Iceland’s seasonally adjusted unemployment rate fell to 5.7% in September 2026 from a six-month high of 6.8% in the previous month. This marked the lowest reading since June, as the number of unemployed persons decreased by 2.6 thousand month-on-month to 13.3 thousand. By gender, the unemployment rate for men dropped sharply by 6.1% to 7.8 thousand, while that of women increased by 5.1% to 5.5 thousand. Moreover, the youth unemployment rate, which measures job-seekers between 16–24 years old, climbed to 16.1% from a revised 14.4% in August. Meanwhile, the employment rate rose by 75.0% from 73.8%, with the number of employed individuals rising by 2.1 thousand to 220.7 thousand. The labor force participation rate ticked up to 79.7% from 79.2%. On a non-seasonally adjusted basis, the unemployment rate fell by 5.1% in September from 6.0% in the preceding period. source: Statistics Iceland
Unemployment Rate in Iceland decreased to 5.70 percent in September from 6.80 percent in August of 2026. Unemployment Rate in Iceland averaged 2.90 percent from 1970 until 2026, reaching an all time high of 10.30 percent in June of 2009 and a record low of 0.10 percent in August of 1972. This page provides the latest reported value for - Iceland Unemployment Rate - plus previous releases, historical high and low, short-term forecast and long-term prediction, economic calendar, survey consensus and news. Iceland Unemployment Rate - data, historical chart, forecasts and calendar of releases - was last updated on November of 2026.
Unemployment Rate in Iceland decreased to 5.70 percent in September from 6.80 percent in August of 2026. Unemployment Rate in Iceland is expected to be 5.90 percent by the end of this quarter, according to Trading Economics global macro models and analysts expectations. In the long-term, the Iceland Unemployment Rate is projected to trend around 5.00 percent in 2027 and 4.20 percent in 2028, according to our econometric models.