Interns can get a better understanding of whether they should be paid thanks to new guidelines published by The Department for Business Innovation and Skills.

However the definitions intended to outline if an intern should be paid at least the National Minimum Wage (NMW) has been criticised as not being strong enough to force employers to follow them.

The updated guidance from Business Link and DirectGov includes advice on the payment of the National Minimum Wage (NMW) for work experience staff and interns, stating that entitlement depends on whether the arrangement they have with an organisation makes them a worker for NMW purposes.

It lists exemptions from the NMW including students working as a required part of a UK-based further or higher education course or unpaid volunteers who do not have to turn up to work and cannot be dismissed.

Employment Relations Minister Edward Davey welcomed the guidelines. He said: "Internships and work experience of all forms offer an excellent opportunity in helping to bridge the gap between education and the workplace. And for businesses it allows them access to a wide talent pool of some of our best and brightest who didn’t take the traditional route into a job.

"Fairness though is absolutely paramount with all placements. When a worker is entitled to the minimum wage, they should be paid it and we will continue to enforce the law. Today’s publication will help clarify this for employers and will also make sure that all interns and those on work experience placements have a better understanding of their entitlement to the minimum wage."

The full version of the guidance can be found here.

However, the TUC called on stricter regulation. General Secretary Brendan Barber said: "The growing misuse of interns is becoming one of the biggest abuses of the minimum wage. It's good to see the government finally taking this issue seriously, and it's essential that today's guidance is used by young people to ensure that they get paid what they are due.

"But guidance alone won't end this abuse and it needs to be backed up with tougher enforcement of the minimum wage."

Overseas options for internships have become increasingly attractive to students and graduates: in April UK-based CRCC Asia estimated it had sent more than 1,000 UK graduates to China in the last year. With the uncertainty over pay and competition for places, internships overseas could become increasingly popular even though they must be paid for as they offer better prospects.

One of CRCC Asia's directors, Daniel Nivern, said: "The exchange of talent is a two-way process. Immersed in the fastest growing economy in the world, the interns get to perform more senior tasks than would normally be the case back home."