Labour

The Faroese labour force is estimated to about 39 500 persons some 16 000 of which are males and 13 500 females (labour force survey 2008). Arguably, the Faroese labour market is relatively flexible and well-functioning. Since the economic upswing started in the mid 1990s, the unemployment rate has, consequently, dropped continuously from about 19 per cent in 1995 to about 2.3 per cent in 2000. In 2008 the unemployment rate was 1,3 per cent.

Compared to other western countries, a large proportion of the population in the Faroe Islands is in the labour force and available for work. Some 91% of the Faroese population aged 15-64 were in employment in 2008, which is the highest figure for any European country. On the other hand as much as 32 per cent of the active population is only working part time.

A survey by Statistics Faroe Islands in May 2006 showed that the Faroese people are educated on a level comparable to other western countries. 35 per cent of the population aged over 15 has primary school as the highest level of education attained while 43 per cent had secondary level and 22 per cent had tertiary level as the highest level of education attained.