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Job brokers, Ukrainian refugees and tourism in Iceland

Key Insights

Iceland’s long-term and sustainable tourism strategy reflects the sector’s role as the country’s largest export industry, accounting for about 35% of total export revenues. To address this, the Icelandic government has developed a comprehensive Tourism Policy and Action Plan extending to 2030. The policy is built on four pillars and twelve main emphasis points, guiding future actions for sustainable growth. Seven working groups have been formed to elaborate the policy and implement the Action Plan.

Post-pandemic, Iceland has emerged as a global leader in tourism recovery. However, the rapid growth brings both benefits and challenges. While the sector provides employment to approximately 30,000 people, it heavily relies on a foreign workforce that continues to expand. This reliance has created notable issues such as vacant positions, skills mismatches, inadequate staff housing, and high staff turnover. Seasonal employment patterns further complicate staff retention, while broader social changes across Europe impact the availability of tourism labor.

In 2023, Iceland also saw increased asylum applications, with several towns coordinating refugee reception efforts. Refugees were included in employment services provided by job brokers at the Directorate of Labour in the capital area. Employment opportunities were available across all sectors, with tourism playing a significant role in refugee job placements.

EURES Iceland and the Directorate of Labour support these efforts by providing recruitment services tailored to the tourism sector. Their services connect Icelandic employers with qualified candidates, supporting workforce stability and the sustainable development of the tourism industry.

Practical Tools and Methods

Integrating and Supporting Ukrainian Refugees and Disadvantaged Groups in Employment:

Vinnumálastofnun is a key public institution supporting refugees in Iceland. Its counselors assist individuals who have been granted international protection in the country. Vinnumálastofnun’s role encompasses providing employment support, managing Icelandic language and community education for adult refugees, and offering interpretation services. The department’s staff possesses diverse language skills, and online interpreting services are utilized when necessary. 

Advisors offer personalized guidance, help with course attendance, social education, and CV preparation. They introduce the main tools for job searching in Iceland and liaise with economic operators on behalf of the refugees. Additionally, Vinnumálastofnun is responsible for providing housing facilities to refugees. 

Networking and Collaboration in Job Brokerage with the Tourism Industry:

In 2023, the management of Vinnumálastofnun decided that a specialized team, within the organization, would focus on serving our largest industry, tourism. A group of six individuals was tasked with specializing in the sector and establishing active dialogue and cooperation. This team, consisting of employment agents, job brokers and advisors, has been in active communication with tourism stakeholders such as The Icelandic Tourism Association, The Destination Management Organizations of Icland, and key players in the tourism industry. 

Vinnumálastofnun held numerous meetings with these partners to present its services. During these discussions, an increased need for specialized educational offerings focused on tourism emerged, aimed at enhancing knowledge of the industry and increasing retention rates, given the high turnover of staff. Consequently, conversations began with educational providers and lifelong learning centers about educational offerings for job seekers and refugees interested in working in the sector. The first courses were offered at the beginning of 2025 and have already resulted in new employees entering the industry. 

Additional Resources

How can Iceland reconceive its tourism industry in a more sustainable way after the Covid-19 pandemic?:
https://www.diva-portal.org/smash/get/diva2:1618155/FULLTEXT01.pdf

Nordic Regenerative Tourism, NorReg 2022 – A pilot project:
https://www.stjornarradid.is/library/04-Raduneytin/Menningar–og-vidskiptaraduneytid/NorReg%20final%20report%202022%20formatted.pdf

Asylum applications and refugees in Iceland:
https://www.worlddata.info/europe/iceland/asylum.php

Understanding the Iceland Asylum Process and Refugee integration in Iceland:
https://movingtoiceland.com/iceland-asylum-process-refugee-integration/