage and overtime. Public sector and non-profit organisations follow different rules, though unpaid roles there must still serve a charitable or educational purpose.

CPT and unpaid internships: unpaid does not mean unauthorized. F-1 students doing an unpaid internship still need CPT authorization, because US work authorization rules apply to work performed in exchange for experience as well as pay. See our CPT vs OPT guide for the full rules, including the 12-month full-time CPT rule that eliminates OPT eligibility.

Full walkthrough: CPT vs OPT for F-1 students · Remote internships guide

France — convention de stage and the gratification threshold

In France, an internship without a convention de stage is illegal. The convention is a tripartite agreement signed by the student, the educational institution, and the host organisation. This requirement applies to every internship, whatever its length. There is no exemption for short placements. If the employer cannot provide a convention, the placement is not legally a stage, and both the student and the employer face penalties.

Internship duration Convention de stage Gratification
Any length Required Depends on duration
≤ 308 hours (or ≤ 2 months / 44 days at 7 hrs) Required Not mandatory, but permitted
Over 308 hours or 2 months Required Mandatory at €4.50/hr (2026)
Maximum: 6 months or 924 hours Required Gratification applies

How the threshold is counted: the 308 hours (or 44 full days at 7 hours) are counted cumulatively within the same school year at the same host, even if the days are non-consecutive. Splitting a long internship into shorter blocks does not avoid the gratification requirement. The rate is set at 15% of the hourly social security ceiling (€30 in 2026), which produces €4.50/hour. For a full-time intern on the legal 35-hour week, that works out to roughly €680–€700 per month before deductions.

2026 rate: €4.50/hour. 2025 rate: €4.35/hour. The rate updates annually — always confirm the current figure on service-public.fr before signing.

Full walkthrough: France internship visa and convention de stage

United Kingdom — minimum wage rules for interns

In the UK, the National Minimum Wage (NMW) applies to anyone classified as a “worker”. Most interns are workers if there is a contract (written or implied), they are required to attend, and they are doing work for the employer. When that is the case, they must be paid at least the NMW for their age band. The burden is on the employer to prove an exemption applies — not on the intern to prove they deserve pay.

Exemption category What qualifies
Student placement (higher or further education) Placement required by the course, up to 1 year
Work experience arranged by a school Under-16 students on school-organised placements
Voluntary workers For charities, voluntary organisations, or associated fund-raising bodies
Shadowing Observation only — the person performs no work

If none of these applies, NMW must be paid. This is true for remote internships too: a UK-based intern doing remote work for a foreign employer still counts against the term-time hour cap and is still entitled to NMW if the worker test is met.

Full walkthrough: UK internship visa, Graduate Route, and GAE

Canada — when unpaid internships are legal

Canada has some of the strictest rules on unpaid internships. The default assumption under provincial employment standards is that if you perform work for an employer’s benefit and are under their direction, you are an employee entitled to at least minimum wage. Unpaid internships are permitted only within narrow statutory exceptions, and those exceptions vary by province.

Scenario Unpaid allowed? Why
School-approved co-op placement Yes (in some provinces) Required by an accredited program and approved in writing by the institution
Professional trainee exemption Yes (for regulated professions) Applies to specific training placements in law, architecture, engineering, medicine, etc.
Unpaid internship not tied to a program Almost never Employer is presumed to benefit — minimum wage owed
Employer calls it an “internship” but treats you as staff No Misclassification — employee status applies regardless of the label

Paid co-op vs unpaid internship in Canada: co-op programs are structured, credit-bearing work terms that are formally approved by the school. They usually require payment because they are treated as employment under provincial standards. An “unpaid internship” outside a formal co-op structure is generally treated as employment and must be paid.

Full walkthrough: Canada internship work permit, co-op, and PGWP

Germany — minimum wage and the 3-month rule

Germany’s Minimum Wage Act (Mindestlohngesetz — MiLoG) applies different rules depending on whether the internship is mandatory or voluntary, and — for voluntary internships — how long it lasts.

Internship type Minimum wage Notes
Mandatory (Pflichtpraktikum) Exempt Regardless of duration — required by a study or training regulation
Voluntary study-accompanying, ≤ 3 months Exempt from minimum wage An “appropriate” allowance under the Vocational Training Act may apply
Voluntary, over 3 months €13.90/hr (2026) Applies for the entire duration, not just beyond 3 months

If a voluntary internship starts as 3 months and is extended beyond that without switching to a paid contract, the employer owes minimum wage retroactively for the whole period. In practice this means employers rarely run voluntary internships much past 3 months without converting them into a paid arrangement.

2027 rate: the minimum wage rises to €14.60/hour on 1 January 2027. The 2025 rate was €12.82/hour. The €13.90 figure is confirmed by the Federal Ministry of Labour and Social Affairs via IHK Hannover (6 November 2025).

