Empowering the Freelance Economy

Freelancer’s guide to spotting exploitative unpaid work trials in interviews

Work trials masked as free work can land in illegal territory Photo by Anna Shvets
0 364

GUIDES & REPORTS

Freelancers and job hunters frequently get asked by prospective hiring companies for work trials or assessments. This is increasingly coming in the form of speculative or “spec” work and end-client pitches.

Many of these requests demand significant time and expertise without compensation. This isn’t just an inconvenience; it’s a form of disrespect and, in some cases, exploitation.

Such requests can even contravene UK law.

This guide should help you spot common forms of exploitation, clarify legal rights under UK law, and offer real-world examples. It includes strategies for confident negotiation when asked to do work “on spec” or a task that, in every shape and form, should be carried out not for free but for a fee.

After reading the guide, we hope you are more informed and empowered to protect your time, talent, and intellectual property. Yet, still land the job or assignment.

Unmasking exploitation: What counts as unpaid work?

Case study

Creative Designer Courtney Summer Meyers, shared her personal experience on LinkedIn of having a series of frustrating and arguably exploitative experiences during a job interview process. After an initial in-person meeting was cancelled last minute (she was told her slot had been given to someone else), she was then out of pocket for the cost of her train ticket.

When she suggested a video interview, she was denied that option, so she arranged to travel again to London for an in-person interview, only to find the key interviewers (the founders) were absent and instead joined via video call.

The interview itself was repetitive as she had relayed most of her experience and expertise to the person who organised the in-office interview and set up the video call. After the founders suggested they would like to proceed with the interview process, they made a request for Courtney to carry out an unpaid “task” or work trial that would take a full day. She was also asked to turn around the task two days after their meeting.

Courtney realised this task was for the company’s direct benefit, using her ideas to potentially win a client they discussed with her during her job interview. Despite feeling pressured to fulfil a task to land an agency job and carry out what an employee would normally be asked to do, she bravely declined the task and withdrew from the process.

Her decision not to carry out the unpaid work was a reflection of the lack of respect shown to her by the hiring company, serving as a reminder to value one’s worth even when feeling desperate.

If a freelancer or any other job candidate is asked to carry out a pitch or any task that could benefit a business or be client-facing (either in-person or in the form of a pitch or design), that says something. It says the company believes in your abilities enough that they are willing to risk their reputation on it. Take that in for a minute and ask yourself: Why am I not getting paid for the work?

In Courtney’s case, and in hindsight, she could have expressed in the interview how much trust and faith the company had in her abilities based on her portfolio and work experience, to ask her to commit to a pitch for a prospective client to ultimately win new business.

Given how important such a pitch is, surely the client would value the job enough to pay her to put in the proper time and dedication. Surely, a fee could be agreed to show mutual commitment to the task at hand?

Understanding what legally constitutes “work” is the first line of defence against exploitation. The exploitation can start as early as your first job interview, as it did in Courtney’s case.

The distinction between a genuine assessment and actual labour, or between a portfolio review and a full-blown speculative project, can become blurry for independent professionals. If you are desperate to work with a certain company or in a new industry, you could be easily swayed to put in a full day’s work with no pay. If you come off desperate, the HR hounds will smell your desperation.

In the next section, we go over some legal boundaries between a job candidate assessment and work for the benefit of the hiring company.

Defining “work” v. “assessment”

If an individual is performing “real work” that directly benefits a business, they are almost always entitled to at least the National Minimum Wage (NMW), regardless of how the arrangement is labelled. This fundamental right applies even in the absence of a formal contract, as the National Minimum Wage Act 1998 stipulates that every worker is entitled to be paid for any hour worked. As of April 2024, the National Living Wage, applicable to workers aged 21 and over, stands at £11.44 per hour.  

However, guess who is not entitled to the minimum wage? The self-employed, according to the government. That said, on principle, as a self-respecting freelancer, you should take the following on board and use it as a clear argument to charge for any work carried out that would benefit the business (even if it is just an hour of your time and experience editing for one of their clients).

HMRC and UK employment tribunals scrutinise trial shifts on a case-by-case basis. Their primary inquiry revolves around whether the individual is carrying out “real work” that provides tangible value to the business for a meaningful duration.

If a trial involves performing tasks that would be part of the actual job role, especially if these tasks directly benefit the business, such as preparing a pitch, serving customers, handling stock, or processing transactions, payment at minimum wage is almost invariably required, irrespective of whether a job offer follows.  

