Thousands of Australian apprentices in the building and construction industry are set to benefit from the advice of a mentor following an agreement between the Federal Government and Master Builders Australia.

Under the Construction Apprenticeship Mentoring Scheme (CAMS), the Federal Government will provide $3.4 million see 200 volunteer mentors assist up to 4,000 apprentices.

"This scheme is about matching up young apprentices with mentors to help them overcome challenges and complete their training," Parliamentary Secretary for Skills Sharon Bird said.

"A national coordinator and engagement officers are already in place who are recruiting up to 200 volunteer mentors who will assist up to 4,000 Australian Apprentices.”

Ms Bird said the scheme was devised to help increase the rate of completion of apprentices, with less than half of them currently completing their apprenticeship.

Funding for CAMS comes from $80 million Australian Apprenticeships Mentoring Program which has already allocated funding to more than 30 mentoring projects.