According to the Icelandic Labour Force Survey the number of persons in the labour force in August 2017 was 200,800. Of those in the labour force 195,800 persons were employed and 5,000 persons were unemployed. The activity rate was 83.1%, the employment rate was 81% and the unemployment rate was 2.5%. Comparison between August 2016 and 2017 shows a slight decrease in the activity rate or 2.3 points. The number of employed is almost the same but the employment rate decreased by 1.9 points. The number of unemployed persons have decreased by 800 since August 2016 when the unemployment rate was 2.9%. Inactive were 40,900 having increased by 6,300 since August 2016 when they were 34,600.

Flow Chart — Labour force 16–74 years — August 2017


Figures may not add up because of rounding.

Seasonally adjusted unemployment was 2.7% in August
The changes in the Icelandic labour market display a certain pattern as regards seasonality, as can be seen in the figures below. The seasonally adjusted estimate of the number of people in the labour force is 196,400 in August 2017. This corresponds to 82% activity rate which is 0.4 percentage points higher than in July 2017. The number of unemployed persons in August 2017 is estimated to be 5,300, an increase by 1,300 since July. The seasonally adjusted unemployment rate was 2.7% in August compared to 2.1% in July. The seasonally adjusted employment rate was 79.8% in August which is almost the same as in July. The trend for seasonally adjusted data in the last six months shows that both activity and employment rates have decreased by 0.6 points. The unemployment rate shows little or no change.

 


Implementation
August 2017 is divided into five weeks, from 31st of July to 3rd of September. The total sample size was 1,507 persons, 16–74 years, randomly chosen from the Population Register. When those who had passed away and those who were living abroad had been deducted from the sample, the net sample was 1,466 persons. In total, the number of usable answers was 1,020 which correspond to 69.6% response rate. All figures have been weighted by sex and age groups. The confidence limit of the estimate on activity rate is ±2.2 points, employment rate ±2.4 points and unemployment rate ±1.2 points. Figures may not add up because of rounding. All numbers for the first two months in every quarter of the year are preliminary until the end of the quarter.

Table 1. Labour market in August — Original
    CI   CI   CI
  2015 (±95%) 2016 (±95%) 2017 (±95%)
Total 16-74 years            
Activity rate 84.2 2.3 85.3 2.3 83.1 2.2
Employment rate 81.1 2.5 82.9 2.5 81.0 2.4
Unemployment rate 3.7 1.4 2.9 1.3 2.5 1.2
Hours of work 40.8 1.3 40.3 1.3 40.7 1.3
Labour force 194,700 5,300 201,500 5,500 200,800 5,500
Employed 187,500 5,700 195,700 5,900 195,800 5,800
Unemployed 7,200 2,700 5,800 2,600 5,000 2,400
Inactive 36,500 5,300 34,600 5,500 40,900 5,500
Est. population 231,200 236,200 241,700
Table 2. Labour market last 6 months — seasonal adjustment
  Mar-17 Apr-17 May-17 Jun-17 Jul-17 Aug-17
Total 16-74 years            
Activity rate 84.7 83.6 82.9 82.6 81.6 82.0
Employment rate 83.3 81.8 80.5 80.5 79.9 79.8
Unemployment rate 1.7 2.2 2.8 2.6 2.1 2.7
Hours of work 40.0 40.5 40.2 39.9 39.4 39.7
Labour force 202,000 200,600 198,300 197,900 195,000 196,400
Employed 198,600 196,300 192,700 192,800 191,000 191,200
Unemployed 3,400 4,300 5,600 5,100 4,000 5,300
Inactive 36,400 39,400 41,000 41,700 44,000 43,200
Est. population 238,300 240,000 239,300 239,600 239,000 239,700
Table 3. Labour market last 6 months — seasonal adjustment trend
  Mar-17 Apr-17 May-17 Jun-17 Jul-17 Aug-17
Total 16-74 years            
Activity rate 83.3 83.2 82.9 82.8 82.7 82.7
Employment rate 81.1 80.9 80.7 80.5 80.5 80.4
Unemployment rate 2.7 2.7 2.7 2.8 2.8 2.8
Hours of work 40.1 40.1 40.0 39.9 39.8 39.7
Labour force 200,300 199,900 198,900 198,300 198,000 197,900
Employed 194,800 194,500 193,500 192,800 192,600 192,500
Unemployed 5,500 5,400 5,400 5,500 5,500 5,500
Inactive 40,100 40,400 40,900 41,200 41,300 41,300
Est. population 240,300 240,300 239,900 239,500 239,300 239,200

Statistics