Unemployment rate in Iceland
Iceland: Unemployment rate was 3.6% in 2025. ▲ Rising
Unemployment rate in Iceland, 1991–2025
Source: ILO Modelled Estimates, via World Bank (2026) – processed by Our World in Data. Measured in %.
Analysis
Iceland recorded 3.6% for unemployment rate in 2025.
The figure is up 0.7% on the previous year and down 8.9% over ten years.
Over the whole period, unemployment rate in Iceland peaked at 7.6% in 2010 and was at its lowest, 1.9%, in 2001.
That places Iceland 125th out of 186 countries with data for 2025, putting it in the middle of the range.
The long-run direction has been consistently rising across the 35 years of available data.
Averages by decade
| Decade | Average | Lowest | Highest | Years |
|---|---|---|---|---|
| 1990s | 3.9% | 2.2% | 5.3% | 9 |
| 2000s | 3.3% | 1.9% | 7.2% | 10 |
| 2010s | 4.7% | 2.7% | 7.6% | 10 |
| 2020s | 4.3% | 3.5% | 6.0% | 6 |
Countries ranked near Iceland
More work & labour data for Iceland
- Legislation on sexual harassment in employment 1 (1=yes; 0=no) (2023)
- Criminal sanctions or compensation for workplace sexual harassment 1 (1=yes; 0=no) (2023)
- Women can take the same jobs as men 1 (1=yes; 0=no) (2023)
- Labor force participation rate, total (% of total population ages 15+) 74.9% (2025)
- Labor force participation rate, male (% of male population ages 15+) 79.6% (2025)
- Ratio of female to male labor force participation rate (%) 87.9% (2025)
- Labor force participation rate, female (% of female population ages 15 70.0% (2025)
- Labor force participation rate, total (% of total population ages 15-6 87.5% (2025)
- Labor force participation rate, male (% of male population ages 15-64) 90.8% (2025)
- Labor force participation rate, female (% of female population ages 15 84.0% (2025)
Frequently asked questions
- What is unemployment rate in Iceland?
- Unemployment rate in Iceland was 3.6% in 2025, according to ILO Modelled Estimates, via World Bank (2026) – processed by Our World in Data.
- What is the highest unemployment rate recorded in Iceland?
- The highest recorded value was 7.6% in 2010.
- What is the lowest unemployment rate recorded in Iceland?
- The lowest recorded value was 1.9% in 2001.
- How does Iceland rank for unemployment rate?
- Iceland ranks 125th out of 186 countries with data for 2025.
- Is unemployment rate rising or falling in Iceland?
- Over the last ten years it is down 8.9%. The long-run trend across the full record is rising.
- Where does this Iceland data come from?
- The figures come from ILO Modelled Estimates, via World Bank (2026) – processed by Our World in Data, published as part of Unemployment rate. Statizoid updates them automatically from the source API.
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CSV · JSON — 35 observations, free to reuse under CC BY 4.0 (Our World in Data).
About this data
Share of the labor force without work, but actively looking for a job and available to start soon.