MAY 2018

NATIONAL ASSOCIATION OF COLLEGES AND EMPLOYERS62 Highland Avenue Bethlehem, PA 18017-9085 • 610.868.1421www.naceweb.org

2018 Internship & Co-op Survey Report

EXECUTIVE SUMMARY

©2018 National Association of Colleges and Employers. All rights reserved

2018 INTERNSHIP & CO-OP SURVEY REPORT

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ABOUT THESURVEY

NACE RESEARCH STAFFEdwin W. Koc, Director of Research, Public Policy, and Legislative AffairsAndrea J. Koncz, Research ManagerAngelena Salvadge, Research AssociateLouisa Eismann, Research AssociateAnna Longenberger, Research Assistant

GET THE FULL REPORTThe 2018 Internship & Co-op Survey Report and its companion—the 2018 Guide to Compensation for Interns & Co-ops—are available through the NACE Store.

For more information see the NACE Store: www.naceweb.org/store.aspx.

The 2018 Internship & Co-op Survey Report explores key aspects of employers’ internship and co-op programs, including how programs are structured, hiring projections, conversion, retention, recruiting strategies, and compensation (wages and benefits). (Note: More-detailed information about compensation is available in the 2018 Guide to Compensation for Interns & Co-ops. See the NACE Store at www.naceweb.org/store.aspx.) This report also includes historical analyses of these data.

Data were collected from November 8, 2017, to March 2, 2018, from NACE employer members; there were 309 respondents representing 29.1 percent of all eligible respondents. Those employers that chose to be listed as survey respondents appear in the Appendix.

A few notes regarding the data presented in this report:

• For each question, overall figures are calculated based on the number of respondents answering that question.• Survey items that yielded a particularly low response rate should be considered with caution.• The sum of displayed breakdowns of percentages may not equal 100 due to rounding or, in cases where the sum

substantially exceeds 100, because respondents were permitted to provide multiple responses. • Within the figures, empty fields indicate that no data were collected for that item in that year.

Respondents were provided with the following definitions of internships and co-ops:

• Internships are typically one-time work or service experiences related to the student’s major or career goal. The internship plan generally involves students working in professional settings under the supervision and monitoring of practicing professionals. Internships can be paid or unpaid, and the student may or may not receive academic credit for performing the internship.

• Cooperative education programs, or co-ops, , provide students with multiple periods of work in which the work is related to the student’s major or career goal. The typical program plan is for students to alternate terms of full-time classroom study with terms of full-time, discipline-related employment. Since the program participation involves multiple work terms, the typical participant will work three or four work terms, thus gaining a year or more of career-related work experience before graduation. Virtually all co-op positions are paid, and the vast majority involve some form of academic credit.

2018 INTERNSHIP & CO-OP SURVEY REPORT

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EXECUTIVESUMMARY

Hiring Projections• Employers that responded expect to increase the hiring of interns by 1.7 percent in 2018.• Co-op hiring remains flat, increasing only 0.6 percent over last year’s numbers.• This is the second consecutive year that employers reported positive hiring projections for interns and co-ops.

Outcomes of Internship and Co-op Programs• In 2018, the offer rate for interns is 59 percent, the acceptance rate is 77.3 percent, and the conversion rate is

45.6 percent. The acceptance rate increased from last year, while the other two figures dropped; this could be due to the state of the hiring market or the high number of eligible interns reported this year.

• For co-ops, the offer rate is 34.6 percent, the acceptance rate is 80.3 percent, and the conversion rate is 27.8 percent.

• The retention rate for intern hires after one year is 70.6 percent for those with internal experience (internship experience within the hiring organization) and 65.8 percent for those with external experience (internship experience with another organization). The retention rate for co-op hires with internal experience is 47.3 percent; for those with external experience, the rate is 46.6 percent. Meanwhile, the one-year retention rate for hires with neither internship nor co-op experience is 46.3 percent.

• After five years, the retention rate for intern hires with internal experience is 50.2 percent and it is 52.3 percent for those with external experience. The five-year co-op retention rates are slightly lower than they are for the one-year rates (internal experience: 36.7 percent; external experience: 37.4 percent). The rate for no internship or co-op experience is 41 percent.

Compensation• Co-op programs had large growth in terms of average hourly wage (up $1.36 to $19.35) since last year; for

interns, the growth has been slower ($18.73), which is up only 67 cents from last year.• Planned social activities and paid holidays are the most widely offered benefits to interns and co-ops, and are

typically the least expensive for employers to offer. Sharp drops for medical insurance and company-matched 401(k) plans are evident, as these are costlier. Vacation time is more commonly offered to co-ops, who have longer tenures of employment than interns.

Recruiting Interns and Co-ops• On average, employers begin recruiting interns eight months prior to the start date and co-ops five months in

advance of starting.• Half of interns and co-ops were sourced from open applications by employers, and 40 percent were sourced

from direct contacts at their career center; only 8.2 percent of both were sourced by direct faculty contacts. • Employers favor career/job fairs and on-campus recruiting as the best recruiting techniques for interns and co-ops.

2018 INTERNSHIP & CO-OP SURVEY REPORT

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3M Co.

84.51˚

ABB Inc.

Accenture Federal Services

Adventist Health System

AeroVironment

Aetna Inc.

Affiliated Engineers, Inc.

Air Force Civilian Service Talent Acquisitions

American Family Insurance

AmeriHealth Caritas

Amkor Technology

Andersen Corporation

Anheuser-Busch Companies, Inc.

ANSYS, Inc

Anthem, Inc.

ArcelorMittal USA

Armstrong World Industries

Arrow Electronics

Arthur J. Gallagher & Co.

Asurion Corporation

Audible, Inc.

Axon

Baird

Barnes Group Inc.

