01. Mar 2022
Unemployment rate in December was 0.9%

There were 255 full-time unemployed people in the Faroe Islands in December 2021.

Unemployed people are defined as those without a job, actively seeking work and fully available to the job market.

The graph below shows the unemployment rate and the trend. The semi-transparet line represents the unemployment rate. The solid line shows the trend.

In December 2021, the unemployment rate was 0.9% (255 full-time unemployed people). A total of 302 people were registered as ‘affected by unemployment’, which means they have been unemployed for one or more days in a month.

The unemployment rate in December 2020 was 1.3%. The trend indicates a steady decline over the past year.


In December 2021, the unemployment rate was 0.9% for male workers and 0.8% for female workers. In comparison, in December 2020 the unemployment rate was 1.3% for male workers and 1.4% for female workers.


The map below shows the unemployment rate for each region in December 2021. Norðurstreymoy saw the lowest unemployment rate (0.4%), followed by Norðoyggjar and Eysturoy (both 0.5%). The highest unemployment rates were in Suðuroy (1.9%), Sandoy (1.4%) and Suðurstreymoy (1.1%).


The graph below shows how long people have been unemployed. In December 2021, 19.2% of all unemployed people had been out of work for more than a year, compared to 11.3% in December 2020.


Why is there a two-month lag in the figures?

Many delayed entries are filed after the end of the registered month. A two-month lag helps ensure accuracy in the statistics.

About unemployment

An unemployed person is defined as someone without a job, fully available to the job market and actively seeking work, aged between 16 and 66 and registered as unemployed in the Faroese unemployment system and the social services in accordance with the above conditions.

Two categories are used in unemployment statistics: full-time unemployment and affected by unemployment.

Affected by unemployment: The number of people who have been unemployed for one or more days in a month.

Full-time unemployment: Since not everyone is unemployed every day of a given month, all individuals affected by unemployment are converted to full-time unemployed. For example, a person who has been unemployed for half a month counts as 0.5 full-time unemployed.

Unemployment rate: The full-time unemployment rate relative to the size of the labour force.

About the trend

The trend describes the unemployment trend by adjusting for seasonal effects and error components in the figures.

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