GNYADA May 2018 Newsletter

7 NY Rules for Interns

8 Hiring Minors

The U.S. Department of Labor (DOL) has changed its test to determine whether workers are interns or employees to be more favorable to employers. New York has its own standards that are, stricter than the federal standard. To be a valid internship under NY law, make sure: 1. The internship is similar to training that would be given in an educational environment. 2. The internship experience is for the benefit of the intern (such as earning school credit). 3. The intern does not displace regular employees and works under supervision, beyond ordinary staff supervision. 4. The employer that provides the training derives no immediate advantage from the activities of the intern. 5. The intern is not necessarily entitled to a job at the conclusion of the internship. An internship should run for a fixed, preset period; if it is treated as a trial period that will lead to employment, the intern will likely be considered an employee. 6. The intern is notified in writing, before the internship starts, that they are not entitled to wages. 7. Anyone supervising or directing an intern’s hands-on work must have sufficient industry experience and knowledge. 8. The intern does not receive employee benefits. 9. The training is general and gives the intern skills that are transferable to any similar employer in the field. 10. The intern screening program is not the same as that for new employees; it only uses criteria relevant to an independent educational program. 11. Any advertisements, positions, or solicitations clearly discuss education or training. A dealership that satisfies all of these factors with their unpaid interns is likely to be compliant. Partnering with schools, colleges, or programs where the intern receives course credit and works with a professional mentor, is also likely to satisfy the exemption requirements. n Put the terms of the internship in writing. n Do not guarantee that the intern will transition to a job. n Teach skills that are broader than on-the-job training that new employees receive. n Supervise the intern to ensure they are learning new skills. n Ensure the internship provides more educational benefit to the intern than it provides service to the dealership. How to avoid violations:

Federal and State Department of Labor guidelines: Individuals under 14 cannot work at a dealership; those under 18 must have working papers and are subject to the following hours restrictions:

Minors cannot perform certain tasks at a dealership, such as handling hazardous materials, operating certain power- driven machinery (like a hoisting apparatus), or act as a helper on a motor vehicle. These prohibitions do not apply to minors enrolled in an apprentice program registered with the DOL, such as the GNYADA-sponsored school- to-work Automotive Youth Educational Systems program. Employers must make a schedule for all minors, setting forth the hours each minor starts and ends work and the time allotted for meals. This schedule, and any changes made to it, must be posted conspicuously in the workplace. n 16-year-old licensed drivers may drive dealer vehicles on dealership property only. n 17-year-old licensed drivers, who have completed a drivers’ education course and have no record of moving violations, may drive on public roads within a 30-mile radius of the dealership, during daylight hours, in vehicles that weigh no more than 60,000 lbs GVW. They are limited to two trips per day when transporting non-employee passengers and may not transport more than three passengers (including employees) at a time. Minors are also subject to driving restrictions:

Greater New York Automobile Dealers Association • www.gnyada.com

The Newsletter • May 2018

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