Legitimate unpaid assessments are strictly limited. They must be genuinely necessary to evaluate an applicant’s core abilities, confined to essential skills, and limited in duration. Typically, an hour or so, not an entire shift or certainly not more than a day. Any unpaid trial period extending beyond a single day is consistently deemed unlawful and necessitates payment at the NMW. Or in the case of the self-employed, an agreed amount.

This is the important bit. The label (e.g., “trial shift,” “volunteer,” “working interview”) assigned to an unpaid period of work holds little legal weight; what truly matters is the nature of the activities performed. If the activity provides value or benefits the business, it triggers NMW obligations.

This often indicates an employer’s attempt to misclassify work to circumvent payment obligations, relying on the freelancer’s potential lack of legal knowledge. Individuals must critically assess the tasks they are asked to perform during any “unpaid” period. If it functions like actual work that contributes to the client’s operations or profit, it is most likely work, and payment is due.  

A common exploitative tactic involves what can be referred to as duration creep. While short, genuine skills assessments might legitimately be unpaid, the longer the period, the more likely it is to be classified as work requiring payment. This pattern suggests that employers incrementally extend trial periods, pushing the boundaries of what is legally permissible, often to secure free labour. This incremental extension of unpaid periods is a subtle form of exploitation, less overtly illegal than outright refusing payment for a full project but still leveraging the freelancer’s desire for a job to extract free value.  

They are also likely to be clients who are guilty of “scope creep”, whereby a client keeps adding tasks or mini-assignments that were not outlined in the contract or the brief within a larger project. 

The pitfall of spec work and free pitching

Spec work,” also known as speculative work or free pitching, involves providing creative output to prospective clients without a guaranteed fee or contract, often in the hope of securing a future project or payment, but with no certainty. This practice frequently manifests as design contests, where numerous designers compete, but only the “winner” receives compensation, or as extensive work required as part of a bid.  

This approach is highly problematic for several reasons. Industry bodies strongly advise against free pitching even for agencies who might as ask a freelancer to partake in a pitch; for instance, the Design Business Association (DBA) states: “As members of the DBA, their Code of Conduct recommends: ‘Members should not take part in pitches, which require unpaid work. The level of payment for pitches should relate to the time and effort involved.”

Similarly, AIGA (American Institute of Graphic Arts), an influential body in design, advocates for fair compensation and warns of significant risks associated with speculative work, including compromised quality, exploitation of designers, and legal issues concerning intellectual property. Clients often initiate contests or request spec work to obtain creative output cheaply, benefiting from numerous designs while only paying for one.  

A significant negative consequence for freelancers is the risk of losing time, money, and intellectual property rights. Unethical clients (from advertising agencies to tech companies) may even use the work without legal repercussions if no formal contract is in place. The prevalence of spec work tends to intensify during “tough economic times” due to heightened competition for projects.

We’re in those times!

Spec work isn’t merely an individual transaction; it is a practice that damages the design profession, devalues creativity, and erodes professional standards. This suggests a collective action problem: while individual freelancers might feel compelled to engage in spec work, their participation contributes to a downward spiral for the entire industry. This leads to a normalisation of unpaid creative labour, making it harder for all professionals to charge fair rates.  

Plus, vulnerability arises from the intellectual property (IP) perspective. Freelancers often “unwittingly lose all rights to their creative work” because they “failed to protect themselves by means of a contract or agreement” when engaging in spec work.

If an unethical client subsequently uses uncompensated speculative work without a contract, enforcing IP rights becomes significantly challenging. This indicates that the very nature of “spec work”, which is work performed prior to formal engagement or contract, creates an IP vacuum that clients can exploit.  

Recognising red flags: when a “trial” becomes exploitation

Identifying red flags comes more easily the longer you are a temp worker or have been working freelance. However, for trial shifts, key warning signs of exploitation include:

  • If the trial extends beyond the time genuinely required to assess essential skills
  • If the employer fails to observe the applicant adequately
  • If the tasks performed are not genuinely part of the role applied for; or if the tasks provide “value” to the employer beyond a mere skills test, such as reducing labour costs
  • If a trial period lasts longer than a few hours, it should generally be classified as work and compensated. Employers are advised to exercise extreme caution with unpaid arrangements, as tribunals typically “err toward protecting the worker’s rights”.  

Seculative work red flags include:

  • Requests for complete designs or concepts without a formal contract
  • Contests offering minimal prize money for extensive creative effort
  • Or demands for significant preparatory work as part of a “bid” process  

A recurring theme across both trial shifts and speculative work is the client’s underlying motive to extract “value” or “free work” without compensation. This often indicates that the client’s primary objective is cost-cutting and leveraging the freelancer’s vulnerability, rather than conducting a genuine assessment or finding the best professional fit.

