I am a full time student and have been working part-time as a contractor for the past 7 months developing an app for a company. They have recently announced that they would like me to continue working for them, as an intern over the summer. I would be working double the hours I do currently and doing almost identical work, with no new experiences.
However my employer has announced that since I will be an intern, I will be paid 25% less than my current hourly rate, in order for it to "be fair for the other interns" who will also receive this lower rate.
This company and my employer have been very good to me, and have made it clear that they are impressed with my work, so I am somewhat confused as to why they are choosing to lower my pay. Naturally I feel rather annoyed at being paid less for the same work, and I am wondering whether I should agree to sign up for this reduced pay. I have been considering asking whether it would be possible to continue on my current contract with the same hours and the same pay, but I am terrified of upsetting my boss who has been so lovely, and I really do not want to lose this job!
TL;DR Should I continue working for a company who want to lower my salary?