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VOLUNTEERING AND UNPAID WORK PLACEMENTS AMONG CHILDREN AND YOUNG PEOPLE IN NSW

			COMMITTEE ON CHILDREN AND YOUNG PEOPLE
  

	Cp CPT 4-UNPAID WORK PLACEMENTS - IMPACTS OF UNETHICAL AND UNLAWFUL UNPAID WORK PLACEMENTS

C4	Chapter Four - Unpaid Work Placements

	m	Introduction

	n	The increasing prevalence of unpaid work in the Australian workforce

	o	What constitues legitimate unpaid work?

	p	Impacts of Unethical and Unlawful Unpaid Work Placements on young people and the 
		wider workforce
		THIS PAGE
		1	Committee Comment - Recommendation 7

		2	Committee Comment - Recommendation 8


IMPACTS OF UNETHICAL AND UNLAWFUL UNPAID WORK PLACEMENTS ON YOUNG PEOPLE AND THE WIDER WORKFORCE 

4.11	Interns Australia submitted that unpaid work, when legitimate and lawful, is an 
	effective tool to provide exposure to the workforce and further the education of 
	young people. 

	However, Interns Australia also highlighted the current lack of regulatory or 
	legislative oversight of internships 60 

4.12	Unions NSW considered that unpaid work that does not fit into one of the FWO 
	categories (as outlined in paragraph 4.6 ) can lead to a number of issues, 
	including the reduction of paid entry level positions and exclusion of 
	disadvantaged young people who cannot afford to undertake unpaid work 61

4.13	Interns Australia suggested that the trend towards interns taking on work that 
	would normally be performed by paid employees has led to a reduction in the 
	number of paid entry level positions for young job seekers entering the 
	workforce and has led to increased rates of unemployment or casual 
	employment for young people 62

	In addition, Interns Australia stated that unpaid internships limit access to 
	certain industries to those young people who have the financial support to 
	work full-time without pay 63

4.14	To ensure that unpaid work placements are lawful, Unions NSW recommended 
	that all unpaid work should be covered by a NSW code of practice 64

4.15	Professors Stewart and Owens submitted that while they would hesitate to 
	recommend any legislated code of practice for the private sector, they would 
	advocate for the development of a code of practice for internships and other 
	work placements in the State public sector and in local government as these are 
	the two areas of employment in NSW that are not covered by the Fair Work 
	Act 65

4.16	Professors Stewart and Owens recommended that such a code of practice set out 
	‘best practice’ guidelines for a high quality placement. 

	They also recommended that Interns Australia be included in the process of 
	developing any new code of practice for NSW Government agencies 66 

Committee comment 

4.17	The Committee notes the lack of concrete data about the prevalence of unpaid 
	work in NSW, but notes the anecdotal evidence which indicates that it is 
	increasing, particularly in industries where there is an oversupply of qualified 
	graduates. 

4.18	The Committee notes that legitimate and lawful unpaid work is an effective tool 
	to provide exposure to the workforce and further the education of young people. 

	However, the Committee is also of the view that the increase in unpaid 
	internships has the potential to negatively affect the number of paid entry level 
	jobs for young people, leading to increases in the rates of unemployment and 
	casual employment for young people. 

4.19	The Committee agrees that legitimate unpaid work should fit into one of the 
	three categories defined by the FWO, that it should be beneficial to the person 
	undertaking it, and that it should assist them in gaining paid employment. 

4.20	The Committee also agrees that it is important that unpaid workers and 
	employers agree on the terms of an unpaid work placement from the 
	commencement, so that the expectations of all parties are known. 

4.21	Further, the Committee agrees with contributors that unpaid work has the 
	potential to disadvantage young people who do not have the necessary financial 
	support to be able to undertake lengthy periods of unpaid work and 
	acknowledges the need to address the increasing use of unpaid work by 
	employers. 

4.22	To ensure that unpaid work benefits participants and does not negatively impact 
	on young people and the wider workforce, the Committee recommends that the 
	Commission for Children and Young People (the Commission) works with NSW 
	Industrial Relations, in consultation with key stakeholders, to develop a code of 
	practice for internships and other forms of unpaid work. 

4.23	Moreover, the Committee suggests that Interns Australia be included in the key 
	stakeholders that are consulted in the process of developing the code. 

RECOMMENDATION 7 

The Committee recommends that the Commission for Children and Young People works with 
NSW Industrial Relations, in consultation with key stakeholders, to develop a code of practice 
for internships and other forms of unpaid work. 

Committee comment 

4.24	The Committee is of the view that there is a lack of guidance available to 
	employers and young people about what constitutes legitimate unpaid work and 
	how to structure unpaid work placements to ensure that participants will benefit 
	from the experience. 

4.25	Consequently, the Committee recommends that the Commission works with 
	NSW Industrial Relations, in consultation with key stakeholders, to develop a best 
	practice guide for internships and other forms of unpaid work, and promotes the 
	guide to workplaces and young people. 

4.26	Again, the Committee suggests that Interns Australia be included in the relevant 
	stakeholders that are consulted in the process of developing the guide. 

RECOMMENDATION 8

The Committee recommends that the Commission for Children and Young People works with 
NSW Industrial Relations, in consultation with key stakeholders, to develop a best practice 
guide for internships and other forms of unpaid work, and promotes the guide to workplaces 
and young people


60 Submission 11, Internships Australia, pp. 4-6. 

61 Submission 14, Unions NSW, p. 3. 

62 Submission 12, Interns Australia, pp. 6-7. 

63 Submission 12, Interns Australia, pp. 4-5. 

64 Submission 14, Unions NSW, p. 13. 

65 A Stewart & R Owens, Responses to additional questions, 20 October 2014, p. 5. 

66 A Stewart & R Owens, Responses to additional questions, 20 October 2014, p. 5. 


	q	Review of the prevalence and impacts of unpaid work placements on young people
		1	Committee Comment - Recommendation 9




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