Budapest Post

Cum Deo pro Patria et Libertate
Budapest, Europe and world news

The 'top-talent' interns taking home sky-high wages

The 'top-talent' interns taking home sky-high wages

Companies in some sectors are handing interns massive pay packets as they try to lure the best graduates.

For many workers, an internship means doing menial tasks like restocking office supplies for minimum wage. But for others, it means making more than $8,000 (£6,400) a month at companies such as Uber and Amazon.

That's according to an annual survey released by job-reviews site Glassdoor in April 2022, which tracks the top 25 best-paying internships in the US – internships which, if held for a year, far outstrip the average annual wage for an American worker. The list’s top firm – gaming company Roblox – pays interns a dizzying monthly median of $9,667. Other entrants, like Microsoft, Deutsche Bank and eBay, all send their interns home with around $7,000 each month. Glassdoor has been tracking the highest-paid internships since 2017, and has seen the numbers go up every year.

These wages may leave many people who've worked full-time for decades speechless, but the sky-high numbers could be yet another sign of how the workforce has been changing since the pandemic began. The numbers reflect how, recently, companies are more eager than ever to scoop up talent as fast as possible – even if those workers are at the earliest stages of their career.

The pipeline


There are many reasons why some interns are making more than what a typical worker makes in a year – but those reasons shouldn't be a shock, says Lauren Thomas, economist and data scientist at Glassdoor, who worked on the internship survey.

"It's absolutely a reflection of what those interns would earn later on," she says. An intern making $8,000 a month at a tech or finance company is earning a wage that's likely not too far from what their starting salary at the same company would be. In fact, enticing interns to stick around is why companies are throwing so much money at them, explains Thomas.

"A lot of companies use these internship programmes as a pipeline, and they'll hire those interns on full-time," she says. That's especially the case during the pandemic, as we're in "a historically tight job market for employers – which means employees have more choice than usual". That extra options extend to interns, too, since many companies want to keep them amid a workforce-wide war for talent.

Employers are realising that individuals do not have the ability to work for free in this current climate – Yvette Lee


Many of these lucrative internships are in tech and finance. Two years ago, says Thomas, tech internships only made up less than half the internships on the best-paying list; today, Silicon Valley companies makes up 68%. "A lot of businesses have had to move their operations and daily activities online, which means that tech [skills] are in even higher demand than they were before," says Thomas. Yet firms in other fields – energy and manufacturing, for example – also pay interns well, and fight to keep them.

This means many big firms are trying to lure workers, even at the most nascent stage of their careers. "It's a little sample: 'If you work here, this is what you're going to make. This is the quality of life you can expect'," says Ron Delfine, director of career services at Carnegie Mellon University's Heinz College of Information and Public Policy, US. He says many of his university's students intern at firms on the Glassdoor list, and he estimates over half of his university's interns end up with job offers. Paying interns well is an investment, he says, that could save the company money on recruiting and onboarding down the road, while also securing top talent.

Lucrative gigs limited to a few?


While top universities are one source of these highly-paid interns, experts say accessing a lucrative internship doesn't necessarily hinge on going to an elite school, being enrolled in a particular academic programme or having connections to hiring managers. Right now, recruiters are emphasising a candidate's skills over pedigree or background, especially since many companies want to use internships to identify full-time hires.

Plus, remote work has made top-end internships more available to workers from more diverse social and financial backgrounds – people who perhaps couldn't afford to move to expensive urban hubs for their dream internship. "The good news is many of these high-paying internships are still hiring remotely, so candidates across the country – not just in major metros in San Francisco or New York – have the opportunity to be considered," says Thomas.

Additionally, Thomas notes, these days there are better options for students who aren’t targeting finance or tech jobs. While the highest-paying internships are clustered in particular sectors, for students it is not a question of earning $8,000 a month or nothing – there are plenty of options in between, and in all types of sectors.

Experts say that, in today's environment, workers – including interns – should be more aware than ever of their own worth


A 2021 survey by the National Association of College and Employers (Nace) in the US of 267 large corporations found that, across the board, intern pay is going up (and has been for close to a decade) in all sorts of sectors, including transport, insurance, retail management and food services. Nace’s research found that the average hourly wage in summer 2020 for paid interns at these companies was $20.76, up $1.22 from the previous year – the highest wage on record. That's over $3,300 a month; if a worker were paid that much for an entire year, their salary would be nearly $40,000, which is still higher than the individual wage of half the US population.

What it means for the future


Yet despite intern wages ticking up across many sectors, interns in other sectors – like creative or charitable sectors – might still be working for free.

In fact, according to 2018 data, over 40% of internships in the US don't pay at all, a long-standing trend especially rampant in fields such as non-profits, government or the arts. Good levels of intern pay may have become the norm in traditionally well-salaried sectors like banks, consulting and tech, but that “does not necessarily signal normalisation of [high-paid] internships in arts, sports, media or other industries", says Heather Byrne, managing director of the Career Development Office at the Ross School of Business, University of Michigan, US.

There are signs of change. Public resentment over unpaid internships has been growing significantly in recent years, with some former interns successfully suing past employers over exploitation claims in a recent slew of high-profile lawsuits. Plus, since the pandemic and resultant labour shortages hit, employers are increasingly aware that skilled people are steering well clear of poorly remunerated work.

“In my HR experience, employers are realising that individuals do not have the ability to work for free in this current climate,” says Yvette Lee, knowledge advisor at the US-based Society for Human Resource Management (Shrm). "It’s increasingly more challenging to attract talent if individuals must sacrifice their financial security to gain experience."

