The seasonally adjusted unemployment rate in November 2021 was 4.2% according to figures from the Icelandic Labour Force Survey and had decreased by 1.2 percentage points between months. Seasonally adjusted activity rate was 80.1% and seasonally adjusted employment rate 76.7% which is an increased by 1.2 percentage points between months. The seasonally adjusted trend of unemployment has been stable over the past 3 months at 5.1% but has decreased by 0.7 percentage points over the past six months from June 2012. The seasonally adjusted employment rate has increased by 1.9 percentage points over the past six months.
Based on unadjusted measures, the number of 16–74 years active on the labour market was estimated to be 210,200 (±7,900) in November 2021, which is equivalent to 78.7% (±2.9) activity rate. Of the labour force, 203,100 (±5,600) were employed and 7,100 (±2,700) unemployed and looking for a job. The employment rate was estimated to be 76.0% (±2.8) and the unemployment rate 3.4% (±1.3). Employed individuals worked 35.3 (±1.3) hours on average per week in November 2021. Compared with November 2020, the unemployment rate decreased by 3.8 percentage points between years and the employment rate increased by 5.8 percentage points.
The unemployment rate of young people aged 16-24 years was 4.1% in November 2021. It was estimated that 1,200 individuals in this age group were unemployed and 11,400 outside the labour force. Compared with previous years, the unemployment rate in this group of young people has never been measured lower in November from the beginning of continuous Labour Force Survey in 2003. The unemployment rate of 16-24 years old decreased by 5 percentage points between years and the employment rate increased by 14.2 percentage points.
It was estimated that 26,300 individuals had unmet need for employment (labour market slack) in November 2021, which is equivalent to 12% of the labour force and potential labour force. Of those individuals, 27% were unemployed, 25.3% willing to work but not looking, 6.2% in job search but not willing to work and 41.4% working part-time and wanting to work more. Compared with November 2020, labour market slack has decreased by 4.3 percentage points between years. The seasonally adjusted trend of labour market slack has been stable over the past 6 months.
Please note that the sum of sub-items might be inconsistent with the overall results due to rounding.
About the data
The Icelandic Labour Force Survey for November 2021 covers four weeks, from 1st to 28th of November 2021. The sample consisted of 1,529 individuals, 16-74 years old with legal residence in Iceland. Excluding those who were sampled while living abroad or deceased, the net sample consisted of 1,486 individuals. Usable answers were obtained from 955 individuals which corresponds to a 64.3% response rate.