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

			COMMITTEE ON CHILDREN AND YOUNG PEOPLE
  

	Cs CPT 5-SUPPORTING BENEFICIAL UNPAID WORK PLACEMENTS - MEASURES TO SUPPORT

C5	Chapter Five - Supporting Legitimate, Safe and Beneficial Unpaid Work Placements

	r	Introduction

	s	Measures to support legitimate, safe and beneficial unpaid work
	THIS PAGE
		1	Committee Comment - Recommendation 10
		2	Committee Comment - Recommendation 11
		3	Committee Comment - Recommendation 12

MEASURES TO SUPPORT LEGITIMATE, SAFE AND BENEFICIAL UNPAID WORK 

5.2	The Committee heard evidence from inquiry contributors about the increasing 
	prevalence of the internship broker sector in the Australian job market. 

5.3	The Fair Work Ombudsman’s (FWO) report, Experience or Exploitation: The 
	nature, prevalence and regulation of unpaid work experience, internships and trial 
	periods in Australia states that the internship broker sector is increasing in size
	in Australia: 

		It is apparent that a number of agencies are now operating in Australia 
		to ‘broker’ unpaid internships or job placements. 

		Besides the agencies that are responsible for delivering the kind of assistance
		to unemployed or injured workers … these include firms that are in business to
		‘sell’ work experience 70 
		

5.4	According to the Australian Internship Industry Association, which represents a 
	number of internship brokers, organisations of this type have an important role 
	to play, acting as ‘intermediaries’ between interns and businesses: 

		By mediating between hosts and interns, providers offer a level of control, 
		in terms of quality, safety and standards of practice, that individual 
		interns negotiating their own placement direct with a host may not receive. 

		Although both providers and hosts are businesses, and as such need to operate 
		as profitable enterprises (charity organisations who host being the exception) 
		the provision of internships is driven by much more than profit. 

		Internships are an important contribution to an individual’s learning (as 
		recognised by the increasing emphasis Universities are placing on experiential
		learning as partof a qualification). 

		International internships are an important contribution to global awareness at 
		both an individual and corporate level 71
	
5.5	Unions NSW, however, submitted that internship broker firms usually provide 
	their services at little to no cost to employers, instead charging prospective 
	interns fees of up to $2000. 

	Unions NSW submitted that these services should not be conducted at a cost to 
	interns, as they are already undertaking unpaid work 72

5.6	Interns Australia submitted that some internship brokers particularly target 
	people from overseas, and in some cases charge fees of up to $2175, not 
	including meals, accommodation or insurance 73

5.7	Professor Andrew Stewart and Professor Rosemary Owens (authors of the FWO 
	report) submitted that, at present, there is no exception under NSW legislation 
	for vocational placements. 

	This means that if a NSW Government agency or local council takes on an unpaid 
	student or trainee as part of an authorised education or training course, they 
	do not have the same protection that a non-government business or organisation 
	would have against a claim that the arrangement is one of employment. 

	This may leave Government agencies and local government councils open to claims 
	that such placements are employment arrangements and should therefore be 
	remunerated 74

5.8	Professors Stewart and Owens suggested that the NSW Government considers 
	amending the Industrial Relations Act 1996 to provide an exception for vocational 
	placements, as per the Fair Work Act 2009 (Fair Work Act). 

	They did, however, acknowledge the shortcomings of the present exception in the 
	Fair Work Act: 

		In raising this possibility, we recognise that the present federal exception 
		is not as well-drafted as it might be, and that calls have been made both to 
		broaden and narrow its scope ... 

		But in the interests of comity, it would make sense to use the elements of the 
		present federal exception, if not its precise wording, as a template for any 
		State equivalent 75 
		
5.9	The Committee also heard evidence from Professors Stewart and Owens and 
	Interns Australia about the need to educate young people about their rights in 
	the workplace. 

5.10	Professors Stewart and Owens submitted that it is important that young people 
	and employers both have access to clear information about workplace rights and 
	responsibilities. 

	They suggested that a simple ‘do’s and don’ts’ guide for unpaid work placements 
	be developed, which could be adopted and disseminated to Government and non-government
	organisations. 

	Professors Stewart and Owens also advocated the use of a wide range of media to connect 
	with young people, including social networking platforms 76

5.11	Interns Australia submitted that young workers could be educated on their rights 
	in the workplace through programs conducted through educational institutions, 
	measures to increase awareness of the support networks that are available to 
	them, and the provision of legal assistance and advice for negotiating placements 
	with employers 77

Committee Comment 

5.12	The Committee notes the evidence describing internship brokers as an important 
	intermediary between organisations and interns. 

	However, the Committee is concerned by the apparent lack of regulation of the 
	internship broker sector. 

5.13	For this reason, the Committee recommends that the Commission works with 
	NSW Industrial Relations, in consultation with key stakeholders, to conduct a 
	review of the regulations that apply to the internship broker sector, to inform the 
	development of clear guidelines for the sector. 

RECOMMENDATION 10 

The Committee recommends that the Commission for Children and Young People works with 
NSW Industrial Relations, in consultation with key stakeholders, to conduct a review of the 
regulations that apply to the internship broker sector, to inform the development of clear 
guidelines for the sector. 

Committee Comment 

5.14	The Committee acknowledges the current lack of an exception for vocational 
	work placements in NSW industrial relations legislation, which may leave NSW 
	Government agencies and the local government sector open to claims that such 
	placements are remunerable employment arrangements. 

5.15	The Committee therefore recommends that the Commission works with NSW 
	Industrial Relations, in consultation with key stakeholders, to develop an 
	amendment to the Industrial Relations Act 1996 to include an exception for 
	vocational placements. 

RECOMMENDATION 11

The Committee recommends that the Commission for Children and Young People works with 
NSW Industrial Relations, in consultation with key stakeholders, to develop an amendment to 
the Industrial Relations Act 1996 to include an exception for vocational placements. 

Committee Comment 

5.16	The Committee notes that many young people are not aware of their rights in the 
	workplace and that this makes them more vulnerable to exploitation by 
	employers. 

5.17	For this reason, the Committee recommends that the Commission, in conjunction 
	with NSW Industrial Relations and other key stakeholders, develops a campaign 
	aimed at educating young people about their rights in the workplace. 

RECOMMENDATION 12 

The Committee recommends that the Commission for Children and Young People, in 
conjunction with NSW Industrial Relations and other key stakeholders, develops a campaign 
aimed at educating young people about their rights in the workplace. 



70 A Stewart & R Owens, 2013, Experience or Exploitation: The nature, prevalence and regulation of unpaid work 
experience, internships and trial periods in Australia – Report for the Fair Work Ombudsman, p. 61. 

71 A Stewart & R Owens, 2013, Experience or Exploitation: The nature, prevalence and regulation of unpaid work 
experience, internships and trial periods in Australia – Report for the Fair Work Ombudsman, p. 62. 

72 Unions NSW, Response to additional questions, 18 September 2014, questions 2 and 3, p. 1. 

73 Interns Australia, Response to additional questions, 23 September 2014, question 2, p. 3. 

74 A Stewart & R Owens, Responses to additional questions, 20 October 2014, p. 6. 

75 A Stewart & R Owens, Responses to additional questions, 20 October 2014, p. 6. 

76 A Stewart & R Owens, Responses to additional questions, 20 October 2014, p. 7. 

77 Interns Australia and Youth Action, Responses to additional questions, 23 September 2014, question 4, p. 2. 

	t	The role of the commission for children and young people and the office of the 
		Children’s Guardian in supporting and promoting best practice in relation to unpaid work
		1	Committee Comment




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