In Short
-
Interns provide startups with fresh perspectives and valuable support, boosting productivity and innovation.
-
Leverage government grants and university partnerships to access skilled interns.
-
Clearly define internship roles and provide mentorship to ensure a mutually beneficial experience.
Tips for Businesses
To effectively engage interns, create a structured programme with clear objectives and responsibilities. Offer mentorship, regular feedback, and ensure compliance with employment laws. Provide written agreements for paid internships and utilise available government initiatives and university partnerships to attract motivated candidates.
As a startup owner looking to grow your business, interns can certainly help you drive this growth. Internships provide mutual benefits for both the intern and the startup. For interns, internships are essential in bridging the gap between education and work experience. On the other hand, for startups, interns provide invaluable insights into the developing business. This article will take you through the importance of internships in New Zealand’s startup sector and other critical information you should know about engaging interns to work for your startup.
What Are the Benefits of Internships?
As mentioned above, internships are mutually beneficial for interns and startups.
| Benefits to Interns | Benefits to Startups | ||
| Hands-on Experience | Internships offer a unique opportunity for students or young professionals to apply knowledge acquired in a classroom setting to real-life situations. The startup environment exposes an intern to various tasks and responsibilities which may not be available in a more traditional work environment. Such hands-on experience allows interns to gain critical insight into what it looks like to run a startup and promotes skill development. | Fresh Perspectives | Interns bring fresh perspectives and new ideas to startups. Further, interns are often very keen learners, which startups can utilise to drive the company’s growth. |
| Networking | Internships provide an excellent way for interns to network and build connections within the startup community. Networking can be essential for securing future job opportunities, making it worthwhile. | Talent Acquisition | Internships allow startups to evaluate prospective employees before committing to long-term employment. Additionally, internships allow startups to assess an intern’s fit within the organisation and team before signing an employment contract. This can be highly beneficial when deciding to hire more staff later on. |
| Exposure to Innovation | Startups are known for their innovative nature. As such, interning at a startup exposes interns to this creativity and fosters an entrepreneurial mindset. These skills are essential for both future studies and employment. | Enhanced Productivity | Finally, it is crucial to consider that interns can work on specific tasks and projects, freeing up the time of full-time employees to focus on other aspects of the business. This allows startups to manage their resources more effectively. |
How to Engage Interns as a Startup
Your startup’s relatively new presence in the market might make it difficult to engage interns. Nevertheless, there are some key forums you should consider to engage interns.
1. Government Support and Initiatives
The New Zealand government recognises the dual importance of internships in fostering upcoming talent and supporting startups. Several initiatives and programs aim to connect students and graduates with startup opportunities. These include grants and scholarships that help fund internships, creating a win-win for both parties.
2. University and Industry Collaborations
Universities and tertiary institutions in New Zealand actively collaborate with the startup community to facilitate student internships. Such collaborations help startups access a pool of skilled and motivated interns. On the other hand, students benefit from practical work experience that complements their academic studies.
3. Startups as Learning Hubs
Startups provide an ideal setting for interns to learn and grow. Many startups recognise this and prioritise mentorship and knowledge-sharing initiatives.
Hiring new employees for your NZ business can be complicated. Let us help you scale up and reach your next milestone faster with this free employer guide.
Does an Employment Relationship Exist?
As startups strive to expand with limited budgets, unpaid interns are often considered a convenient solution when a company cannot afford to recruit additional staff. However, it is crucial to clearly understand the employment laws governing internships in New Zealand, as failure to comply with these laws can have legal and financial repercussions.
Paid vs Unpaid Interns
When hiring an unpaid intern, ensuring that the internship does not result in any economic advantage for your startup is essential. Further, the tasks assigned to the intern should be distinct from those typically performed by regular employees. Instead, the main objective of the internship should revolve around providing the intern with opportunities to acquire new skills and experiences. Otherwise, the intern may be considered an employee.
On the other hand, if you are hiring a paid intern, they will be classified as an employee. Paid interns should therefore have a written agreement outlining their workplace rights and obligations. At a minimum, the written agreement should include:
- the intern’s roles and responsibilities;
- duration of the internship;
- working hours;
- termination clause;
- confidentiality and intellectual property clauses.
Key Takeaways
Internships in the New Zealand startup community serve as a pivotal bridge between education and practical work experience. Further, internships are beneficial for both the interns and the startups themselves. However, some critical aspects of the intern-startup relationship to understand include:
- whether an employment relationship exists;
- what should be included in an intern agreement; and
- what rights and obligations interns are owed.
If you need assistance understanding your startup’s responsibility when hiring interns, contact our experienced employment lawyers to assist as part of our LegalVision membership. You will have unlimited access to lawyers who can answer your questions and draft and review your documents for a low monthly fee. Call us today at 0800 005 570 or visit our membership page.
We appreciate your feedback – your submission has been successfully received.
