Mean total earnings for full-time employees were 612 thousand ISK in the year 2015, but half of employees received earnings higher than 535 thousand ISK. The difference can mainly be explained by the fact that collective agreements set minimum wage rates but no maximum wages. Every fourth employee had total earnings below 433 thousand ISK and every tenth employee received total earnings below 348 thousand ISK for full-time employment. About 7% of employees in the Icelandic labour market had more than a million ISK in monthly total earnings in 2015. The picture below shows the distribution of total earnings.
The distribution of total earnings is different between sectors and is the least within the local government.
About 23% of employees within the central government received total earnings above 800 thousand ISK; the same was true for 19% of employees in the private sector and 5% of employees within the local government. On the other hand, 85% of the employees within the local government had total earnings below 600 thousand ISK; the same was true for 60% of employees in the private sector and 45% of employees within the central government.
Full-time employees in the private sector had total earnings of 637 thousand ISK on average in 2015 and in the public sector the amount was 583 thousand ISK. Employees within the central government had 681 thousand ISK on average and employees within the local government 490 thousand ISK.
Managers received roughly 1 million ISK in total earnings
In the year 2015, total earnings by occupational group ranged from 438 thousand ISK for service workers to 1,001 thousand ISK for managers. Clerks had 466 thousand ISK on average, general workers 475 thousand ISK, technicians 622 thousand ISK, craft workers 635 thousand ISK, and specialists 658 thousand ISK.
The distribution of earnings between occupational groups was different. The distribution was rather small within the group of clerks were 80% received total earnings between 338 thousand ISK and 607 thousand ISK. Managers had the widest distribution, 80% of employees within that group had total earnings between 546 thousand ISK and 1,644 thousand ISK. This difference can be explained by the fact that the occupational group includes both chief executives and department managers.
Notes: The rectangle is defined by the lower and upper quartile and divided by the median. The bars are defined by the 1st and 9th decile. Managers (1), specialists (2), technicians (3), clerks (4), service workers (5), craft workers (Craft), general workers (General).
Total earnings were different between occupational groups and sectors. Managers in the private sector received 1,156 thousand ISK on average in total earnings; managers within the central government had 968 thousand ISK and managers within the local government had 722 thousand ISK. General workers had 477 thousand ISK in the private sector, 495 thousand within the central government and 424 thousand ISK within the local government. Employees within the local government received the lowest total earnings in all occupational groups.
Lowest total earnings in Education
Employees in Financial and insurance activities had the highest total earnings in 2015 or 815 thousand ISK. Next were employees in Electricity and steam supply, 808 thousand ISK. Lowest total earnings were in Education, 505 thousand ISK. The distribution of total earnings was greatest within Financial and insurance activities, but the least in Education. The median was highest in Electricity and steam supply, 772 thousand ISK where the distribution of earnings is smaller than in Financial activities and thus there are fewer outliers that affect the mean earnings.
Notes: The rectangle is defined by the lower and upper quartile and divided by the median. The bars are defined by the 1st and 9th decile. Manufacturing (C), Electricity, gas, steam, and air conditioning supply (D), Water supply; sewerage, waste management and remediation activities (E), Construction (F), Wholesale and retail trade; repair of motor vehicles (G), Transportation and storage (G), Information and communication (J), Financial and insurance activities (K), Public administration and defence; compulsory social security (O), Education (P), Human health and social work activities (Q).
Total earnings of occupational groups can be very different between economic activities. Average total earnings of specialists ranged from 540 thousand ISK in Education to 909 thousand ISK in Financial and insurance activities. In Human health and social activities the mean total earnings were 802 thousand ISK and 898 thousand ISK in Electricity and steam supply. This can be explained by the different combination of occupations between economic activities. E.g. teachers are the majority of specialists within the economic activity of Education, whereas in Financial and insurance activities business professionals are in majority, in Electricity and steam supply the major group is engineers, and health professionals like doctors and nurses are the major occupations in Human health and social work activities.
The distribution of earnings in an occupational group between economic activities is also very different. E.g. the span between the 1st decile and 9th decile for specialists in Human health and social work activities was about 900 thousand ISK whereas the same span was 300 thousand ISK in Education.
About the dataset
Data on earnings by occupational groups in the total labour market are now published for the first time by Statistics Iceland. Data are also broken down for different sectors and economic activities. As the size of occupational groups can vary, it is not possible to publish information on every group in order to maintain reliability and confidentiality.
Data is now published for the year 2015 but the intention is to publish back-data for the years 2008-2014 in the future. Previous information on the subject has been moved to the section earlier tables on Statistics Iceland website. When comparing data it has to be kept in mind that the methods have been slightly changed and data have been added.
Results are based on the Icelandic Survey on Wages, Earnings and Labour Cost and cover about 70 thousand employees. The survey is a stratified sample survey and data are weighted according to the survey design. The survey covers about 80% of the Icelandic labour market even though certain economic activities are missing. A notice has to be made on the economic activity Information and communication where information about smaller companies and IT companies are missing. In addition data in Public administration, Education and Human health and social work activities are only based on employees within the public sector. Results are preliminary. Further information on definitions and methods is available on Statistics Iceland website.