As wealth and income inequality continue to climb in the United States, some employers are developing innovative models and catalytic partnerships designed to bring new skills, job access, and ultimately economic opportunity to financially vulnerable and historically marginalized individuals.

With our Pathways to Economic Opportunity interview series, NationSwell is taking a closer look at some of the solutions companies are pursuing in service of leveling the playing field and expanding their talent pipelines. In spotlighting these partnerships, this series hopes to uncover the “secret sauce” that makes these solutions successful for the benefit of other employers and their leaders.

NationSwell recently sat down with the team at Extern — a mission-driven organization empowering students with hands-on professional experience while creating meaningful pathways to economic mobility for historically underserved talent. Extern developed the Externship – a new form of professional experience that its students say is a more flexible and accessible alternative to internship or co-op programs. Companies like PwC, The Home Depot, AT&T, HSBC, National Geographic, and The Nature Conservancy have leveraged Extern’s tech-enabled platform to deliver Externships to tens of thousands of young people.

Here’s what they had to say:

NationSwell: In your own words, can you describe the high-level problem that Extern is solving for? 

Matt Wilkerson, Founder and CEO, Extern: The challenge is clear: employers increasingly value work experience over credentials, yet most students don’t have access to the professional opportunities they need to succeed. Internships are shrinking, and career centers aren’t equipped to meet the demand for real-world preparation.

At Extern, we create new opportunities for students to gain professional experience while helping companies broaden their talent pipelines. Our team has a mix of tech, education, and corporate DNA which allowed us to develop a platform so companies can deliver Externships at scale. Externships go beyond traditional internships by offering accessible, structured work experiences that meet the needs of both students and employers.

As of this publication, we’ve officially served 50,000 students with six to eight week externship experiences since 2020; about 25,000 of those have been year to date, and we’ve worked with about 45 companies at this point. 

Extern works by standing up programs that connect students seeking real-world experience with companies seeking to recruit from diverse, underrepresented talent pools. The companies pay us to organize and run these experiences, and in exchange we absorb much of the recruiting, training, and management work that they would have had to do in a traditional internship.

For hiring managers, the professional experience section of a resume is often the most critical factor in recruitment decisions. Yet, systemic barriers leave millions of students—especially those from underrepresented communities—without access to these resume-building opportunities. Extern’s solution is to create and deliver new experiences that wouldn’t exist otherwise, ensuring more students are equipped to step into the workforce with confidence.

NationSwell: What are the primary differences between externships and internships, and what are the unique benefits of each for companies?

Wilkerson, Extern: Externships make professional experience more scalable and accessible. Unlike internships, which are often limited in number and require significant HR resources, Externships are designed to create flexibility and minimize the logistical burden on companies. 

The number of available internships is currently about 4 million each year, compared to about 20 million college students. So there’s a supply and demand issue to begin with, and part of the reason is that internships are hard to get set up on the employer side — it’s laborious to train students, to give them feedback, to manage these programs. The really big programs require enormous amounts of employee resources — many, many hours supporting individual students. At Extern, we take most of that load off of the employers.

NationSwell: Could you tell us a bit about how the program actually works, in practice?

Wilkerson, Extern: Over six to eight weeks, students work on real-world projects remotely with company support, removing geographic and logistical barriers to gaining work experience. For companies, externships reduce training and management overhead while delivering meaningful engagement with a diverse talent pool.

Take a head of consumer insights launching a customer research project: they may not have time to recruit, train, or manage interns on frameworks like survey design or ‘Jobs to Be Done.’ With Extern, they can launch projects quickly, spending just an hour every other week mentoring students while Extern handles the rest—recruiting, training, managing, and ensuring deliverables meet professional standards.

Extern streamlines the entire process: recruiting students through a single application, preparing them with targeted training on project-specific tools and methodologies, and managing daily operations like answering questions and reviewing work. By the time deliverables are presented, students have been guided to produce high-quality, professional outputs, freeing managers to focus on high-value mentorship instead of oversight.

