The EU Auditors also point out that still one third of internship positions are unpaid. This poses a problem for some young people who have to refuse an internship because they cannot afford it. As a result, it can be difficult for disadvantaged youth to enter the labor market through an internship.
Research in the Netherlands last year showed that nearly half of the students who did an internship (44 percent) did not receive any compensation. The education sector was the least likely to grant compensation, followed by healthcare.
Employers disagree with trade unions and youth organizations about a mandatory internship allowance, and EU countries apply different rules. The new ECA analysis mainly focuses on interns on the labor market, rather than on interns doing internships as part of their studies.
Promotion
Ten years ago, EU countries established non-binding recommendations with a number of minimum requirements for high-quality internships, including learning objectives, a written agreement, fair working conditions, and a reasonable duration. These are currently being updated to reflect the current situation, but according to the auditors the definition of "internship" still differs considerably between member states. In sixteen member states there is not even a legal definition of what an internship exactly entails.
The auditors estimate that up to 3.7 million young people do internships annually. Two thirds of the surveyed interns found a job within six months after completing an internship.
EU countries themselves are responsible for education and employment. However, in the area of social policy the EU has the right to propose legislation, such as directives. Internships are not regulated by EU regulations, and not all member states follow the recommendations on internships.
The EU provides funding for internships. The European Social Fund and the Youth Employment Initiative, for example, help disadvantaged youth integrate into the labor market and finance about 270,000 internship positions each year.
Additionally, Erasmus+ and other EU funds support cross-border internships. Each year, about 90,000 young people undertake such internships.