Just two people have gained employment in Canberra through the federal government's youth-internship program since it began.
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The PaTH (Prepare, Trial, Hire) Program, unveiled in last year's federal budget, sees young people given employability skills training before being able to apply for internships at approved businesses in the hopes of getting a job.
Since the program began on April 1, just two out of the 19 young people in Canberra who participated in the voluntary internships received jobs.
Out of those 19 people, 15 are still participating in internships in the voluntary program.
Figures from the Department of Employment show 25 people in Canberra have been involved in employability skills training as of September 10.
As part of the controversial $750 million program, participants in internships receive $200 a fortnight on top of existing welfare payments for 30 to 50 hours of work per week for a maximum of 12 weeks.
Businesses taking part in the scheme also receive an upfront payment of $1000 from the government for taking on the intern.
If an intern gets a job, the business would receive a further payment of up to $10,000.
A Department of Employment spokeswoman said nine ACT-based businesses had hosted internships under the program so far.
"They cover industries including accommodation and food services, education and training, health care and social assistance, information media and telecommunications and wholesale trade," the spokeswoman said.
"There are no set targets in the ACT or in any other state or territory for PaTH internships. PaTH internships are a voluntary and demand-driven element of the program."
Nationally there were just 200 young people offered jobs as a result of the program, with 1015 internships being created during the first four months of the scheme.
Employment Minister Michaelia Cash said 120,000 internships would be created over the course of the four-year program.
United Voice ACT branch secretary Lyndal Ryan said while she welcomed the creation of jobs from PaTH, there were concerns around worker conditions.
"It is pleasing to see that a small number of participants at this stage have secured employment," she said.
"It is concerning, however, that via the PaTH program they have to be voluntarily underpaid in the process."
The concerns come after a Melbourne coffee chain was suspended from the program after workers were underpaid.
The department spokeswoman said it routinely works with employment service providers to monitor workplace conditions.
"A young person undertaking an internship is provided with a fact sheet with details of how the internships will work, what will be required of them and the employer, and where to go if they need assistance," she said.
Ms Ryan said there needs to be better solutions to solve high levels of youth unemployment.
"Some employers will take their responsibility of training young workers seriously and make genuine offers of employment," she said.
"Industries, however, are plagued with wage theft, bullying and harassment. A one-page sheet issued to young people in the program is not going to protect them from those employers who are prepared to exploit."