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Directorate of Labour

The Directorate of Labour is responsible for payments of unemployment benefits and maternity and paternity leave, as well as collecting and disseminating information about the labour market, and providing advice and services to immigrants and asylum seekers.

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Unemployment benefits

Those who are unemployed, and have a work history and legal residence in Iceland, may be entitled to monthly payments.

Right to unemployment benefits

Amounts and calculations

What affects payments?

While on unemployment benefits

Studying while on unemployment benefits

Returning to unemployment benefits

Maternity and paternity leave

For parents who take leave from paid employment to care for a child.

Calculator for possible payments

Right to maternity and paternity leave

Amounts and calculations

Planning your leave

What can affect payments?

Submit documents online

Jobs

Job vacancies in Iceland.

Monthly reports and statistics

Information on unemployment for the past month and other statistics.

The wage guarantee fund

Compensation for lost wages due to an employer’s financial difficulty or insolvency.

News

22nd June 2026

Work permits transferred to the Directorate of Immigration

Responsibility for work permits is transferred to the Directorate of Immigration

18th June 2026

Law changes from 1 July 2026

On June 15, Parliament of Iceland approved changes to the Unemployment Insurance ...

12th June 2026

The Icelandic labour market in May 2026

The unemployment rate in May was 4,2%, down from 4,6% in April. There were on ...