ARISE Church to pay $173,869 to former interns after employment investigation

Four former ARISE Church interns will receive more than $170,000 in unpaid entitlements after a Labour Inspectorate investigation found they were employees rather than volunteers.

ARISE Church has agreed to pay $173,869.56 in arrears to four former interns following an investigation into its internship programme.

The agreement is recorded in a consent determination issued by the Employment Relations Authority (ERA). ARISE Church accepted that the way parts of its internship programme operated at the relevant time meant the four interns were employees and that breaches of minimum employment standards had occurred.

The church has apologised to the former interns. The Labour Inspectorate will distribute the arrears.

Investigation began in 2022

The Labour Inspectorate began investigating ARISE Church in 2022 after receiving a complaint about its internship programme.

Investigators examined the arrangements involving programme participants and assessed the actual nature of their relationship with the church.

They concluded that the four former interns were employees, meaning they were entitled to minimum employment rights and protections.

Jeanie Borsboom, Labour Inspectorate Manager, Specialist Inspection, said the outcome was significant for the workers involved.

“This is a significant outcome for the former interns involved and reflects the Labour Inspectorate's commitment to upholding minimum employment standards,” she said.

“In this case, our investigation found that the relationship between ARISE Church and the four former interns was one of employment.”

Founding pastor also accepts involvement

The Labour Inspectorate has separately reached an agreement with ARISE Church founding pastor John Cameron.

Cameron has accepted that he was a person involved in the breaches and has offered an apology to the former interns.

A consent determination concerning Cameron has not yet been issued by the ERA.

Both ARISE Church and Cameron have accepted that penalties are appropriate. The ERA will determine those penalties, meaning the $173,869.56 in arrears is not necessarily the final financial consequence of the case.

In its apology, the church expressed regret that the interns had placed their trust in a church community and experienced hurt and disappointment.

What the case means for internship programmes

The Labour Inspectorate says the case highlights an important distinction for organisations offering internships, volunteer placements or training opportunities.

Calling someone a volunteer or intern does not, by itself, determine their employment status. The nature of the work and the actual relationship between the parties must be considered.

Borsboom urged organisations to review their arrangements and ensure they meet employment law requirements.

“Internship and volunteer programmes can provide valuable opportunities, but organisations must carefully consider whether the circumstances surrounding the work being performed creates an employment relationship,” she said.

The Labour Inspectorate is encouraging employers to seek advice where they are uncertain about their obligations and to ensure workers receive their minimum legal entitlements.

The matter remains before the ERA for a decision on penalties. The Labour Inspectorate said it would not comment further on those proceedings.