A poll released today by Business Iceland and the Central Bank shows that Icelandic businessmen expect conditions to continue to improve over the next six months. As more companies report they are already having trouble filling available positions a third expects to hire more people in the next six months.
Optimism at peak levels
The poll asked the managers of the 400 largest companies in Iceland to evaluate conditions over the next 6-12 months. Businessmen in all sectors of the economy are optimistic, with 40% of respondents expecting conditions to improve over the next six months. Only 11% expect conditions in their industry to be worse in six months’ time. Optimism is greatest in the financial sector, but lowest in the fisheries. Business Iceland notes that optimism is greater in sectors who serve the domestic market than export industries. The index of business confidence has not been higher in Iceland since the fall of 2007.
Related: Icelandic Economy boomed in first six months of 2015: GDP grew by 5.2%
Business Iceland points out that the results of the poll mirror those which were seen in 2004, when the boom of 2004-2007 was beginning, indicating Icelandic businessmen were expecting a similar boom.
Growing payrolls expected: Labour shortage looming
Today Statistics Iceland released new unemployment statistics which show unemployment continues to decline. Seasonally adjusted unemployment was 4.2% in August 2015, compared to 4.6% at the same time last year. Labour force participation continues to climb according to Statistics Iceland. In August 2015 84.3% of people between 16 and 74 years old were on the labour market. Earlier this month The Directorate of Labour, which only counts those who are eligible for unemployment, published its statistic for August, showing unemployment at 2.6%.
Read more: Long term unemployment at record lows as shortage of construction workers threatens
Unemployment is set to decrease even further according to managers of the largest companies in Iceland. The poll Business Iceland released showed that 31% of businesses expect to hire more workers in the next six months, with only 13% of companies expecting to shrink their payrolls. These results raise further questions of a looming labour shortage in Iceland.
A poll released today by Business Iceland and the Central Bank shows that Icelandic businessmen expect conditions to continue to improve over the next six months. As more companies report they are already having trouble filling available positions a third expects to hire more people in the next six months.
Optimism at peak levels
The poll asked the managers of the 400 largest companies in Iceland to evaluate conditions over the next 6-12 months. Businessmen in all sectors of the economy are optimistic, with 40% of respondents expecting conditions to improve over the next six months. Only 11% expect conditions in their industry to be worse in six months’ time. Optimism is greatest in the financial sector, but lowest in the fisheries. Business Iceland notes that optimism is greater in sectors who serve the domestic market than export industries. The index of business confidence has not been higher in Iceland since the fall of 2007.
Related: Icelandic Economy boomed in first six months of 2015: GDP grew by 5.2%
Business Iceland points out that the results of the poll mirror those which were seen in 2004, when the boom of 2004-2007 was beginning, indicating Icelandic businessmen were expecting a similar boom.
Growing payrolls expected: Labour shortage looming
Today Statistics Iceland released new unemployment statistics which show unemployment continues to decline. Seasonally adjusted unemployment was 4.2% in August 2015, compared to 4.6% at the same time last year. Labour force participation continues to climb according to Statistics Iceland. In August 2015 84.3% of people between 16 and 74 years old were on the labour market. Earlier this month The Directorate of Labour, which only counts those who are eligible for unemployment, published its statistic for August, showing unemployment at 2.6%.
Read more: Long term unemployment at record lows as shortage of construction workers threatens
Unemployment is set to decrease even further according to managers of the largest companies in Iceland. The poll Business Iceland released showed that 31% of businesses expect to hire more workers in the next six months, with only 13% of companies expecting to shrink their payrolls. These results raise further questions of a looming labour shortage in Iceland.
