Iceland Unemployment Rate

Iceland’s seasonally adjusted unemployment rate rose to 4.4% in October 2025 from an upwardly revised 3.9% in the previous month. The number of unemployed persons increased by 1,100 to 10,700. By gender, the unemployment rate for men declined to 3.3% from 3.9%, while the rate for women jumped to 5.8% from 3.9%. The youth unemployment rate, which measures job-seekers between 16 and 24 years old dropped sharply to 6.9% from 9.7% in the previous month. Meanwhile, the employment rate inched up to 78.2% from 78.0%, with the number of employed persons fell by 8,400 to 230,700. The labor force participation increased to 81.8% in October 2025 from downwardly revised 81.2% in the prior month. On a non-seasonally adjusted basis, the unemployment rate rose to 4.4% in October from 3.2% in September.