BASF Corporation

Baxter Healthcare Corporation

Baylor Scott & White Health

Bechtel Marine Propulsion Corporation

Becton Dickinson & Company

Belden, Inc.

Berry Global

Biogen

Blackbaud, Inc.

BOK Financial Corporation

BP America

Brady Corp.

Burlington Stores

Burns & McDonnell Engineering Co. Inc.

BWX Technologies, Inc

California State Auditor

Calpine Corporation

Capital Group

Cargill, Inc.

Cerner Corporation

Charter Manufacturing Company, Inc.

Chevron Corporation

Chicago Trading Company

Citrix Systems, Inc.

Clarkston Consulting

CohnReznick

Con Edison

ConocoPhillips Company

Consumers Energy Co.

Continental AG

COUNTRY Financial

APPENDIXRESPONDING ORGANIZATIONSA total of 309 organizations took part in the survey on which the 2018 Internship & Co-op Survey Report is based; however, only 239 agreed to be listed.

2018 INTERNSHIP & CO-OP SURVEY REPORT

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Cree, Inc.

Crown Cork & Seal Company USA, Inc.

CSRA

Daikin Industries/Goodman Manufacturing

Datto

DCP Midstream Partners, LP

Delta Air Lines, Inc.

DENSO International America Inc

Dick’s Sporting Goods

Dominion Enterprises

Draper Laboratory

DST Systems Inc.

Duke Energy Corporation

DuPont

Dyson

E. & J. Gallo Winery

Eastman Chemical Company

Eaton Vance Management

Echo Global Logistics

Ecolab Inc.

Edward Jones

Edwards Lifesciences

ellucian

Emerson Climate Technologies

Engineering Consulting Services (ECS)

Enterprise

Envestnet - Yodlee

EthosEnergy

ExxonMobil Corp.

EY

FCA US LLC

Federal Reserve Board

Federal-Mogul Corporation

Fifth Third Bank

Fluor

Fresenius Kabi USA

GDH Consulting, Inc.

GE Appliances, a Haier company

General Dynamics - MS

General Dynamics Electric Boat

Georgia Tech Research Institute

Gilead Sciences, Inc.

Graybar Electric Company, Inc.

Harley-Davidson Inc.

HARMAN

Heico Construction Group LLC

Holman Enterprises

Hologic, Inc.

Hughes Network Systems

INC Research

INEOS

Infineum USA L.P.

Info Tech

Ingredion

INROADS, Inc.

Intuit Inc.

Isuzu North America Corporation

ITW

JCPenney

John Hancock Financial

Johnson & Johnson

Johnson Controls, Inc.

KapStone Paper and Packaging Corp.

KeyBank

2018 INTERNSHIP & CO-OP SURVEY REPORT

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Kimberly-Clark Corporation

KPMG LLP

Kronos

L’Oreal USA

L3 Technologies

Land O’Lakes Inc.

Liberty Mutual Insurance Company

Lincoln Electric

Lincoln Financial Group

Link-Belt Construction Equipment Co.

M&T Bank Corporation

Macy’s, Inc.

Maiden Reinsurance

MAVERICK Technologies

Mayo Clinic

McCormick & Company, Inc.

Medical Mutual

MGM Resorts International

Michelin North America

MicroVention-Terumo

Moen Incorporated

Mondelēz International

Mosaic Company

Moss Adams LLP

Motorola Solutions, Inc.

ms consultants, inc.

Mylan, Inc.

National Instruments

NetApp

Newell Brands

NiSource

Nokia

Northwestern Mutual

OMNOVA Solutions Inc.

ON Semiconductor

ONEOK, Inc.

Oracle Corporation

Owens Corning

Pariveda Solutions Inc.

Parsons Corporation

PDC Energy

PepsiCo

Philips Lighting

Phillips 66

Plexus Corp.

Polaris Industries, Inc.

PPL Corporation

Principal Financial Group

Progressive Insurance

Protiviti Inc.

QVC Inc.

Rayonier Advanced Materials

Raytheon Company

Red Hat

Relativity

Rockwell Collins

RS&H

Sabre Corporation

Save-A-Lot

Seagate Technology

Sealed Air Corporation

Selden Fox LTD

SendGrid

Shawmut Design and Construction

2018 INTERNSHIP & CO-OP SURVEY REPORT

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Sierra Nevada Corporation

Sikich

Simpson Gumpertz & Heger Inc.

Skyworks Solutions

Snap-on Incorporated

Southern Company

Southwest Airlines Co.

Speedway LLC

State Street Corporation

Structural Group

Stryker Corporation

Summit Materials

Sun Life Financial

Swagelok

SWIFT

Symantec Corporation

TD Bank

TE Connectivity

Terracon

Texas Capital Bank

Texas Instruments Incorporated

The Aerospace Corporation

The Boeing Company - Strategic Workforce Planning

The Lubrizol Corporation

The MITRE Corporation

The New England Center for Children

The Northern Trust Company

The Scotts Company

The Travelers Companies, Inc.

The Vanguard Group

The Walsh Group

Thrivent Financial

TIAA

Tighe & Bond

TJX Companies

Tokio Marine HCC

Toyota Motor North America

Transamerica Life Insurance Company

tronc, Inc.

TTX Company

Tucson Unified School District

Turner Construction Company

U.S. Cellular Corporation

Under Armour

Union Pacific Railroad Company

United Launch Alliance

UPS

VF Corporation

Wacker

Wawa Inc.

Wisconsin Department of Workforce Development

XPO Logistics Supply Chain

Yanfeng Global Automotive Interiors

ZF

Zynga, Inc.

NATIONAL ASSOCIATION OF COLLEGES AND EMPLOYERS62 Highland Avenue Bethlehem, PA 18017-9085 • 610.868.1421

www.naceweb.org