The transition from school to work can be tough for young people and stressful for parents.

There's evidence the high cost of housing and rapid changes in the labour market driven by technology has made the shift to adulthood more challenging

So, on the face of it, the scheme announced in the budget to assist young people on the path work is likely to be popular with many voters.

But there are clear risks as well.

The government will introduce an internship program to help young people who have been out of work for six months or more to gain practical work experience within a business. This will follow an intensive six weeks of "pre-employment skills training."

"Job seekers and businesses, with the help of jobactive providers, will be able to work together to design an internship placement of 4 to 12 weeks duration, during which the job seeker will work 15 to 25 hours per week," Treasurer Scott Morrison said when he announced the scheme in his budget speech.

Job seekers will be paid $200 per fortnight on top of their regular income support payment while participating in the internship.

Businesses that take on interns will receive an upfront payment of $1000.

"This is real work for the dole," said Morrison.

In the final stage of the program employers will be eligible for a "Youth Bonus wage subsidy" between $6,500 and $10,000, depending on the young person's job readiness. Businesses will be able to employ young job seekers either directly, through labour hire arrangements, or combined with an apprenticeship or traineeship.

Internships, normally unpaid, have become increasingly common in Australia and overseas. But some firms, especially in the United States have been criticised for using them to access free or very cheap labour. Young unpaid interns in some industries have also questioned how useful they are to help break into workforce. By formally endorsing internships with this new program the government will be open to similar criticisms.

Young workers are normally inexperienced and potentially vulnerable to exploitation. It is unclear how these government-funded interns will be protected.

There is also a risk that unscrupulous employers could exploit the scheme, especially the one-off $1000 payment for taking on an intern.

Effective monitoring will be crucial.