An internship is a concept which is beneficial for the intern as well as the employer at the same time. For an intern, this is a great opportunity as he gets to learn about working in the field of his interest. This prepares him for a full-time job and provides experience which acts as practical knowledge. Even if someone is highly qualified, there are certain things which a degree can’t teach you. At such times an internship is beneficial. When a person works hard, he deserves to be rewarded, be it a permanent employee or an intern. Therefore it is important for the company to have certain principles set down for internship compensation.
An internship is a win-win situation for employers as they get a fresh bunch of employees, usually on an unpaid basis. Not only financially, but the approach of these young employees is innovative and they bring with them an energetic vibe. Such people are enthusiastic about their work and are looking forward to learning new skills. Due to this, they are willing to do the work of various departments in order to gain more knowledge about their workplace. In exchange, with working hard and showing their dedication towards the country, all they get is a letter of experience. In order to motivate to do better, the employers benefitting from this concept must provide ways of compensating their productivity.
Why is internship compensation essential
To push the interns to do their best, internship compensation is a productive concept which ensures to increase the efficiency of the interns. The most significant benefit for an intern is a practical educational experience. Under this, one gets to observe how top-level employees work and learn something from them. Also, it provides them with industrial experience which is important for them in the long run.
Internship has become a common phenomenon among a majority of companies in different fields of work. Even start-ups have started recruiting interns for better productivity at an affordable package. In this case, it is important for the companies to attain the best candidates as their interns for efficient work. But this is now a difficult task in the competitive market. For this reason, the idea of internship compensation is beneficial for attracting the best candidates for the job. In addition to this, offering compensation improves the morale of the intern and motivates him to work wholeheartedly.
What kind of compensation to be offered
It is a crucial process to determine the kind of internship compensation. This is in relation to the fact that the kind of compensation offered will directly affect the quality of candidates one will receive. There should be a separate budget for compensation keeping in mind the affordability of the company. However, it is not always important that the compensation is financial in nature. There are various ways of appreciating the efforts of an intern who is a part of an unpaid internship program.
The compensation strategy is important to attain the highest productivity from the given employee. Compensation is mainly of two types: direct compensation and indirect compensation.
Different types of rewards
Direct compensation includes all types of monetary benefits. In the case of an internship, a stipend can be rewarded to those interns who have proved to be the most efficient in their internship period. This will encourage a competitive approach among them which will help to improve productivity. For jobs that are based on assignments, the eligible candidate can be rewarded a bonus for performing a certain task well. This will not only encourage the deserving intern but will also motivate others to do better in the tasks assigned to them.
There are different ways of offering indirect compensation. Especially for interns, it is important for the company to come up with attractive ideas to hold the interest of their young workers. A day off from work on performing well and appreciating them in the workplace publicly is a great way to make them feel rewarded for putting in hard work. Also, if the intern is really efficient, the company can offer him a permanent job once he finishes his formal education.
As these interns are young, a reward of vouchers to the latest cafes, clubs, and popular shopping malls, or even tickets to an upcoming concert is favorable. A point often overlooked is that the youth will appreciate such rewards more than the traditional cash prize. Along with the experience letter, the company can also give the efficient interns a certificate. This certificate must state that the intern is hard-working and properly trained to now work in a professional setup. This will prove to be beneficial for the interns in the long run.
Importance of rewarding interns
The reward system is a valuable concept as everyone likes appreciation for their work. By doing so, the employees feel that their work is under scrutiny. This strives them to be better in whatever they do. Internship compensation is favorable to motivate young minds. Their dedication to the company increases by receiving acclaim for their hard work. This gives them good industrial experience which is their main agenda while signing up for an internship.
Another key point is that this is their first experience in the professional world. Hence it is important to motivate them to improve productivity. If the intern ends up as a permanent employee in the same company, he will be loyal towards it and will maintain his level of efficiency. This assures good quality of work from the intern which is beneficial for the company in the end.