In the future, then, it might be that decently-paid interns are the norm, not the exception – especially since interns can bring so much to a team, says Delfine. It may not translate to thousands of dollars a month for everyone, but it might be more, on average, than what it is now. "I'm just hoping people realise what the value of interns is, because interns can make an impact and let you explore new ways to do business," he says.

Often, companies try to convince interns they're there for the experience, and should be grateful just for the learning opportunity. But in the post-pandemic labour market, interns should feel more confident to find an internship that recognises the skills and ideas they bring to the table.

"This list should empower people to get the most out of their internships," says Thomas. "There are a lot of companies out there that do pay well, and that do treat their workers well – especially in a market like this one."

AI Disclaimer: An advanced artificial intelligence (AI) system generated the content of this page on its own. This innovative technology conducts extensive research from a variety of reliable sources, performs rigorous fact-checking and verification, cleans up and balances biased or manipulated content, and presents a minimal factual summary that is just enough yet essential for you to function as an informed and educated citizen. Please keep in mind, however, that this system is an evolving technology, and as a result, the article may contain accidental inaccuracies or errors. We urge you to help us improve our site by reporting any inaccuracies you find using the "Contact Us" link at the bottom of this page. Your helpful feedback helps us improve our system and deliver more precise content. When you find an article of interest here, please look for the full and extensive coverage of this topic in traditional news sources, as they are written by professional journalists that we try to support, not replace. We appreciate your understanding and assistance.
Newsletter

Related Articles

0:00
0:00
Close
U.S. and Hungarian Officials Talk About Economic Collaboration and Sanctions Strategy
Technology Giants Activate Lobbying Campaigns Against Strict EU Regulations
Pope Francis Admitted to Hospital in Rome Amid Increasing Speculation on Succession
Zelensky Calls on World Leaders to Back Peace as Tensions Rise with Trump
UK Leader Keir Starmer Calls for US Security Guarantee in Ukraine Peace Deal
NATO Chief Urges Higher Defense Expenditure in Europe
The negotiation teams of Trump and Putin meet directly, establishing the groundwork for a significant advancement.
Rubio Touches Down in Riyadh Before Key U.S.-Russia Discussions
Students in Serbian universities Unite to Hold Coordinated Protests for Accountability.
US State Department Removes Taiwan Independence Statement from Website
Abolishing opposition won't protect Germany from Nazism—this is precisely what led Germany to become Nazi!
Transatlantic Gold Rush: Traders Shift Bullion in Response to Tariff Anxieties and Market Instability
Bill Ackman Backs Uber as the Company Shifts Towards Profitability
AI Titans Challenge Nvidia's Supremacy in Light of New Chip Innovations
US and Russian Officials to Meet in Saudi Arabia Over Ending Ukraine Conflict. Ukraine and European leaders – who profit from this war – excluded from the negotiations.
Macron Calls for Urgent Summit as Ukraine Conflict Business Model is Threatened
Trump’s Defense Secretary: Ukraine Won’t Join NATO or Regain Lost Territories
Zelensky Urges Europe to Bolster Its Military in Light of Uncertain US Backing
Chinese Zoo Confesses to Dyeing Donkeys to Look Like Zebras
Elon Musk is Sherlock Holmes - Movie Trailer Parody featuring Donald Trump's Detective
Trump's Greenland Suggestion Sparks Sovereignty Discussions Amid Historical Grievances
OpenAI Board Dismisses Elon Musk's Offer to Acquire the Company.
USAID Uncovered: American Taxpayer Funds Leveraged to Erode Democracy in Europe Until Trump Put a Stop to It.
JD Vance and Scholz Did Not Come Together at the Munich Security Conference.
EU Official Participates in Discussions in Washington Amid Trade Strains
Qatar Contemplates Reducing French Investments Due to PSG Chief Investigation
Germany's Green Agenda Encounters Ambiguity Before Elections
Trump Did Not Notify Germany's Scholz About His Ukraine Peace Proposal.
Munich Car Attack Escalates Migration Discourse Before German Elections
NATO Allies Split on Trump's Proposal for 5% Defense Spending Increase
European Parliament Advocates for Encrypted Messaging to Ensure Secure Communications
Trump's Defense Spending Goal Creates Division Among NATO Partners
French Prime Minister Bayrou Navigates a Challenging Path Amid Budget Preservation and Immigration Discourse
Steering Through the Updated Hierarchy at the European Commission
Parliamentarian Calls for Preservation of AI Liability Directive
Mark Rutte Calls on NATO Allies to Increase Defence Expenditures
Dresden Marks the 80th Anniversary of the World War II Bombing.
Global Community Pledges to Aid Syria's Political Transition
EU Allocates €200 Billion for AI Investments, Introduces €20 Billion Fund for Gigafactories
EU Recognizes Its Inability to Close the USAID Funding Shortfall Due to Stalled US Aid
Commission President von der Leyen Missing from Notre Dame Reopening Due to Last-Minute Cancellation
EU Officializes Disinformation Code for Online Platforms, Omitting X
EU Fails to Fully Implement Key Cybersecurity Directives
EU Under Fire for Simplification Discussions Regarding Corporate Sustainability Reporting
Shein Encountering Further Information Request from the EU During Ongoing Investigation
European Commission Initiates Investigation into Shein as It Aims at Chinese E-Commerce Regulations
German Officials Respond to U.S. Proposal for Peace Talks with Russia
Senate Approves Robert F. Kennedy Jr. as Secretary of Health and Human Services.
Trump and Putin Engage in Discussions on Ukraine Peace Negotiations Amid Worldwide Responses
Honda and Nissan End Merger Talks
×