Unemployment
25. Jun 2026
Unemployment at 0.8% in May
Unemployed people are registered as unemployed with the Faroese unemployment system and the social welfare services, fully available to the labour market and actively seeking work.
The unemployment rate was 0.8% in May, 0.2 percentage points less than the same month in the previous year.
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In May 308 persons were unemployed, 63 fewer than the same month the year before.
A full-time unemployed person is defined as one who is unemployed throughout a full month. If two persons are affected by unemployment for half a month each, they are converted to one full-time unemployed person for the month in question. In May the full-time unemployment was 252 persons, 47 fewer than in May last year.
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Higher unemployment rate for men
In May, 120 women were affected by unemployment. The full-time equivalent of this figure was 97, corresponding to an unemployment rate of 0.7%. This rate is the same as in May last year.
Of men 188 were affected by unemployment. The full-time equivalent was 156, which corresponds to an unemployment rate of 1 %. This is 0.2 percentage points lower than the same month in the previous year.
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Highest unemployment in Suðuroy region
The map below shows unemployment rates by region. In May, the regions Vágar and Norðoyggjar had the lowest unemployment rates at 0.6%. Suðuroy region had the highest unemployment rate at 1.2%, which, however, is 1 percentage point lower than the same month the previous year.
More regional statistics on unemployment are found here: Eysturoy region, Norðoyggjar region, Sandoy region, Streymoy region (north), Streymoy region (south), Suðuroy region, Vágar region.
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Largest decrease in youngest age group
The highest unemployment rate in May, at 1.2%, was registered in the 25-34 age group. This is 0,2 percentage points lower than the same month the previous year. The largest decrease was in the youngest age group by 0.5 percentage points, which now has the lowest unemployment rate at 0.4%.
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Fifteen per cent unemployed for more than a year
The graph below shows how long people have been affected by unemployment. The largest group of unemployed people in May (29% of the unemployed people) were those who have been out of work for between 3 and 6 months.
In May, 46 persons (15% of all unemployed people) were long-term unemployed. This means that they have been out of work for more than a year (365+ days). The number of long time unemployed is quite stable over time.
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Unemployment as a statistical concept
Statistics Faroe Islands and other statistics agencies across the world use the definitions of unemployment given by the International Labour Organisation (ILO), which is a United Nations agency.
According to this definition, the unemployment rate reflects the proportion of the labour force that does not have a job, is available to the labour market and is actively looking for work.
Statistical scope for unemployment figures
The source of the unemployment figures are individuals who are registered with the unemployment office (ALS) and the social welfare centre (Almannaverkið) and who meet the criteria mentioned above. The sources, and thus Statistic Faroe Islands’ unemployment figures, only cover people aged 16-66.
In order to make international comparisons, the unemployment figures from the Labour force survey must be used.