The discussion of the connection between unemployment and inflation crosses a range of economic topics. Researchers and economists focus on the issue since unemployment continues to be one of the global economies. It is generally agreed that achieving price stability will, other things being equal, have a favourable impact on employment and economic growth, particularly if the optimum threshold can be attained. The ideal compromise, meanwhile, seems difficult, and central banks all over the world are vying to boost employment levels without compromising price stability. In this analysis, we use annualised data from 1999 to 2021 to try to understand how unemployment in Nigeria responds to changes in the price level. The ARDL model and the Bound test analytical tools were employed to process the data set. According to the findings, a 1% change in the inflation rate resulted in a 0.13% increase in the unemployment rate in the long run. The parameter estimate indicates that when the exchange rate changed by 1%, the unemployment rate increased by 10.4%. On the other hand, GDP exerted a negative but insignificant influence on the unemployment rate and was correlated with about a 0.29% decline in the unemployment rate. Although there is a long-run relationship between unemployment and inflation, there is a divergence along the equilibrium part that is corrected at a 38 percent annual rate of adjustment. We recommend that, rather than relying solely on monetary targeting as a means of balancing unemployment and inflation levels, output targeting through economic deepening can play a supporting role in maintaining an optimal inflation rate and a minimal unemployment level.