NEW YORK — After about two years of litigation, Viacom has agreed to pay around $7.2 million in a settlement with a group of its former unpaid interns. In their collective action lawsuit, the former interns alleged the media giant used unpaid interns as cost-saving source of free labor in violation of the Fair Labor Standards Act (FLSA) and various state labor laws. The interns alleged they received neither minimum wage nor overtime wages for their work during their internships.
Viacom Intern Claims
The settled lawsuit was initially filed in August 2013 by Casey O’jeda and Karina Reynaga. The two initial plaintiffs, located in New York and California respectively, are both former interns who worked for the company between 2011 and 2012. The lawsuit sought and later represented similarly situated unpaid interns working for Viacom and its television networks, including BET and MTV. Those similarly situated former unpaid interns will be able to share in the settlement.
In 2013, the company began paying its interns, but interns working for the company as late as June 1, 2013 could be eligible to settlement awards. The former interns estimate at least 1,000 former interns working in New York or Los Angeles could be included in the settlement. The amount each intern will receive will depend on how many interns properly request compensation from the settlement, but will average about $505 per semester of interning.
Paid Internships
Both state and federal labor laws address internships. As a general rule an internship should be paid, unless it meets a few specific requirements. If an employer intends for an intern to provide value adding work or perform tasks similar to that of a paid employee, the intern should be considered an employee for minimum wage and overtime purposes. In fact, if the unpaid intern performs work which displaces or allows an employer to not hire an employee for that work, then the employer has violated federal rules regarding internships. Internships may be paid on an hourly basis or through other methods like a stipend, so long as the intern receives at least minimum wage for each hour worked over the course of the internship.
If you participated in an internship where you believe you performed the work of an employee, but did not receive any compensation or improper compensation, you may have a wage or overtime pay claim. Our knowledgeable team of overtime pay lawyers can be reached at (855) 754-2795. Or you may complete our Free Unpaid Overtime Case Review form and our legal team will evaluate your claim. If we accept your case, we will represent you under our No Fee Promise. This means there are no legal fees or costs unless you receive a settlement. Time is limited for filing wage and overtime complaints so it is important to call today!