Stipend For Internship - CiteHR
Dinesh Divekar
Business Mentor, Consultant And Trainer
+1 Other

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Dear All,
I have a query regarding Stipend for Internship.
1) Is there any legal consequence/ labour law.
2) Let me know what are the documents to be collected if we are giving a Stipend for an intern.
Kindly suggest me the how to go about it.
Thanks & Regards,
Akhila GR

Legally 'stipend' is paid only to apprentices engaged under the Apprentices Act, any other payment is not legally considered as stipend. If you are paying at least the minimum wages then you may term is at stipend.
Dear Akhila,
Appointment of interns is different from appointment of apprentices. Former are at par with the employees and all the labour laws are applicable to them. In contrast apprentices are governed under the provisions of Apprentice Act. Money paid to the apprentices per month is called as stipend.
It is common mistake HR professionals do. They use their own definitions without verifying the legal terms. Recently, I had given two clarifying posts. Click the following link to refer that thread:
https://www.citehr.com/582730-employ...ml#post2350697
Thanks,
Dinesh Divekar

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