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Internship Agreement
I need an internship agreement for a university student who will be interning for 3 months in our marketing department. The agreement should include a flexible work schedule, a monthly stipend, and a clause for confidentiality.
What is an Internship Agreement?
An Internship Agreement (Praktikumsvertrag) sets out the terms between an intern and an Austrian company during a temporary learning experience. This contract defines key elements like work hours, compensation, and training objectives while ensuring compliance with Austrian labor laws, particularly the Employment Contract Law Adaptation Act (AVRAG).
Unlike standard employment contracts, internship agreements in Austria specifically focus on the educational aspect and skills development. They must outline supervision arrangements, detail any academic requirements when connected to university programs, and specify if the internship is mandatory (Pflichtpraktikum) or voluntary (freiwilliges Praktikum) - which affects social insurance obligations and minimum wage requirements.
When should you use an Internship Agreement?
Use an Internship Agreement when bringing interns into your Austrian organization, especially before they start their learning period. This formal agreement becomes essential for mandatory internships (Pflichtpraktika) tied to educational programs, where students need documented work experience to complete their studies.
The agreement proves particularly valuable when hosting international interns, managing longer-term placements, or offering paid positions. It protects both parties by clearly defining training goals, work schedules, and compensation terms upfront. Austrian labor authorities often request these agreements during workplace inspections, making them crucial for regulatory compliance and avoiding potential disputes about the intern's status or entitlements.
What are the different types of Internship Agreement?
- Unpaid Internship Agreement: Specifically for voluntary internships focusing on learning experience without monetary compensation, common in non-profit and educational sectors
- Intern Confidentiality Agreement: Additional protection for companies handling sensitive information, often used alongside standard internship contracts in tech and financial sectors
- Internship Learning Agreement: Used for mandatory university-linked internships (Pflichtpraktikum), detailing specific educational objectives and evaluation criteria
Who should typically use an Internship Agreement?
- Host Companies: Austrian businesses offering internship positions, responsible for drafting agreements and ensuring compliance with labor laws
- Interns: Students or trainees gaining work experience, who must understand and agree to the terms before starting
- Educational Institutions: Universities and colleges that verify mandatory internships meet curriculum requirements and often review agreement terms
- HR Departments: Handle administrative aspects, document management, and ensure proper social insurance registration
- Legal Advisors: Review and customize internship agreements to protect company interests while maintaining compliance with AVRAG regulations
How do you write an Internship Agreement?
- Basic Details: Gather intern's personal information, education status, and confirmation if it's a mandatory internship (Pflichtpraktikum)
- Work Scope: Define specific department, role responsibilities, supervision arrangements, and learning objectives
- Timeline: Set clear start and end dates, daily working hours, and break periods according to Austrian labor law
- Compensation: Determine salary or allowances, plus any additional benefits like meal vouchers or transport costs
- Legal Requirements: Check social insurance obligations and collect necessary documentation for work permits if hiring international interns
What should be included in an Internship Agreement?
- Parties' Information: Full legal names and addresses of both intern and company, plus educational institution for mandatory internships
- Internship Details: Clear description of role, department, supervision structure, and learning objectives
- Duration Terms: Specific start and end dates, daily/weekly working hours compliant with Austrian Working Hours Act
- Compensation Structure: Detailed breakdown of any salary, benefits, or expense reimbursements
- Confidentiality Clause: Terms protecting company information and intellectual property
- Insurance Coverage: Social insurance registration details and accident insurance provisions
- Termination Terms: Notice periods and conditions for early termination by either party
What's the difference between an Internship Agreement and a Consultancy Agreement?
An Internship Agreement differs significantly from a Consultancy Agreement in several key aspects, though both involve temporary work relationships. While interns are typically students or recent graduates seeking practical experience under supervision, consultants are independent professionals providing expertise to organizations.
- Legal Status: Interns are usually considered quasi-employees under Austrian labor law, entitled to certain workplace protections; consultants operate as independent contractors
- Supervision Level: Internship agreements require detailed mentoring and training provisions; consultancy agreements focus on deliverables and outcomes
- Duration and Structure: Internships have fixed terms aligned with educational programs; consultancy work is often project-based or ongoing
- Compensation Framework: Interns may receive training allowances subject to minimum wage laws; consultants negotiate professional fees and typically handle their own tax obligations
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