There were 198,300 persons aged from 16 to 74 in the labour force in February 2018, according to the Icelandic Labour Force Survey. Thereof, 193,500 persons were employed and 4,800 persons were unemployed. The activity rate was 80.1%, employment rate was 78.2% and unemployment rate was 2.4%.
Comparison between February 2017 and 2018 shows that though the labour force has increased by 900 the activity rate has decreased by 2.7 percentage points. The same goes for the number of people in employment, that increased by 2,200.The employment rate, on the other hand, decreased by 2.2 percentage points. The number of unemployed decreased by 1.200 and the unemployment rate decreased by 0.6 points. Those inactive were 49,100 compared with 40,800 persons in February 2017.
Flow Chart — Labour force 16–74 years — February 2018
Figures may not add up because of rounding. CI (95%) Unemployment rate: Total ±1.1; males ±1.1; females ±1.4
Seasonally adjusted unemployment 2.4% in February
The changes in the Icelandic labour market display a certain pattern as regards seasonality, as can be seen in the figures below. The seasonally adjusted estimate of the number of people in the labour force was 202,000 in February 2018. This corresponds to an 81.7% activity rate which is 1.5 percentage points less than in January. The number of unemployed persons in February 2018 was estimated to be 4,900, a decrease of 2,200 persons since January. The seasonally adjusted unemployment rate was 2.4% in February compared with 3.4% in January. The seasonally adjusted employment rate was 79.7% in February and decreased by 0.6 percentage points between months. The estimated number of inactive people increased from 41,900 in January to 45,300 in February 2018.
The trend for seasonally adjusted data in the last six months shows that activity-, employment-, unemployment rate and total working hours stayed the same.
Implementation
February 2018 is divided into four weeks, from 29th of January to 25th of February. The total sample size for the Labour Force Survey was 1,529 persons, 16–74 years old, selected randomly from the registered population. When individuals out of scope had been removed from the sample, the net sample was 1,485 persons. In total, the number of answers was 991 which correspond to 66.7% response rate. The results are weighted by sex and age groups. The confidence limit of the estimates on activity rate is ±2.5 percentage points, employment rate ±2.6 percentage points and unemployment rate ±1.1 percentage points, for February 2018. Figures may not add up because of rounding. All numbers for the first two months in every quarter of the year are preliminary until the end of the quarter.
| Table 1. Labour market in February — Original | ||||||
| CI | CI | CI | ||||
| 2016 | (±95%) | 2017 | (±95%) | 2018 | (±95%) | |
| Total 16–74 years | ||||||
| Activity rate | 82.1 | 2.5 | 82.9 | 2.5 | 80.1 | 2.5 |
| Employment rate | 79.6 | 2.6 | 80.4 | 2.7 | 78.2 | 2.6 |
| Unemployment rate | 3.1 | 1.3 | 3.0 | 1.4 | 2.4 | 1.1 |
| Hours of work | 39.9 | 1.3 | 39.3 | 1.4 | 38.7 | 1.2 |
| Labour force | 190,900 | 5,800 | 197,400 | 6,100 | 198,300 | 6,100 |
| Employed | 185,100 | 6,200 | 191,300 | 6,500 | 193,500 | 6,300 |
| Unemployed | 5,900 | 2,600 | 6,000 | 2,800 | 4,800 | 2,200 |
| Inactive | 41,700 | 5,800 | 40,800 | 6,100 | 49,100 | 6,100 |
| Est. population | 232,600 | • | 238,100 | • | 247,400 | • |
| Table 2. Labour market last 6 months — seasonal adjustment | ||||||
| Sep-17 | Oct-17 | Nov-17 | Dec-17 | Jan-18 | Feb-18 | |
| Total 16–74 years | ||||||
| Activity rate | 80.6 | 82.6 | 81.9 | 82.9 | 83.2 | 81.7 |
| Employment rate | 78.0 | 79.7 | 79.8 | 80.0 | 80.3 | 79.7 |
| Unemployment rate | 3.2 | 3.5 | 2.5 | 3.4 | 3.4 | 2.4 |
| Hours of work | 39.3 | 39.9 | 39.5 | 39.9 | 39.7 | 39.4 |
| Labour force | 196,100 | 202,700 | 201,600 | 204,500 | 207,100 | 202,000 |
| Employed | 189,900 | 195,500 | 196,500 | 197,500 | 200,000 | 197,100 |
| Unemployed | 6,200 | 7,200 | 5,100 | 7,000 | 7,100 | 4,900 |
| Inactive | 47,300 | 42,700 | 44,500 | 42,300 | 41,900 | 45,300 |
| Est. population | 243,400 | 245,300 | 246,100 | 246,800 | 248,900 | 247,300 |
| Table 3. Labour market last 6 months — seasonal adjustment trend | ||||||
| Sep-17 | Oct-17 | Nov-17 | Dec-17 | Jan-18 | Feb-18 | |
| Total 16–74 years | ||||||
| Activity rate | 82.5 | 82.5 | 82.5 | 82.5 | 82.5 | 82.5 |
| Employment rate | 80.2 | 80.2 | 80.2 | 80.2 | 80.2 | 80.2 |
| Unemployment rate | 2.7 | 2.8 | 2.8 | 2.8 | 2.8 | 2.7 |
| Hours of work | 39.6 | 39.6 | 39.6 | 39.6 | 39.6 | 39.6 |
| Labour force | 200,000 | 200,600 | 201,300 | 202,100 | 202,700 | 203,000 |
| Employed | 194,500 | 195,000 | 195,700 | 196,500 | 197,000 | 197,400 |
| Unemployed | 5,500 | 5,600 | 5,600 | 5,600 | 5,600 | 5,600 |
| Inactive | 42,400 | 42,600 | 42,800 | 42,900 | 43,000 | 43,100 |
| Est. population | 242,400 | 243,200 | 244,100 | 245,000 | 245,600 | 246,000 |