Calls for stricter government action against the unlawful use of unpaid internships are growing, particularly in light of the ongoing cost of living crisis. Recent research has uncovered that some employers, including three featured in the Social Mobility Employer Index, are still offering unpaid internships. This revelation is surprising, as the Index is designed to assess how employers promote social mobility, raising concerns about the widespread prevalence of this practice across the UK.
“The employers represented in this year’s Index recognize that the workplace is as important as the classroom for improving social mobility,” the researchers explain. “They are doubling down and are rightly continuing to prioritize social mobility as an investment in the talent of the future.”
Unpaid internships
Although national data on unpaid internships is limited, a study from 2018 estimated that approximately 100,000 interns were working in Britain, with 58,000 of them receiving no pay. The Foundation argues that all employers should provide interns with at least the National Living Wage.
In addition to the Index findings, a survey of 1,000 young individuals from lower socioeconomic backgrounds revealed that over half (56%) believe that paying interns would enable them to access opportunities outside of their home region, thus creating a fairer professional job market.
“We urge those sectors who are least represented such as, Technology, the Creative Industries and Engineering to start taking action,” the researchers conclude. “The SMF stands ready to support employers of all sizes in their social mobility journey.”
Social mobility, or the absence of it, is not solely a concern for society; it also significantly impacts businesses and the economy. When opportunities become limited, labor markets constrict, and workforces become less diverse.
We’ve directly experienced the advantages of enhancing workforce diversity and are dedicated to further progress in this regard. The increasing number of employers participating in the index is encouraging, as it offers an opportunity for mutual learning and improvement.