What is the difference between an internship agreement and a work-study agreement?

An internship agreement, a work-study agreement, and an employment contract are three different things. In an internship, learning is the primary focus, and there is no employment relationship. In a work-study agreement (such as a BBL program), learning is combined with working, and there is usually an employment contract with wages.

The internship agreement

During an internship, the focus is on acquiring knowledge and experience, not on performing productive work. There is no employment relationship: the intern is not required to receive minimum wage (an internship allowance is voluntary) and standard employer obligations do not apply, provided it is genuinely an internship and not disguised employment.

The apprenticeship agreement

A work-study agreement combines learning and working, similar to a BBL program (work-based learning pathway). The work-study student works and learns simultaneously and also performs productive labor. As a result, it usually constitutes a genuine employment contract, with entitlement to (minimum) wages and the associated obligations. Additionally, the work-study agreement regulates the training arrangements.

The employment contract

In a standard employment contract, a person works as an employee under your authority for wages and performs productive work. All employer obligations apply here, from continued payment of wages during illness to protection against dismissal. Learning is not the central focus.

Why the difference matters

The classification determines whether you must pay (minimum) wages, whether protection against dismissal and continued payment of wages apply, and what tax and insurance obligations you have. If you choose the wrong form, or if a 'internship' is in reality disguised employment, employer obligations may still apply. Therefore, carefully define the correct form.

Frequently Asked Questions

Does a trainee receive a salary?

Usually yes: a work-study agreement often constitutes a genuine employment contract with entitlement to (minimum) wages, unlike an internship.

What is the difference between an internship and a work-study agreement?

In an internship, learning is the primary focus without an employment contract; in a work-study agreement, learning and working are combined, usually with an employment contract.

When does an internship become an employment contract?

If the emphasis is on productive labor rather than learning, this constitutes disguised labor with employer obligations.

Choosing the right agreement?

Our legal experts draft internship agreements, apprenticeship agreements, or employment contracts . View our employment lawteam or schedule a free consultation.