According to preliminary data, a total of 197,800 persons were employed in Iceland in 2017, which is an annual increase of 4.8% compared with 2016. In the same period total hours worked increased by 3.4%. From 2010 to 2017 the number of employed persons increased by 22% compared with a 16% increase in total hours worked. Number of hours worked is the most common measure of economy-wide labour input.
Slowing productivity growth
According to preliminary data, overall labour productivity increased by 0,2% in 2017 relative to the previous year, compared with an annual increase of 2.3% on average in the period 2014-2016. From 2008 overall labour productivity has increased by 13.4%. The preliminary data for 2017 show different performance between sectors, where annual productivity growth is now measured highest in agriculture and fisheries, as well as in financial and insurance activities.
Figures for 2017 are based on preliminary data. Revised figures will be published 7 September 2018.
Statistics Iceland recently published for the first time data on labour productivity for the whole economy and individual sectors as new data on labour market quantity measures becomes available. The new labour market data is the result of an extensive development project aimed at producing new estimates of the number of jobs, the number of employees and the number of hours worked. Labour productivity is calculated for the period 2008–2017 based on Gross Domestic Product by industries and total employment measured by hours worked.