The value criterion serves as a legal and ethical differentiator. If an activity directly contributes to the client’s operations, revenue, or product development, it constitutes work, not merely a test. Individuals should train themselves to identify this value extraction motive. If a request feels like it primarily benefits the client’s immediate business needs rather than genuinely assessing unique skills for a specific role, it should be considered a significant warning sign.  

IP rights in a work trial

Each time an original work is created for a client, it is protected by law as intellectual property (IP). For most freelancers, copyright is the most important intellectual property right, as it safeguards artistic and literary works such as logos, designs, and written content.  

A crucial aspect of copyright law is the default position: unless there is a specific agreement to the contrary, the freelancer generally retains copyright in the work they create. However, many freelance agreements contain clauses that expressly assign all intellectual property rights in the work to the client. By signing such a contract, the freelancer effectively relinquishes all rights to the work, meaning they cannot use that work again in the future without infringing the client’s rights.  

Alternatively, IP can be handled through licensing. In this arrangement, the freelancer permits the client to use the work for a specific period or purpose. Ownership of the IP then reverts to the freelancer once the licence expires. A licence can be exclusive, meaning no one else (including the freelancer) can use the work while the licence is in place, or non-exclusive, according to Jill Bainbridge, Partner and Head of Intellectual Property at Harper James.

Protecting IP in pitches and speculative work requires careful consideration. Many in the design industry suggest designers should turn down free pitching and spec work. Unless specifically asked to produce new work for a pitch, it is advisable to direct potential clients to an existing portfolio as proof of expertise and experience.

If specific work is indeed requested for a pitch, it is crucial to include a clear copyright statement (e.g., the © symbol, the date of creation, and the freelancer’s name) and a watermark on all documentation. It is also recommended to speak generally about previous similar projects during pitches rather than giving away specific ideas for the current project.

It may seem extreme, but considering a Non-Disclosure Agreement (NDA) could help ease any doubts about the client’s integrity or if highly sensitive ideas are being shared. If you take your work seriously, so should an upstanding potential client.

A freelancer retains copyright by default if “no agreement to the contrary” exists represents a powerful but often overlooked protection, according to Bainbridge. However, many client contracts include broad IP assignment clauses, effectively eroding this default right. This often indicates a common client strategy to acquire maximum IP for minimal cost, frequently without explicit negotiation.

This also leads to a situation where a freelancer’s unawareness of default IP rights, combined with a client’s inclusion of broad IP assignment clauses, results in the freelancer inadvertently giving away valuable IP, diminishing their long-term portfolio value and potential for reuse. Individuals must be proactive in protecting their IP. This involves understanding the difference between assignment and licensing, carefully reviewing IP clauses in contracts, and explicitly stating copyright on any speculative work or pitches.  

The risk of losing IP rights is particularly high in spec work scenarios where no contract is in place. If a client uses uncompensated speculative work without a contract, enforcing IP rights becomes significantly more challenging.

The request for spec work often comes as a dual exploitation: it seeks free labour and free ideas/IP, with no contract acting as a shield against legal repercussions for the client. This reinforces the advice to avoid spec work.

If it is unavoidable, explicitly marking all submitted pitch materials with a copyright notice (e.g., © Your Name, Year) and a clear statement that IP rights are retained until a formal, paid agreement is in place is vital. This serves as a warning to the client and strengthens one’s position if disputes arise.  

Real-world cases & how CMA is fighting back for freelancers

Understanding past instances of exploitation and current legislative efforts helps put into perspective the challenges and ongoing fight for freelancer rights in the UK.

Lessons from the creative sector

The creative industries in the UK have historically been a hotspot for unpaid work and internships, often justified by the promise of “experience” or as a means of “breaking into the industry”. Statistics paint a clear picture: a BECTU survey revealed that 49% of individuals entering the creative industries reported being pressured to work for free.

The Sutton Trust found that 61% of internships undertaken by recent graduates were either underpaid or entirely unpaid, with the largest proportion of these opportunities concentrated in the UK’s South East, where accommodation costs are notoriously high.  

This practice has significant repercussions, creating substantial barriers for young people from working-class backgrounds who cannot afford to work unpaid, thereby hindering social mobility.

The issue of unpaid internships is not merely an inconvenience but a significant barrier to social mobility, particularly in the creative industries and in expensive urban areas. This means that the “experience” gained from unpaid work is often accessible only to those from wealthier backgrounds, creating an uneven playing field. The “brazenly advertising unpaid internships” despite existing legislation suggests a deliberate disregard for the law.  

