Living in Iceland · Work

Work in Iceland, for foreigners

Whether you are planning a move or already living here, whether you can work here depends mostly on your passport. Citizens of the EEA can simply start. People from outside need an employer who applies for them, and a residence permit as well. Doing this in the wrong order can cost you a job you already have.

Last verified 4 August 2026 · island.is, Directorate of Labour (Vinnumálastofnun)

How the system works, in short

If you are not from the EEA or EFTA, the employer who wants to hire you applies for a work permit at the Directorate of Immigration (Útlendingastofnun, say: OOT-len-din-ga-stof-nun, the office for foreigners). If the residence rules are met, the file goes to the Directorate of Labour (Vinnumálastofnun, say: VIN-nu-mowl-a-stof-nun, the state work office), which gives the work permit. A work permit alone does not let you live here. You need a residence permit too. Citizens of the EEA and EFTA can move here freely and need no permit. (EEA means the EU countries plus Iceland, Norway and Liechtenstein. EFTA is Iceland, Norway, Switzerland and Liechtenstein.)

Your situations, one by one

You are not from the EEA or EFTA and someone has offered you a job

What actually happens
Getting the offer is the easy part. In law, your employer must apply for the work permit, not you. And the permit must already be given before you start work. Until you have both the work permit and the matching residence permit, working is against the law, even if you are already in the country.
What to do
Send your future employer the official guide on island.is. The application goes to the Directorate of Immigration. When that office agrees the residence rules are met, it sends the file on to the Directorate of Labour for the work permit.
The common trap
Starting work 'just for a few days' before the permit is out. If it is found out, the offer can be taken back, the employer is fined, and your residence permit can be refused for years.

You are an EEA or EFTA citizen and want to work

What actually happens
You can move here and work. You do not need a work permit. For a short stay you can get a system ID number. If you stay longer than three months, register with Registers Iceland (Þjóðskrá, say: THYOAD-skrau) to get a full kennitala (say: KEN-ni-tah-la, your personal ID number) and a registered right to live here.
What to do
Apply for a system ID number (kerfiskennitala) if the work is short, or register a full kennitala if you plan to stay. Bring your passport and a written work contract.

You start a job and do not know which union you belong to

What actually happens
Almost every paid job here sits under a collective agreement (kjarasamningur, say: KYAR-a-sam-nin-gur, a pay and rights deal signed by a union for a whole trade). It sets your lowest pay, your holiday, your sick pay, and what the employer must pay into your pension and training funds.
What to do
Ask your employer which union covers your job (Efling, VR, BHM and others). Read the collective agreement once. It answers most questions before they become problems.
The common trap
Thinking your own contract is the whole story. The collective agreement sits on top of it and usually gives you more, not less.

You lose your job

What actually happens
How much notice you get is set by the collective agreement and by how long you have worked there. Unemployment money is paid by the Directorate of Labour, but only to people who meet the rules about work and residence.
What to do
Register as a job seeker with the Directorate of Labour on Vinnumálastofnun My Pages at once. They do not pay for the time before you registered. Call your union too. They often give free legal help when someone is dismissed.

You are hurt at work, or your wages are not paid

What actually happens
Injury at work, unpaid wages and unfair treatment are exactly what unions are for. The Directorate of Labour handles benefits, but the union handles the fight with your employer.
What to do
Write to your union first. Keep your payslips, your contract and any messages. The union takes the case forward. You do not need to pay a private lawyer to start.

You want to work for yourself

What actually happens
You are allowed to work for yourself. But you must register for VAT if you earn more than the limit, pay your own pension, and file your tax with Skatturinn (say: SKAHT-tur-in, the tax office). People from outside the EEA usually need a residence permit that clearly allows self-employed work.
What to do
Talk to Skatturinn before you send your first bill. They will tell you which forms you need. If you are from outside the EEA, ask the Directorate of Immigration whether your permit covers working for yourself.

How people really find work in Iceland

You do not know where jobs are advertised

What actually happens
Iceland is small, and a lot of hiring still happens by word of mouth. But there is a public layer too. The Directorate of Labour runs the national job site, and most public jobs and many private ones are posted there first. News sites (mbl.is, vísir) and LinkedIn carry the rest, above all English-speaking and tech jobs.
What to do
Start with the Directorate of Labour job board, Alfreð, and the state's own list on island.is. Watch HH Ráðgjöf too. It is an old Icelandic hiring agency with a steady flow of private jobs: office, finance, engineering and trades. If you live in Reykjavík, look at the city's own jobs on reykjavik.is. Many jobs in schools, care homes, sport centres and maintenance are only there. Turn on email alerts on all of them. Check every day for the first month, then once a week.
The common trap
Using only LinkedIn. Many Icelandic employers, above all outside Reykjavík and outside tech, never post there.

You need short work or one-off work

What actually happens
Some people need money quickly while they wait for a permit or the right job. Apps like Giggó let people post small tasks: driving something to Selfoss, cleaning up after a party, helping someone move. Each task pays for a few hours.
What to do
Install Giggó and make a profile. Read each task with care: where it is, what it pays, and what you must bring. Treat it as extra money, not as a replacement for a real permit or contract.
The common trap
Taking work that your residence permit does not allow, or cash jobs with no record. Money you do not report can cause tax and immigration problems later.

