1.12 Employment

Indicator 1.12 - Employment


Visir_1_12This indicator shows information about the labor market in East Iceland.

 

Results


a. New Alcoa and Landsvirkjun employees who are, when hired: East Iceland residents; East Iceland returnees; other Icelanders; foreign nationals living outside Iceland.


Table 1: Residence of new employees when hired in Fljótsdalsstöð Power Station.

Year East Iceland residents East Iceland returnees Other Icelanders Total of hired employees
2006 2 2 1 5
2007 4 2 1 7
2008 1 - 1 2
2009 - - - 0
2010 1 - - 1
2011 1 - - 1
2012 1 - - 1
2013 - - - 0
2014 1 - - 1
2015 1 - - 1
2016 - - - 0

UpdatedJuly 27 2017
Source:
Landsvirkjun (2008-2017)



Table 2: Residence of new employees when hired in Alcoa Fjarðaál in the years 2010 - 2014.

 Year/Recidence East Iceland  Outside East Iceland Abroad
 2010  52%  47%  1%
 2011  55%  45%  0%
 2012  51%  49%  0%
 2013  57%  43%  0%
 2014  77%  19%  4%


UpdatedJuly 27 2017
Source:
Alcoa Fjarðaál (2010-2015)

 

Table 3. Residence of new employees when hired in Alcoa Fjarðaál in the years 2015-2016

  Fjarðabyggð Fljótsdalshérað/Fljótsdalur Other places in East Iceland Outside East Iceland
2015  58.3% 30.5% 4.7% 6.5%
2016  70% 22% 5% 3%

Updated:   July 27 2017
Heimild: Alcoa Fjarðaál (2016 - 2017)



Residence of Alcoa Fjardaál and Fljótsdalsstöð Power Station Employees  in 2008-2016.



Table 4: Residence of Alcoa Fjarðaál employees.

  East Iceland Other places in Iceland Abroad
2008 89 10 %  1 %
2009 88 % 12 %  0 %
2013 91 % 9 %  0 %
2014 93.5 % 6.5 %  0 %
2015 93 % 7 %  0 %
2016  94.6 % 5.4 %  0%



Table 5. Legal residence of Alcoa Fjarðaál employees

  Fjarðabyggð Fljótsdalshérað/Fljótsdalur Other places in East Iceland Outside East Iceland
2016 61.7 % 29.2 % 3.6 % 5.4 %


Updated:   July 27 2017
Heimild: Alcoa Fjarðaál (2008 - 2017)



Table 6: Residence of Fljótsdalsstöð Power Station employees.

  East Iceland Other places in Iceland
2008
92 % 8 %
2009
92 % 8 %
2010
92 % 8 %
2011 100 % 0 %
2012 100 % 0 %
2013 100 % 0 %
2014 100 % 0 %
2015
100 % 0 %
2016
100 % 0 %

 

Updated:  July 27 2017
Source:  Landsvirkjun  (2008-2017).


b. Number and percentage of jobs in key sectors in East Iceland and the country as a whole

Regional analysis of the labor market in East Iceland is not performed annually at Statistics Iceland.  Below are information from 2011 Census.


Updated: July 13 2016

Source : Statistics Iceland 2012



c. Percentage of the workforce in East Iceland working for Landsvirkjun and Alcoa Fjardaál.



Table 7.  Percentage of East Iceland workforce working for Landsvirkjun and Alcoa Fjarðaál

  Landsvirkjun Alcoa Fjarðaál
 2007    4.10 %
 2008  0.16 %  5.94 %
 2009  0.16 %  6.91 %
 2010  0.16 %  6.99 %
 2011  0.18 %  7.13 %
 2012  0.17 %  7.29 %
 2013  0.18 %  6.67 %
 2014  0.19 %  7.12 %
 2015  0.19 %  7.32 %
 2016  0.18 %  7.84 %



Updated: July 27 2017
Source:

  • Alcoa Fjarðaál (2008 - 2017)
  • Landsvirkjun ( 2008 - 2017)
  • Directorate of labour (2017)  retrieved July 27 2017 from https://www.vinnumalastofnun.is/media/1655/atvleysi-mannafli-sveitfel-18-69-fra-2014-arleg-samantekt.xlsx

Metrics, Targets and Monitoring Protocol


What is measured?

a. Percentage of new Alcoa Fjarðaál and Fljótsdalsstöð power plant employees who are (Project effect: direct):

  • East Iceland residents
  • East Iceland returnees (applies to Fljótsdalsstöð, not Alcoa Fjarðaál)
  • Other Icelanders
  • Foreign nationals living outside Iceland

b. Number and proportion of jobs in key economic sectors in East Iceland and nationally. (Project effect: indirect).

c. Percentage of East Iceland workforce working for Alcoa Fjarðaál and Landsvirkjun  (Project effect: indirect).

Monitoring Protocol

  1. The human resources departments in Landsvirkjun and the HR team at Alcoa Fjarðaál collect this information. Contractors report to lead persons within companies, i.e. the "owners" of this indicator. 
  2. Information available from Statistics Iceland. The Hachman Index is used to calculate diversity in East Iceland compared to national economic diversity. Information gathered annually.
  3. Information from Landsvirkjun and Alcoa Fjarðaál compared to information about total workforce in East Iceland from Iceland Statistics. Information gathered annually.

Targets

  1. Construction and operation: Target not applicable. Will monitor and report data. 
  2. Operation: Preserve diversity in employment 
  3. Operation: Proportion will decrease over time

Possible countermeasures

Not applicable, monitoring only.

Changes of indicator

At annual meeting of the initiative on May 6 2015 the following change was approved in the monitoring protocol.

What is measured?

Original text Changed text
Percentage of new Alcoa Fjarðaál and Landsvirkjun employees who are
  • East Iceland residents
  • East Iceland returnees
  • Other Icelanders
  • Foreign nationals living outside Iceland
Percentage of new Alcoa  Fjarðaál and Fljótsdalsstöð power station employees who are.....

No changes  at Landsvirkjun.

Fjarðaál discontinue "East Iceland returnees".
 



Rationale for changes:
Alcoa Fjarðaál does not keep numbers regarding East Iceland returnees. Employees in Alcoa Fjarðaál accountable for the indicator propose that the metric will be discontinued. No acceptable definition exists for the metric and therefore it is impossible to maintain such registration systematically.

Fljótsdalsstöð power station has fewer employees and continues to decide which employees are returnees. 


In  fourth phase of the initiative the numbers of the sustainability indicators were changed.  This indicator war originally number 12.1 and is referenced as 12.1 in early documents of the project.

Baseline

1.12en_baseline

Rationale for Indicator Selection


There is a need to preserve and enhance economic diversity in East Iceland. A diverse economy, without over-reliance on one employment sector, is more likely to be stable for the long term. Both employment directly resulting from Alcoa and Landsvirkjun operations, as well as employment indirectly affected by Alcoa and Landsvirkjun, will be monitored.

The ratio of Alcoa and Landsvirkjun employment to total local employment is measured to help indicate the degree to which the local communities rely on the projects for economic and employment diversity.