The Department for Work and Pensions said today they want to make it "as easy as possible" for businesses to employ young people through the Youth Contract.
Information on how the Youth Contract is progressing will not be released for another few months.
As part of the government's Youth Contract, companies receive more than £2,000 for taking someone aged 18-25 off welfare benefits once they have been employed them for six months.
But a survey from EEF, the manufacturers' organisation, shows that nearly six months on from the scheme's launch date, many companies are still not convinced.
Of the firms surveyed by EEF, not one was taking part in the scheme.
- 32% said they had not yet heard of the Youth Contract
- 44% have heard of it but are not currently planning to take up the offer or even think about it
- 21% had heard of the scheme and are considering whether or not to take it up
Local business owner Andrew Esson, who runs a hydraulics company in North Shields, says employing people through the Youth Contract is not for him.
Steve Radley, the director of policy at EEF, says there is "a big risk" for employers when it comes to the Youth Contract: