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Traditionally, interns exist as a well-vetted and well-shaped supply of labor (which is very difficult to find through the traditional hiring process). The work they complete is secondary. Are companies going to stop needing good employees? Is nobody going to need to work in 40 years when all the current employees are phased out?

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If interns existed like that they haven’t in the 21st century. They are a free disposable short term labour to be ripped through.

Also what company do you know of thinks in 40 year terms? The longest budgeting process I’ve been part of has been 3 years and the year 3 numbers were understood to be pure wish fulfilment

I'm not sure when interns stopped being part of the hiring chain, but I remember almost universally circa 2010 or 2011 in the great recession, almost every single intern and co-op student I knew were told bluntly there would be absolutely no hiring of them into full time roles.

Up until the great recession it was pretty normal, almost expected, that a good internship turned into a good job offer.

I'm guessing that just never reversed.

That's precisely how most companies use interns. You have no idea what you're talking about.

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