When is an intern considered an employee under the Fair Labor Standards Act? In case you haven't heard, the answer to this question recently changed. In January 2018, the Department of Labor clarified that going forward, a "primary beneficiary" test will be used to determine whether interns are employees under the FLSA.
If you don't think this is significant, think again. The FLSA's minimum wage and overtime pay requirements apply to employees, not interns. "For profit" employers are not required by the FLSA to compensate interns for their work. Not surprisingly, some employers have tried to exploit unpaid interns by accepting free labor without providing an appreciable benefit in education or experience.