Parties to the labour market

The labour market is comprised of employers and employees, who enter into employment and receive a salary for their work. The rules of conduct in the labour market are established in acts of law and collective wage agreements that provide for the mutual obligations of employers and employees.

The labour market

  • The labour market is divided into the general sector and the public sector. The general sector consists of the operation of privately owned companies and public limited companies, while the public sector consists of companies and institutions owned by the state and local authorities.
  • Different laws and regulations apply to the general and the public sector.
  • Issues relating to the labour market are administered by the Ministry of Welfare.

Parties to the labour market

  • Umbrella associations of employees, on the one hand, and employers, on the other, are generally referred to as parties to the labour market.
  • Icelandic Confederation of Labour is an umbrella association for employees on the general labour market.
  • Confederation of Icelandic Employers is an umbrella association for employers on the general labour market.

  • Umbrella associations for employees in the public sector are:
  • Association of Academics,
  • Federation of State and Municipal Employees and
  • The Icelandic Teacher´s Union.
  • Issues relating to public-sector employees are generally administered by the Minister of Finance

Links of interest 

Laws and regulations