Warner Music has submitted papers to a federal court in Manhattan proposing a settlement in the class action lawsuit that claimed the US arm of the recorded music major broke employment laws by taking on unpaid or very low paid interns. Two former Warner Music interns sued, with over 3000 former interns being subsequently contacted once the case became a class action against a backdrop of a move against unpaid internships in both the UK and the USA.
$4.2 million is set to be paid over, with people who interned at the company without pay as far back as 2007 set to receive some form of payment, likely to be equivalent to what their work would have earned at minimum wage.
According to Reuters, the deal is limited to 1,135 claimants. The deal needs court approval to go ahead. Meanwhile the mini-major says: “We continue to stand by our internship programme as an invaluable educational experience for students looking to obtain hands-on, real-world training”.