According to seasonally adjusted figures from Statistics Iceland's labour market survey, unemployment was 7,100 in September, or 3.7% of the labour force, which is 0.7 percentage points lower than in August. Seasonally adjusted employment rate was 81.5%, which is 1.4 percentage points higher than in August, while seasonally adjusted employment rate was 77.6%.
Looking at the past six months, seasonally adjusted trends show that employment figures have been fairly stable, although they have fallen slightly, or by 1.0 percentage points, mainly in the last two months. More changes can be seen in the employment rate, which has dropped by 1.5 percentage points in the last six months. The seasonally adjusted unemployment trend is also fairly stable, although it has declined slightly between April and September, or by 0.3 percentage points.
According to unadjusted measurements, it is estimated that around 206,500 people aged 16-74 years were on the labour market in September 2019. This corresponds to 80.3% (± 2.2) labour force participation. Of the workforce, 199,900 (± 4,200) were found to be employed and 6,700 (± 800) were unemployed and looking for work. The employment rate was 77.7% (2.4) and the unemployment rate was 3.2% (± 1.0). Unadjusted measurements indicate that although the employment rate has decreased by 1.9 percentage points since September 2018, the number of employed persons has increased slightly, or by 400.
Comparison of unadjusted measurements for September 2018 and 2019 also indicates that the labour force has increased by 3,900 people, although its share of the population has decreased by 0.5 percentage points. In September 2019, more people are estimated to be outside the labour market, or 50,700 (± 2,100), compared with 48,100 in September of the previous year.
Unadjusted measurements also show an increase in the unemployment rate by 1.7 percentage points, or from 1.5% in September last year. However, it is worth pointing out that the unadjusted measurement of unemployment was unusually low in September 2018.
All numbers are rounded to the nearest hundred.
Flow Chart — Labour force 16–74 years — September 2019 measures
Figures may not add up because of rounding. CI (95%) Unemployment rate: Total ±1.0; males ±2.7; females ±5.2.
| Table 1. Labour market in September — Original | ||||||
| CI | CI | CI | ||||
| 2017 | (±95%) | 2018 | (±95%) | 2019 | (±95%) | |
| Total 16–74 years | ||||||
| Activity rate | 79.6 | 2.7 | 80.8 | 2.4 | 80.3 | 2.2 |
| Employment rate | 77.2 | 2.9 | 79.6 | 2.5 | 77.7 | 2.4 |
| Unemployment rat | 3.0 | 0.9 | 1.5 | 0.9 | 3.2 | 1.0 |
| Hours of work | 39.5 | 1.3 | 38.8 | 1.1 | 40.9 | 1.6 |
| Labour force | 193,500 | 6700 | 202,600 | 6000 | 206,500 | 3900 |
| Employed | 187,700 | 7000 | 199,500 | 6200 | 199,900 | 4200 |
| Unemployed | 5,900 | 2700 | 3,100 | 1900 | 6,700 | 800 |
| Inactive | 49,700 | 6700 | 48,100 | 6000 | 50,700 | 2100 |
| Est. population | 243,200 | • | 250,800 | • | 257,300 | • |
| Table 2. Labour market last 6 months — seasonal adjustment | ||||||
| Apr-19 | May-19 | Jun-19 | Jul-19 | Aug-19 | Sep-19 | |
| Total 16–74 years | ||||||
| Activity rate | 82.0 | 80.5 | 81.4 | 81.2 | 80.0 | 81.5 |
| Employment rate | 79.3 | 76.7 | 78.7 | 78.7 | 76.9 | 77.6 |
| Unemployment rate | 3.3 | 4.8 | 3.3 | 3.1 | 4.4 | 3.7 |
| Hours of work | 40.1 | 39.5 | 39.0 | 38.9 | 39.6 | 40.7 |
| Labour force | 209,500 | 210,000 | 207,500 | 207,800 | 205,000 | 207,800 |
| Employed | 202,600 | 200,000 | 200,700 | 201,300 | 195,500 | 199,200 |
| Unemployed | 6,900 | 10,000 | 6,800 | 6,500 | 8,500 | 7,100 |
| Inactive | 45,900 | 50,700 | 47,500 | 48,100 | 52,300 | 49,500 |
| Est. population | 255,400 | 260,800 | 255,000 | 255,900 | 256,800 | 257,200 |
| Table 3. Labour market last 6 months — seasonal adjustment trend | ||||||
| Apr-19 | May-19 | Jun-19 | Jul-19 | Aug-19 | Sep-19 | |
| Total 16–74 years | ||||||
| Activity rate | 81.6 | 81.5 | 81.4 | 81.4 | 80.3 | 80.7 |
| Employment rate | 78.9 | 78.8 | 78.7 | 78.6 | 77.3 | 77.4 |
| Unemployment rate | 3.3 | 3.4 | 3.4 | 3.4 | 3.5 | 3.6 |
| Hours of work | 39.5 | 39.4 | 39.3 | 39.2 | 39.9 | 39.7 |
| Labour force | 208,500 | 208,300 | 208,100 | 208,000 | 207,600 | 208,200 |
| Employed | 201,500 | 201,200 | 201,000 | 200,900 | 198,900 | 201,000 |
| Unemployed | 7,000 | 7,100 | 7,100 | 7,000 | 7,100 | 7,100 |
| Inactive | 46,900 | 47,200 | 47,400 | 47,600 | 49,800 | 48,400 |
| Est. population | 255,400 | 255,500 | 255,500 | 255,600 | 256,800 | 257,300 |
About the data
The labour market survey in September 2019 covers four weeks, from September 1 to September 30, 2019. A random sample of 1,543 persons aged 16–74 years who were domiciled in Iceland were randomly selected from the National Registry. Excluding those who were deceased, or who were resident abroad, the net sample was 1,510 individuals. A total of usable answers were obtained from 932 individuals corresponding to 61.7% response rate. Estimated figures for September are preliminary figures until quarterly figures are published (cf. Statistics Iceland’s advance release calender).