Unemployment rate in June was 2.3% and has, according to Statistics Iceland (SI), not been this low in June, since 2008 when it was measured at 2.2% before rising dramatically in the wake of the financial crash in the autumn the same year.
SI reports that the number of persons in Iceland’s labour force was 201,800 in June. Of those 197,100 persons were employed and 4,700 persons were unemployed.
The activity rate was 85.3%, the employment rate was 83.3% and the unemployment rate was 2.3%. Comparison between June 2015 and 2016 shows decrease in activity by 1.3 percentage points of the total population.
According to projections by The Central Bank of Iceland, published earlier this year, economic growth in 2016 will be 4.2%, unemployment and inflation will remain below target and purchasing power will continue to growth at a record pace.
The strong economic growth and low unemployment has led to considerable pressure on the labour market.
Read more: Immigration necessary for economic growth Business Iceland argues
Around quarter of the 400 largest business in Iceland report they are facing a shortage of qualified workers. The demand is greatest in construction, transportation and tourism. Workers have been hired from abroad and the demand remains strong.
According to projections by Business Iceland, a service organization for local businesses, 3,200 jobs will be added this year and 2,600 in 2017.
Unemployment rate in June was 2.3% and has, according to Statistics Iceland (SI), not been this low in June, since 2008 when it was measured at 2.2% before rising dramatically in the wake of the financial crash in the autumn the same year.
SI reports that the number of persons in Iceland’s labour force was 201,800 in June. Of those 197,100 persons were employed and 4,700 persons were unemployed.
The activity rate was 85.3%, the employment rate was 83.3% and the unemployment rate was 2.3%. Comparison between June 2015 and 2016 shows decrease in activity by 1.3 percentage points of the total population.
According to projections by The Central Bank of Iceland, published earlier this year, economic growth in 2016 will be 4.2%, unemployment and inflation will remain below target and purchasing power will continue to growth at a record pace.
The strong economic growth and low unemployment has led to considerable pressure on the labour market.
Read more: Immigration necessary for economic growth Business Iceland argues
Around quarter of the 400 largest business in Iceland report they are facing a shortage of qualified workers. The demand is greatest in construction, transportation and tourism. Workers have been hired from abroad and the demand remains strong.
According to projections by Business Iceland, a service organization for local businesses, 3,200 jobs will be added this year and 2,600 in 2017.
