Former Gawker Interns File Class Action Over Unpaid Hours

Plaintiffs Aulistar Mark, Hanchen Lu and Andrew Hudson allege in the Gawker intern lawsuit that the company violated the Fair Labor Standards Act (FLSA) and New York state law by attempting to categorize the employees as interns even though the plaintiffs had provided content and material used by the company, an important distinction when determining whether a worker is an intern or employee of the company.

The unpaid internship lawsuit was filed against Gawker Media and its founder Nick Denton, alleging that the plaintiffs worked at least 15 hours a week without pay. The plaintiffs performed a variety of work projects for the company, including researching and writing stories for the company’s websites. Each posted more than 20 assignments a day.

Mark, Hudson and Lu brought the FLSA claim on behalf of all unpaid Gawker interns employed three years prior to the filing of the potential class action lawsuit, stating that they should have been paid for writing and editing articles, promoting their content through social media, and moderating Gawker forums. Mark says he worked 25 hours a week for Gawker at its New York City location from May 2010 to August 2010. Lu and Hudson both worked for the company remotely in 2010 and 2008, respectively. None of the plaintiffs were compensated for their work, according to the class action lawsuit.

Under the FLSA, companies can legally hire unpaid interns as long as they follow six U.S. Department of Labor guidelines. According to the unpaid internship lawsuit, Gawker violated the following two guidelines:

Interns cannot displace regular employees from their positions.
In order for a person to be classified as an intern, the employer must provide training and no immediate advantages over other company employees.

Nonprofits are exempt from the six guidelines due to the general intent and spirit behind nonprofit and charitable organizations that help the less fortunate. Because these organizations are not operated for profit, unpaid internships at nonprofits are generally acceptable.

According to the National Association of Colleges and Employers, only 37 percent of 2012 graduates who worked in unpaid internships were offered jobs while 60 percent of graduates who worked in paid internships were offered jobs.

The unpaid internship lawsuit also accused the company of failing to keep track of the interns’ hours and of denying them other benefits such as unemployment insurance and Social Security contributions. The plaintiffs seek reimbursement for their unpaid wages, liquidated and statutory damages, pre-judgmental and post-judgment interest, attorney fees, and other punitive damages.

The Gawker Unpaid Internship Class Action Lawsuit is Aulistar Mark, et al. v. Gawker Media LLC, et al., Case No.13-cv-04347, in the U.S. District Court for the Southern District of New York.