Making the business case for InternshipsVA

This week, Virginia takes an important step forward in how it develops — and retains — talent with the launch of InternshipsVA. At a time when employers across the commonwealth are competing nationally for skilled workers, this initiative reflects a clear commitment to connecting students to real work experience and helping businesses build the workforce they need to grow.

A public-private collaboration led by the Virginia Economic Development Partnership (VEDP) and made possible through bipartisan support from the Virginia General Assembly, InternshipsVA establishes a framework that encourages Virginia employers to start or expand high-quality, paid internship programs. It provides employers with practical guidance for designing effective work-based learning experiences and offers matching grants to smaller employers that help cover the cost of hosting paid internships.

Internships and other forms of work-based learning are among the most effective talent development tools available. They allow employers to identify and train future employees, reduce hiring risk and build pipelines that align higher education with workforce needs. For students, internships provide exposure to professional environments, hands-on experience and clearer pathways from learning to earning. A student who connects with a Virginia employer for a work-based learning opportunity is more likely to stay in the commonwealth for full-time employment after graduation.

But whether internships work for all students depends on a key factor: affordability.

For many undergraduates, an internship does not supplement a job — it replaces one. Students often have to forego an unpaid internship and rely on a paying job to cover everyday living expenses for housing, food, and transportation. Paid internships allow students to gain valuable work experience, often with academic credit, while remaining financially stable.

Many employers, particularly small and mid-sized businesses, want to offer internships but face budget constraints. InternshipsVA’s matching grants directly address this barrier, making it easier for smaller employers to participate, expand opportunities and invest in future employees.

Talent development and retention are central priorities in the Virginia Business Higher Education Council‘s Higher Education Impact Agenda. Statewide polling shows strong bipartisan support among Virginians for innovative internship programs like this.

The Virginia Chamber of Commerce has heard the same positive feedback from employers and has emphasized work-based learning and paid internships as key strategies in its recently released Blueprint Virginia 2035 business plan for the commonwealth.

InternshipsVA translates these shared priorities into action. It offers employers clear guidance on structuring internships that deliver real value, with expectations around compensation, mentorship and meaningful work, while remaining flexible enough to work across sectors and regions.

For Virginia’s employers, InternshipsVA is both an opportunity and a call to action. Expanding paid internships — especially through programs that support small employers — is one of the most effective ways to invest in future talent and strengthen retention.

VBHEC and the Virginia Chamber are proud to support this initiative as part of our work to create affordable talent pathways accessible to all Virginians. In addition to our collaboration with VEDP on InternshipsVA, we are partners with the State Council of Higher Education for Virginia, the Virginia Talent + Opportunity Partnership (V-TOP) and our colleges and universities in working to expand for-credit work-based learning opportunities and enhance internship center services on campuses.

Virginians can be proud that their commonwealth is a leader in this crucial space. Our state is the first to set a goal of providing a paid internship experience for every undergraduate who wants one without extending the time it takes to gain a degree. Our talent leadership has been recognized by the nation’s leading authorities — from Strada Education Foundation’s most recent State Opportunity Index to CNBC’s Top States for Business.

Keeping Virginia the top state for talent will require sustained collaboration across business and education and continued bipartisan support from state leaders. We are grateful for this collaboration and support, and are especially pleased that, through InternshipsVA, the commonwealth is making another important step forward in strengthening its talent pipeline.

Jen Siciliano is the chair of the Virginia Chamber of Commerce. Dennis Treacy is the chair of the Virginia Business Higher Education Council and has served in senior leadership roles across business, government and nonprofit sectors.