Another case of freelancer exploitation

Beyond individual instances of unpaid work, a significant case highlights systemic exploitation within the creative sector. The UK’s Competition and Markets Authority (CMA) imposed fines totalling over £4 million on five major UK broadcasting companies—Sky, BT, IMG, ITV, and BBC—for illegally sharing freelancer pay information in sports productions.

This involved 15 instances of information-sharing between 2014 and 2021, with the explicit aim of coordinating pay and effectively suppressing freelancer earnings. The CMA determined that this practice breached the Competition Act 1998, which prohibits anti-competitive behaviour. Sky received immunity from fines for reporting the illegal activity under the CMA’s leniency policy, while the other companies received reduced penalties for cooperation.  

The CMA fines against major broadcasters put a spotlight on how such practices are not always limited to individual employers attempting to cut corners; they can involve large, established corporations engaging in anti-competitive practices to collectively suppress freelancer earnings.

This represents a more worrying form of exploitation than a single unpaid trial shift. Individuals need to be aware that their rates might be artificially suppressed by industry-wide practices, not solely by individual client budgets.

Freelancers who are truly self-employed call the shots on their rates, so always negotiate with a client until you reach a rate you can feel comfortable with.

Mastering the pitch: How to say no to free work

Refusing requests for free work can actually work in a freelancer’s favour if they play their cards right. As previously mentioned, some industry bodies, such as the Design Business Association (DBA), recommend that agencies “do not free pitch,” asserting that it is an “unsustainable business model” and “devalues what you are selling”. The same applies to freelancers going for work via an agency. Declining free work also sends a clear message that your expertise and time are valued and you demand professional respect not just from the hiring agency but their end clients.  

When refusing to do work on spec or take part in an unpaid client pitch, rather than criticising the practice or using arguments about how it harms the industry, you can stress that great design work, for instance, requires genuine collaboration and a deep understanding of the client’s business, which free pitches inherently lack.  

It is advisable to establish a clear policy of protection regarding free pitching from the outset and communicate it consistently. It could be easier to decline unsuitable requests if you make this known even on your website, as it tends to attract clients who respect your professional boundaries.

If a prospective client requests free ideas, it is important to draw a firm line, clarifying that if you start to strategise, develop and design ideas, that becomes paid design work. Generally, working “on spec” (without a firm commission) is not recommended, as payment is often unlikely.   

Where to turn: ACAS, Citizens Advice, and law centres

Several organisations in the UK offer support and guidance for freelancers facing payment disputes or employment rights issues. Consider beginning with free advice (Acas, Citizens Advice), then consider more formal legal avenues if necessary. This can be a cost-effective resolution while getting to understand which legal options are available for more serious cases.  

Acas (Advisory, Conciliation and Arbitration Service): Acas provides impartial advice on resolving payment disputes. As the UK’s independent authority on employment relations, it offers conciliation and arbitration services specifically designed to help resolve workplace problems before they escalate to court. Their guidance is highly regarded and often used as a benchmark by employment tribunals  

Citizens Advice: This organisation can provide general advice on employment rights and guide individuals to appropriate resources  

Law Centres: These centres offer free legal advice to individuals who meet their criteria  

Solicitors: For more complex cases or when formal action is required, solicitors can provide specific legal guidance and assist in making formal claims for unpaid wages through an employment tribunal. Employment tribunals are equipped to hear claims for unpaid wages and holiday pay, with claims potentially going back up to two years 

Think like a business owner

It isn’t always easy to refuse when a potential client asks for free work trials or work “on spec”. However, there is also nothing stopping you from negotiating a fee for your expertise and time if it is going to benefit the hiring company’s business or one of their clients. Your talent is your business’s capital, so protect it. If you don’t ask, you don’t get, right?

Saying “no” to free work is not a sign of weakness. It’s professionalism that benefits both your business and all the other freelancers out there. By understanding the nuanced legal definitions of “work” versus “assessment,” recognising the pitfalls of “spec work,” and leveraging your knowledge about rights under the National Minimum Wage Act (even though the self-employed are not guaranteed it) and intellectual property law, freelancers can feel more confident spotting the red flags.

You should never feel powerless if you come across a similar situation. The UK offers a network of support, from advisory services such as Acas and Citizens Advice to the collective strength of unions and industry bodies. By staying informed and advocating your worth, you’re doing a great service for your business and the freelance economy.

DISCLAIMER: This guide is for information purposes only and does not constitute professional advice.

Leave A Reply

Your email address will not be published.