Well this is the worst news I've heard in awhile. The debate over whether or not unpaid internships are fair, given that it takes a certain amount of privilege to be able to have one, is one thing, but this adds another total layer of absurdity. Apparently, an unpaid intern was not allowed to bring forth a claim of sexual harassment against her supervisor under the New York City Human Rights Law because--get this--she wasn't a paid employee. Additionally, interns aren't covered by New York's state or city laws either. Talk about insult to injury.
It appears that the state could have added provisions for unpaid internships, but, for whatever reason, hasn't elected to do so yet. It's a totally unfair process and I can't believe that there's no recourse.