First Minister Alex Salmond is to appoint a dedicated minister for youth employment.
An extra £30 million will also be given over to tackle the rising number of unemployed young people a situation branded a ”national emergency”.
Mr Salmond announced the creation of the £81,449 post just minutes after Labour leader Iain Gray had demanded the move, which was first mooted in an independent report last week.
The First Minister said: ”Scotland’s youth employment rate is higher than the rest of the UK but we must not be complacent. We have already made an explicit commitment to our 16-19-year-olds that if they aren’t already in work, education or training they will be offered a place in learning or training.”
He added: ”We face unprecedented economic challenges and we know that more needs to be done. And this government’s key commitment is to those young people who yearn to be productive.
”No young person should go through school only to become an unemployment statistic at the age of 16.”
The new minister, he said, would have £30 million to spend tackling the problem, with the money being brought together from other departments.
The youth employment minister will work with councils and the voluntary and private sectors to achieve ”the substantial proposals that must be made”.
The appointment will be confirmed following a cabinet meeting on Tuesday, with frontrunners thought to include Dundee City West MSP Joe FitzPatrick, Glasgow MSP Humza Yousaf, South Scotland MSP Joan McAlpine and Renfrewshire MSP Derek Mackay.
Mr FitzPatrick said: ”This underlines the Scottish Government’s commitment to doing more to tackle the problem of youth unemployment. We are determined to ensure that no young person should leave school without a place in education, training or employment.”
Mr Gray had used a debate at Holyrood on Thursday to call for an ”emergency response” to deal with the ”national crisis” of unemployed young people a figure which now stands at around 100,000.
He welcomed the announcement of the new minister, saying: ”Alex Salmond seems finally to get the point the SNP Government have not done enough to tackle youth unemployment.
”I welcome the fact he will now follow Labour’s call for a minister for youth jobs. The SNP have to realise it is time for an emergency response.”
The Smith Group had argued for a ministerial appointment in a report last week that claimed youth unemployment would ”remain a serious national issue” for some time.
Lord Smith, who led the group, said he was ”absolutely delighted” at the new position.
He said: ”I also strongly welcome that a further £30 million in funding will be committed to helping Scotland’s young people into training, work or education to secure a stronger workforce for the future.”
Tory education spokeswoman Liz Smith said the issue could ”hardly be more important”.
But she added: ”If there is a strong message that emanates from Scottish businesses right now, it is that too few of our young people understand what constitutes a professional attitude.”
Lib Dem MSP Liam McArthur highlighted a youth contact unveiled by Deputy Prime Minister Nick Clegg last week.
The move was also welcomed by the Alliance of Sector Skills in Scotland, which is the voice of employers in education.
Director Jacqui Hepburn said: ”The cross-party support for such a move highlights the commitment to ensure that our young people realise their full potential.”