For companies—whether or not they aim to hire college grads at scale—this creates a rewarding way to share expertise, connect with emerging talent, and build brand recognition.

NationSwell: How does your current funding model work?

Mike Eng, Senior Director of Partnerships, Extern: We’ve been fortunate enough to find some corporates who have been paying us to run these programs; that is predominantly where our funding comes from right now. Some of our biggest partners believe from a CSR perspective that they have a commitment to society — and to different stakeholders — to invest in initiatives like education and upskilling, and have funded programs where they want to create better career outcomes for specific demographic groups. They’re not necessarily looking to hire the students, and they are happy if the students go and work at different places. 

Other corporates work with us from the perspective of a pre-internship funnel, where some strategic leaders have recognized that they need to improve and find ways to differentiate themselves in the marketplace. By launching Externships with large cohorts they expand their brand recognition in competition with peers or different companies. They’re able to engage students a little earlier on and give them exposure to different career opportunities within the organization.

For example, we created a National Geographic and the Nature Conservancy externship that’s managed by us. These organizations want to bring young people into the field of conservation as part of their mission to inspire others to protect the natural environment, and so we’re running this program where students come in and get support and guidance toward careers at all these different places doing conservation work. 

NationSwell: How would you describe your theory of change?

Wilkerson, Extern: At a societal level, we’re addressing the disconnect between education and employment. For decades, the focus has been on earning costly degrees without ensuring job readiness, disproportionately affecting underrepresented students who face greater economic barriers.

At an individual level, Externships act as a catalyst for economic mobility, embedding future-ready skills through structured, real-world experiences that enhance education and give students a competitive edge. For example, we’re investing heavily in Generative AI training—covering prompt engineering, identifying hallucinations, and building chatbots—because we see it as a key skill for helping young people leapfrog the job market over the next few years.

This has a direct impact on learners from underrepresented populations, who ultimately have gotten left behind by this big push over the last few decades to go through higher education, take on more and more student debt to do so, and come out the other end with some kind of credential that’s supposed to mean something in the marketplace. 

NationSwell: What is the call to action for other leaders at other organizations who would hope to establish their own programs to improve either educational attainment or economic mobility?

Wilkerson, Extern: If you’re a company that has been thinking of standing up some sort of impact program, but you’re struggling with how to connect it to business value, the Externship model offers a powerful solution. If you have a corporate foundation or CSR team that wants to tie into business goals around recruiting, building employer branding, and engaging your employees, that’s where this program really shines. That’s our big call to action. 

NationSwell: Tell us a little bit about your learning curve — what have been the stumbles you’ve faced, or anything you’ve learned as you’ve grown this program? 

Wilkerson, Extern: One of our biggest hurdles has been convincing companies that externships are as effective as we claim. Employers are often skeptical that students can deliver high-quality work with minimal oversight. It sort of flies in the face of your intuition about how the world works. However, once the employees and managers experience the program firsthand, they see the value—and that’s why we’ve maintained such strong retention among our partners.

Degrees alone aren’t enough anymore. Employers need to prioritize real-world skills, and students need more opportunities to build them. Extern is uniquely positioned to address both sides of this equation.

NationSwell: Is there anything else that feels really important to mention here?

Wilkerson, Extern:  An Externship becomes this ability to train young people on future-ready skills. My current thesis is that companies aren’t going to embrace Generative AI fast enough — they’re dabbling in it, but employees actually need to be able to experiment and play with those tools. We’ve started to build out modules that can be delivered within the Externship that train students on this — we’ll teach them how to do something the regular way, and we’ll teach them how to use Generative AI to do it more efficiently, at higher quality — or do something that wasn’t possible before. 

Over the next few years, you’re not going to have enough candidates in the market who have developed these skill sets in a real professional experience. We can help students from underserved and underrepresented backgrounds essentially leapfrog the talent pool with these skill sets. So I’d say companies that believe in that, that want to invest in that, that want to run experiments, this is also a way to do that with a talent pool that’s hungry, and in many cases, actually knows more about how to use technologies like Generative AI better than the average employee.