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Directorate of Immigration

Student permit holders no longer need work permits

29th June 2026

Important legislative amendments on the employment rights for international students in Iceland.

Following recently adopted amendments to the Foreign Nationals Act and the Act on the Employment Rights of Foreign Nationals, holders of student residence permits are no longer required to obtain a separate work permit.

For students who hold a valid student residence permit, this mean that:

  • They no longer need to apply for a separate work permit in order to work in Iceland.

  • They may work as employees for up to 60% of full-time employment.

  • Self-employment remains prohibited.

  • Between academic terms, including during the summer and Christmas holidays, students may continue to work full-time.

  • When renewing their residence permit, students must provide information about their employment to confirm that they have not exceeded the permitted working hours. Working beyond the permitted limit may result in the loss of the right to work.

The same rules apply to students who applied to renew their residence permit before their previous permit expired and are awaiting a decision on their application. Applicants for their first student residence permit may however not begin working until their residence permit has been issued.