Immigrants in Iceland: Paid less for same work, while accepting fewer social benefits
New data from Statistics Iceland shows immigrants in Iceland are paid less than Icelanders for the same work, and the wage gap between immigrants and Icelanders is growing. Immigrants are on average paid 8% less than Icelanders for doing the same work. Western European immigrants are paid 4% less than immigrants from a Nordic country, and immigrants from Eastern Europe are paid 6% less for the same work than their Nordic counterparts. Asian immigrants are paid less still than Nordics for the same work, as the wage gap in this instance is 7%. Furthermore, even as immigration to Iceland continues to steadily rise, the wage gap between immigrants and locals is growing, in terms of what is classified as “other income”, i.e. primarily social welfare benefits from the state. The average other income of Icelanders in 2017 was about ISK 1.3 million per year; amongst immigrants, it was ISK 626,000, marking a difference of about 50%.
- The Reykjavík Grapevine -