Employees
14. Aug 2025
30,652 employees in July – up 1.2% year-on-year
Employee numbers continue to grow, but the growth has slowed down in the past year, as seen in the trend after adjusting for seasonal variations and other random changes.
In July, there were 30,652 employees in the Faroes. This is 350 employees (1.2%) more than in July 2024.
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Increase in both sexes
In July, just over 15,700 male and about 14,900 female employees were registered in the Faroes. Compared to July 2024, we see an increase of 173 men (1.1%) and 177 women (1.2%).
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In July, 56% of all employees worked for employers under private control. The proportion is higher for men, with three out of four working in this group.
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Employee figures have increased for employers in under both private and public control. However, most of the male employees were added to the private sector, which saw a year-on-year increase of 156 men (1.4%). Most of the female employees were added to the public sector, which saw an increase of 137 women (1.5%).
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Fisheries and public sector lead job creation
Of the industrial branches at the first level of the NACE economic activity classification, ‘Agriculture, forestry and fishing’ saw the highest employee growth, with 195 employees (9.6%) added since July 2024. Within this category, ‘Pelagic fisheries’ had a particularly high increase of 88 employees (15%). The second-highest employee growth was registered in ‘Public administration and defence; compulsory social security’, with 90 employees (1.8%). ‘Human health and social work activities’ also saw high employee growth. Within this category, ‘Residential care activities’ demonstrated substantial growth, with 83 additional employees, up 2.8%.
The biggest decrease in employees was registered in ‘Construction’, which experienced a year-on-year decline of 60 employees (2.3%).
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Most non-resident employees in production industry
To qualify as a long-term resident, an individual must have resided in the Faroes for either half of their lifetime or for seven consecutive years at some point in their life.
Recent years have seen a significant increase in employees without long-term residency status. This growth has now slowed down, as shown in the graph below. In July, there was a year-on-year increase of just over 115 employees (5.9%) without long-term residency. For comparison, this increase was 17% in the period from July 2022 to July 2023.
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The table below shows non-resident employees at the first level of the NACE economic activity classification. In July, 621 (30%) of non-resident employees had their main job in "Manufacturing." Of these, 431 work in food production within aquaculture and fishing. The economic activity with the second-highest number of non-resident employees is "Accommodation and food service activities".
Of the industries below, ‘Manufacturing’ had the largest increase in number terms, rising by 55 employees year-on-year. In relative terms, however, ‘Agriculture, forestry and fishing’ saw the largest increase at 17%. This growth comes from demersal fishing, where the number of non-resident employees has risen by 23, up 34% since July 2024.
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About the employee statistics
Statistics Faroe Islands’ employee statistics include persons aged 13 or over who receive wages taxed at source (known as A-income in the Faroes) in the registered month, corresponding to at least 4 hours per month through the pay-as-you-earn (PAYE) tax system.
Statistics on employees and jobs follow the guidelines in the International Labor Organization (ILO) manuals on employees and jobs under the United Nations. The ILO defines an employee as a person of working age who has been employed by an employer for at least a short period and has produced goods or provided services for a wage. This includes a) employed persons who have worked at least 1 hour during the period (typically set to 1 week) and b) employed persons who are temporarily out of work (due to e.g. sick leave, parental leave or time off in lieu).
The source of employee statistics is monthly A-income through the PAYE tax system. In accordance with the international standard of at least 1 hour per week, the monthly wage threshold is calculated as 4 hours of wages per employee, since there are about four weeks in a month. The hourly wage is set as minimum wage + holiday pay as per the agreement between the Faroese Labour Union and the Faroese Employers' Union. This means that if the monthly wage is below the limit, the person is not considered an employee that month. According to the Faroese Work and Safety Inspectorate, 13 is set as the lower age limit in the statistics as children younger than 13 cannot be employed.
Updates to employee statistics
In the first half of 2024 the employee statistics have been updated and revised. This has brought about a slight increase in the total number of employees, primarily because the new statistics cover a wider age range. The previous figures covered ages 16-74, but now anyone aged 13 or over is included. Other changes include a lower wage threshold value, the addition of more parental leave registrations and the fact that certain payments through the PAYE tax system, previously not considered wages, are now correctly recorded as wages. Most of these payments were previously registered as public benefits, and the new registration affects the employee statistics. With these changes, the latest figures cannot be compared to previous data. The old tables are, however, still accessible in the statbank but will no longer be updated. These tables are labelled 'Outdated' in the statbank.