Your foreign degree or trade paper needs to be accepted here

What actually happens
For most jobs you do not need any official approval. The employer decides. But some jobs are protected by law (doctor, nurse, teacher, lawyer, engineer, electrician, plumber and others). For those you cannot work until the right Icelandic office accepts your paper. For other jobs, a letter from ENIC/NARIC Iceland still helps you ask for better pay and speeds up interviews.
What to do
Check if your job is one of the protected ones, and which office handles it, on island.is: Immigrating to Iceland. For a university degree from abroad, ask for an assessment from ENIC-NARIC Iceland on island.is. Start before you arrive if you can. It takes weeks, sometimes months.
The common trap
Taking a job below your level 'just to start' without first checking if approval is needed at all. For protected jobs, working without it is against the law, even if the employer says yes.

You do not speak Icelandic yet

What actually happens
Jobs in English do exist, above all in tourism, hotels and restaurants, building work, fish factories, and parts of tech and research. Outside those, most employers want some Icelandic, even when the job advert is in English. Public jobs almost always need it.
What to do
Be honest about your level in the application. Join an Icelandic course (Mímir, Tin Can Factory, Múltíkúltí, or the university courses). Writing 'now learning Icelandic' on your CV is read as a good sign. For English-only jobs, search 'Reykjavík' on international job sites.

You send out CVs and hear nothing back

What actually happens
Icelandic CVs are short (one or two pages) and plain, and they include your kennitala once you have one. A cover letter is expected and it is read. References count a lot. A phone call from an Icelander in the same field can matter more than the CV.
What to do
Keep the CV to two pages. Ask people before you list them as a reference, and give an Icelandic phone number if you can. A week after you apply, it is normal to email and ask if they got it. That is not rude here.
The common trap
Sending a four-page CV with a photo on it. Photos are not normal here, and the length shows you have not adapted to how it is done.

What I learned about getting hired

These are things I learned from my own job search in Iceland. They are not official rules. Your experience may be different, but this is what worked for me.

I applied to many places and followed up

What actually happens
I would send ten or more CVs in one morning, then check the job boards and hiring sites again and again. Many applications just disappear into a system, so sending many and following up was the only way to keep going.
What to do
Make it a weekly habit: apply to new jobs, then spend a second sitting following up. One or two weeks after you send a CV, call the company and ask if they got it. A short call like "Hello, my name is [name]. I applied for [job] on Alfreð and I would like to know if you have looked at it" is not rude here. It often gets you noticed.
The common trap
Waiting for them to call you. In a small country, the person who follows up is the one people remember.

I asked friends, and friends of friends

What actually happens
Iceland is small. Many jobs are never advertised. Someone always knows someone, and a personal word can open a door faster than a CV.
What to do
Tell everyone you meet what you are looking for: people in your Icelandic class, at union events, at meetups, even your neighbours. Ask politely if they know anyone who is hiring.

I went there in person

What actually happens
For some jobs, above all in restaurants, shops and trades, walking in and asking for the manager worked better than an email. It is not rude here. People read it as real interest.
What to do
If you hear nothing after you apply, it is normal to go there or call and ask if they are still hiring. Bring a printed CV and keep it short.

I used Giggó, even though it is mostly in Icelandic

What actually happens
Giggó has small one-off tasks: helping someone move, cleaning after a party, driving something to another town. The app is mostly in Icelandic, so I took screenshots and translated them, to be sure I understood the task, the place and the pay before I said yes.
What to do
Use Giggó for extra money while you look for a real job. Read each task with care and only take what you understand. Write down every payment so you can report it at tax time.
The common trap
Taking cash jobs with no record. Money you do not report can cause tax and immigration problems later, even small amounts. Keep it simple and honest.

I learned that references matter more than I thought

What actually happens
Employers here often ring your old workplace and ask about you. A good word from someone working in Iceland can count for more than a long CV.
What to do
In every job, behave well and leave on good terms. When you resign, do it properly and politely. Ask people before you name them as a reference.
The common trap
Falling out badly with an employer. In a small country, that word about you can follow you for years.

I started below my qualifications

What actually happens
Iceland values local experience. Even if you can do a senior job, you may be asked to start lower while you learn the local system, the language and the way people work.
What to do
See the first job as a way in, not as your final job. Tourism, hotels, cleaning and fish factories often take beginners and hire English speakers fast. After that, references and local experience make the next step easier.
The common trap
Waiting only for a job with your old title. The first job here is usually a bridge, not the end.

Editor's note (opinion)

What I see again and again: people who find good jobs in Iceland do two things at the same time. They apply through the official channels, and they show their face at meetups, union open days and Icelandic classes. This country rewards people who treat arriving as a project of many months, not as a quick job search.

If your qualification was earned abroad

A degree, a trade certificate or a professional licence from another country is not automatically usable here. There are three separate routes, and most people write to the wrong office first. See recognising foreign qualifications in Iceland.

Sources

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