With unemployment at 1% and the highest labour participation rate in the OECD Iceland has been importing workers to fill the many new jobs created by the booming economy. According to figures from the Directorate of Labour foreign nationals now make up 12% of the total labour force. An expert with the Directorate of Labour believes this figure will continue to rise in coming years.
Read more: Unemployment only 1% in June, lowest level since 2003
Previous peak was in 2008
The latest figures from the Directorate of Labour show that 22,400 foreign nationals were employed in Iceland in June 2017, a new record high. The previous peak was reached in the summer of 2008, prior to the collapse of the Icelandic banking system in October of that year. In 2008 18,000 foreign workers were employed in Iceland.
Read more: Too many jobs: Iceland needs at least 7,000 new foreign workers next couple of years
The growth in the number of foreign workers has been particularly rapid during the first two quarters of 2017. At the end of 2016 10.6% of the labour force was made up of foreign nationals. Experts who spoke with the local newspaper Fréttablaðið said they expect the numbers to continue to grow, albeit more slowly.
The largest single group comes from Poland. 40-50% of all foreign nationals who are employed in Iceland are Polish.
With unemployment at 1% and the highest labour participation rate in the OECD Iceland has been importing workers to fill the many new jobs created by the booming economy. According to figures from the Directorate of Labour foreign nationals now make up 12% of the total labour force. An expert with the Directorate of Labour believes this figure will continue to rise in coming years.
Read more: Unemployment only 1% in June, lowest level since 2003
Previous peak was in 2008
The latest figures from the Directorate of Labour show that 22,400 foreign nationals were employed in Iceland in June 2017, a new record high. The previous peak was reached in the summer of 2008, prior to the collapse of the Icelandic banking system in October of that year. In 2008 18,000 foreign workers were employed in Iceland.
Read more: Too many jobs: Iceland needs at least 7,000 new foreign workers next couple of years
The growth in the number of foreign workers has been particularly rapid during the first two quarters of 2017. At the end of 2016 10.6% of the labour force was made up of foreign nationals. Experts who spoke with the local newspaper Fréttablaðið said they expect the numbers to continue to grow, albeit more slowly.
The largest single group comes from Poland. 40-50% of all foreign nationals who are employed in Iceland are Polish.
