I'm pretty sure that the latest recomendations from ACOG (American College of Obstetrics and Gynecology) say that moms should only be induced for medical reasons. Personally, I wouldn't be induced unless the doctor had some really convincing reasons why it was necessary. Inducing is considered to be low risk because it's done all the time, and I guess it is insofar as the mom and baby end up being okay in the long run, but there are risks. It's possible for due dates to be wrong, and the baby could be not quite ready to be born. If that's the case, there could be breathing difficulties right after the birth. Also, your chances of having a c-section are much higher if you're induced because the body simply won't deliver a baby if it's not ready. And while c-sections are extremely safe, they're also much more dangerous than "normal" births. (The v-word gets bleeped out, sorry.) There are also rare complications, such as uterine rupture, with pitocin. In fact, people get so worried about moms trying to deliver babies "normally" after they've had a c-section, but the risk of uterine rupture with a VBAC (v birth after cesarean) is about the same as the risk of uterine rupture with pitocin inducements.
With all that being said, statistically, she still doesn't have much to worry about. The birth may be harder if she's induced, and the recovery will be harder if she ends up with a c-section, but a few months from now, mom and baby will be just as healthy as they would have been otherwise. I would try not to worry about it, as a MIL.
Now if she's worried about it, she should ask her doctor. If he doesn't have a good reason why she needs to be induced, she should tell him that she doesn't want to be. She probably won't get much of an arguement. Some doctors (especially older ones, it seems to me) are just in the habbit of inducing women around their due dates because they think women don't want to go much longer. Even if he does tell her that he wants to do it now, it's not like he can drag her to the hospital, tie her to the bed, and put an IV in her arm. You can always refuse any medical intervention you don't want. I did it during my pregnancy. I got some strange looks, but life went on.