HAS YOUR SUMMER INTERNSHIP JUST BEEN TAKEN BY SOMEONE WHO ALREADY HAS A JOB?
At Graduate Fog, we’ve seen a lot in the 10 years we’ve been blogging about the UK’s youth jobs market. But this latest twist – ‘furlunteering’ – has really boggled our minds. Apparently, the Covid-19 outbreak has presented an ‘opportunity’ for start-ups to gain unlimited free labour, funded by the taxpayer.
In case you didn’t know, a lot of people are currently ‘furloughed’ by their employer. This means they still have a job, but they have effectively been set aside by their employer, who doesn’t need them during the coronavirus outbreak. Thanks to the Government / Treasury / taxpayer (depending on your viewpoint) these employees keep their jobs and continue to receive 80% of their salary for up to the next three months.
For many furloughed people, being paid four-fifths of their salary to do nothing is a pretty sweet deal. But others aren’t loving twiddling their thumbs, and say it’s boring, weirdly stressful, or both. Plus, there’s a national (international, actually) crisis on, and they want to do something to help.
Enter ‘furlunteering’ – a new concept where furloughed workers can donate their time to a struggling organisation that needs their time and skills.
When this donation is going to a charity – especially a Covid-19 related one – this seems ethically neat. The furloughed worker does something useful and those who depend on the charity benefit. Lovely.
But now it seems that non-charities are getting in on the act – and this is where we think things are getting messy, both ethically and (possibly) legally. A job board called Work in Start Ups has been one of the quickest off the mark, and is busy promoting opportunities to work for free at some of the UK’s most, er, ambitious start-ups. In fact, they are pretty clear that for these organisations, the coronavirus crisis presents an ‘opportunity’. Yes, they actually use that word:
Their job board is stuffed full of roles marked clearly as being only open to applicants who are currently furloughed (i.e. currently being paid by another employer). Needless to say, the roles they are offering are unpaid.
Many of the roles are quite weird and it’s hard to see why anyone would want to do them for free. ‘Video editing for a great cause’ anyone? (No, it’s not a charity). Want to design a logo for a health drink company, for no pay?
To be honest, the whole concept of furlunteering for a non-charity is making our heads spin. Here is our initial round of questions:
- Does anyone know what the law says about an employer’s legal duty to pay the National Minimum Wage to people who are currently furloughed by another employer? Is there some kind of exemption for furloughed workers? From our campaign work on fair internships, we know that in normal times the only employers who are allowed to use unpaid workers are registered charities. Start-ups have to pay their staff, like everyone else.
- Is there a risk that furloughed-worker roles could end up replacing what would otherwise have been paid internships, perfect for young people start their career? This is troubling, as this summer looks likely to be tough enough for those graduating from university.
- Why are taxpayers effectively subsidizing random start-ups, by paying the wages of those working for them, while the start-ups who benefit from their labour pay nothing for it?
- Are these ‘furlunteer’ roles just unpaid internships, re-badged? Surely the only reason someone would do them is for experience, which suggest they are likely to appeal disproportionately to young people. Conveniently for start-ups, many of these young people happen to already be doing the sort of roles that have been furloughed (working in bars, restaurants and non-essential shops), which leaves these employers apparently free to help themselves to young people’s labour, without an obligation to pay for it. And, if this is the case, is there any problem with that, ethically?
NOTE: Top barrister Jolyon Maugham QC – who retweeted this story after publication – appears to share our puzzlement about what’s going on here, tweeting:
The fact you are on furlough from employer A does not excuse employer B from the obligation to pay minimum wage. https://t.co/KseoRfOe6U
– Jo Maugham QC (@JolyonMaugham) April 25, 2020
As we said, this one is dong our head in! If you can provide any clarity or have any ideas, information or views, please share them below…
It seems reminiscent of the peak of the last recession. Put out ads like this and see if anyone is dumb/desperate enough to bite.
Thanks for your comment, Rod. I share your concerns that unscrupulous employers will be tempted take advantage of this situation – and any precarious workers (including the young) will be vulnerable to exploitation.
I have been anticipating the return of unpaid internships (which never went away in some industries, but had definitely declined in acceptability in many industries) – this time re-styled as an opportunity to gain experience and help re-build UK businesses.
Needless to say, all the old arguments that we’ve won – that unpaid internships are unfair, exclude everyone who can’t work for free, bad for diversity and are usually illegal – still stand.
But I fear that in the fog of the post-coronavirus recession that many feel is coming, it will be easier for unscrupulous employers to distort that message and appear to create some kind of exemption for unpaid work, when it’s for people like them! After all, these are ‘unprecedented’ (ARGH!) times…
I’m of an age now where I would not dream of interning or volunteering. I need money. It just shows that you are willing to work for nothing. It’s all about taking advantage of people and getting cheap free labour.
I’m similarly at an age where I would not dream of working for free/volunteering. I agree with ‘straight talker’ that accumulating money is the name of the game. Paid employment allows me to buy food and it keeps a roof over my head. Working for free would devalue my labour. I’m now earning 35k a year and the idea of an unpaid internship is now laughable.
The above is easy to say now but new graduates are in a very vulnerable position. I remember how difficult it was to get taken seriously. After a couple of months, you have a growing gap on the CV and employers become worried. I feel sorry for the graduating class of 2020 who are about to experience everything I experienced.
@Rod
What line of work are you in now?