As Ontario employers gear up for summer and bring fresh talent into the workplace, many consider hiring interns to support short-term projects or provide students with real-world experience.
But beware: not every “intern” is exempt from Ontario’s Employment Standards Act (ESA). Misclassifying a worker as an unpaid intern when they are legally an employee can expose your organization to significant liability.
Here’s what you need to know to avoid misclassification and stay on the right side of employment law.
What Is a “True Intern” Under Ontario Law?
In Ontario, there is no standalone “intern” category under the ESA. Instead, a person is either an employee — entitled to minimum wage, vacation pay, overtime, etc. — or not.
There are only two limited exceptions under the ESA where a person completing work without pay is not considered an employee:
1. Co-Op Students in Approved Programs
Students who perform work under a program approved by a secondary school board, college, or university may not be entitled to ESA protections. These include:
- High school co-op placements
- College or university internships tied to a formal academic program
2. Professional Practicums (Regulated Professions)
Students engaged in work as part of the requirements to become licensed in professions like law, medicine, or engineering may also fall outside ESA coverage.
If your intern doesn’t fall into one of these exceptions, they are almost certainly an employee.
Common Missteps: What Employers Get Wrong
Many employers mistakenly assume:
- A verbal agreement or written internship contract waiving pay makes it legal — it doesn’t.
- The intern is learning, not working, and therefore doesn’t need ESA protections.
- A short-term or summer-only arrangement is exempt.
The key question is whether the individual is performing work that benefits the company. If so, they’re likely an employee, regardless of title.
Paid Internships = Best Practice
To stay compliant and reduce legal risk, we recommend treating all interns as employees unless they fall into the statutory exceptions.
That means:
- Paying at least minimum wage (currently $16.55/hour in Ontario)
- Providing vacation pay, public holiday entitlements, and overtime pay as applicable
- Including the intern in your payroll, WSIB coverage, and internal policies
It’s not only the law — it also fosters a fair workplace.
Pro Tips for Structuring a Compliant Internship Program
- Get Written Confirmation from the Academic Institution
If you’re hosting a student from a co-op or internship program, document that the placement is officially part of their curriculum. - Have a Clear, Written Agreement
Include start/end dates, compensation, job duties, and supervision details — whether paid or unpaid. - Avoid Ambiguous Titles
The word “intern” isn’t a shield. Courts and employment standards officers look at the substance of the relationship, not the title. - Provide Training and Supervision
Even if paid, internships should offer educational value and mentorship, not just an extra pair of hands.
Final Takeaway: When in Doubt, Ask
Misclassification is one of those “small-now, big-later” risks. If you’re planning to hire interns this summer and are unsure about their legal status, seek legal advice before they start. A quick compliance check today could save you from costly fallout down the road. Talk to us today.