Under the three million dollar program, vocational education and training would be recognised at school and count towards future qualifications.
Ms Gillard said the program would start in 2012 and would be comprised of two streams.
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Government experts would work with industry to develop the program and help recognise "vocational education and training".
"Currently around 220,000 students do study vocational education and training at school," Ms Gillard said at Richmond High School in western Sydney on Tuesday.
"That's around 41 per cent of kids going into senior secondary certificates."
Ms Gillard said any qualifications achieved during the cadet program would help young workers on their way to apprenticeships.