Full walkthrough: Germany internship visa and work rules

What a written internship agreement should contain

Every legitimate internship — paid or unpaid — should be backed by a written agreement. In France, this is legally required (the convention de stage). In other countries, it is your strongest protection if the arrangement later turns out to be illegal unpaid labour.

Element Why it matters
Internship dates and total duration Determines whether the gratification or minimum wage threshold is crossed
Weekly hours and schedule Needed for hour-threshold rules (UK 20-hr cap, France 308 hrs, Germany 3 months)
Compensation or explicit unpaid status Ambiguity here is a red flag; clarity protects both sides
Learning objectives and deliverables Shows whether the intern is the primary beneficiary in the US test
Supervisor name and role Distinguishes a real training placement from unauthorised labour
Academic credit arrangements (if any) Required for Canada co-op exemptions and the US FLSA test

Red flags — how to spot an illegal unpaid internship

Unpaid internships can be legitimate, but employers frequently misuse them. These are the signals that an “unpaid internship” is really illegal unpaid labour.

•
You are doing the same work as paid employees but without pay — replacement, not shadowing.
•
No educational component — no training plan, no assigned supervisor, no academic credit, no learning objectives.
•
Not connected to your university or college — in France and Canada this alone makes the placement illegal.
•
The arrangement runs full-time for months with no end date. “We’ll extend if you’re doing well” is a warning, not a reward.
•
You are promised a paid job only after you “prove yourself” during unpaid work — often a mechanism to extract free labour.
•
The employer cannot provide a written agreement or refuses to outline responsibilities and training.
•
You are asked to sign a waiver of wage rights — such waivers are generally unenforceable when you are legally an employee.

What to do if your internship looks illegal

If you think you are doing unpaid work that should legally be paid, or you are being paid less than the threshold in your country, follow this sequence.

Step What to do
1. Document Save emails, messages, the internship agreement, timesheets, and any work produced. Note dates, hours, and tasks.
2. Check the law Use the tests above to evaluate whether the employer is likely violating wage laws.
3. Talk to your university Career services and the international student office can advise on legitimacy and may intervene.
4. Contact a labour body US DOL Wage and Hour Division (complaints); UK ACAS (free advice); Canadian provincial employment standards branches; France DREETS; German Zoll (customs authority enforces minimum wage).
5. Stay professional If you are still working there, seek external advice before making a formal complaint or confronting the employer alone.

Frequently asked questions

Can an unpaid internship be legal?
Yes, but only under strict conditions. In most countries, the internship must be primarily educational, tied to an academic program, and not replace paid employees. Always check the specific legal test for your country.
What is the US primary beneficiary test?
A seven-factor test used by the US Department of Labor to determine whether the intern or the employer is the primary beneficiary of an unpaid internship. If the employer benefits more, the intern must be paid at least minimum wage and overtime.
Do unpaid internships in France require a convention de stage?
Yes. Every internship in France requires a written convention de stage signed by the student, the educational institution, and the employer — regardless of length or whether the role is paid. Without it, the internship is illegal.
Can CPT be unpaid in the US?
Yes, but unpaid does not mean unauthorized. F-1 students doing an unpaid internship still need CPT authorization before starting, because US work authorization rules apply to work performed for experience as well as for pay. Also note that 12 months of full-time CPT eliminates OPT eligibility, while part-time CPT does not.
Are unpaid internships legal in Canada?
Unpaid internships are heavily restricted. They are generally legal only if part of an academic program with school approval, and the intern must be the primary beneficiary. Otherwise, the intern is likely an employee entitled to pay. The rules vary by province.
Paid co-op vs unpaid internship in Canada — what’s the difference?
Co-op programs are structured, credit-bearing work terms that are formally approved by the school. They usually require payment because they are treated as employment under provincial standards. An “unpaid internship” outside a formal co-op structure is generally treated as employment and must be paid.
When must a German voluntary internship be paid?
A voluntary internship in Germany lasting more than 3 months must be paid at least the statutory minimum wage, which is €13.90 per hour as of 1 January 2026. The rate rises to €14.60 per hour on 1 January 2027. Mandatory internships are exempt regardless of duration.
How long can an unpaid internship last in France?
A stage can run up to 6 months or 924 hours, whichever comes first. Gratification becomes mandatory once the internship exceeds 308 hours or 2 months (44 full days of 7 hours), counted cumulatively within the same school year at the same host — even if the days are non-consecutive.

Sources

Disclaimer: Labour and employment laws are complex, vary by jurisdiction, and change frequently. Every figure in this guide was checked against the sources listed above on 10 October 2026. This article is not legal advice. Always consult a qualified employment lawyer or your university’s legal services if you believe your rights have been violated. LearnViaHub is an independent educational site and is not affiliated with the DOL, ACAS, Service-Public.fr, or any government agency.


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