There is no shortage of sensational headlines in the public sphere about the growing youth unemployment and labor market problems – lack of motivation or too high expectations for working conditions. However, a systemic gap that affects the beginning of a professional path is often ignored – unpaid internships. Today, they are becoming the norm that many students cannot afford.
The real price of internships
According to the European Youth Forum, an average six-month unpaid internship can cost about 6,169 euros. This amount includes basic living expenses – housing, food, transportation. Another 7,218 euros – this is the average income lost over six months by choosing unpaid internships instead of paid work. This also means lost state budget revenue, since taxes are not paid on these amounts.
The data also show clear social inequality: young people from wealthy families are eight times more likely to indicate the possibility of “buying” unpaid internships compared to young people from poor families. Young people who do unpaid internships are at higher risk of not receiving public social assistance because they are less likely to meet the requirements for social security.
Around a third of young people have to combine paid work with unpaid internships. There is concern that this is detrimental to their health and well-being due to excessive working hours. Students feel burned out and exploited, which has a negative impact on their psychological well-being.
It affects not only young people
Research reveals that unpaid internships are usually “paid” for by the interns’ parents, friends or the students themselves from their savings. When a student is unable to work full-time due to intensive internships, daily expenses often have to be covered by relatives. In this way, unpaid internships become a financial burden for the entire family, especially painfully affecting lower-income households and further increasing social exclusion.
In addition, more and more people in Lithuania retrain when they are 30 years old or older. They often have large financial obligations – families, loans, child support costs. In such cases, mandatory unpaid internships become a barrier to adapting to changes in the labor market for both young and older people.
What is Europe doing?
In many European countries, the internship system is addressed in a more complex way. There are legal mechanisms designed to protect interns from exploitation.
For example, in France, interns are prohibited from performing regular employee functions, and internships lasting more than two months must be paid. In Romania, unpaid internships are generally prohibited, and interns are guaranteed social guarantees.
Will the upcoming changes in the Seimas solve the problem?
Tomorrow (May 9th), the Seimas will consider an amendment to the Labor Code, proposing to legalize a student internship employment contract, providing for a salary not lower than the minimum wage. This could be the first step towards a more transparent system, but the Lithuanian Students’ Union emphasizes that a new contract form alone will not be enough. In the eyes of the Lithuanian Students’ Union, a broader and systemic approach to this issue is needed. In further discussions, it is necessary to clearly establish:
- quality standards for internships;
- compensation mechanisms;
- real protection of students from exploitation.
The Lithuanian National Union of Students continues to push for student internships to be paid
The Union is analyzing the issues with student representatives from various higher education institutions and preparing specific proposals to address the above challenges. The proposals will be submitted to interested parties, initiating discussions on their implementation on a national scale.
