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Directorate of Labour Frontpage
Directorate of Labour Frontpage

Directorate of Labour

The Icelandic labour market in September 2026

9th October 2026

The unemployment rate in September was 4,0%, up from 3,9% in August. There were on average 8.226 unemployed people in September 2026.

Unemployment by gender:

The unemployment rate for men in September was 4,3%, up from 4,2% in August. The unemployment rate for women was 3,6% in September, down from 3,7% in August.

Unemployment among young adults:

There were 2.228 young adults, aged 18-29 years unemployed in September 2026, up from 2.197 in August.

Long-term unemployment

There were 1.743 long-term unemployed (unemployed longer than 12 months) at the end of September 2026.

Forecast for October 2026:

It is expected that the unemployment rate will go up to 4,2-4,3% in October.