This research examine the relationship between agricultural sector output and the unemployment rate in Nigeria from 1990-2021. To achieve the aim of the study, data on agriculture sector’s contribution to GDP, agricultural output, government’s expenditure on agriculture and unemployment rate were obtained from the CBN, NBS, ILO, Ministry of Agriculture and the World Bank. The unit root test, integration and error correction model were employed in analyzing the relationship among the variables used in this study. Our results revealed that agriculture sector’s contribution to GDP, agricultural output and government’s expenditure on agriculture have important impact on the unemployment rate in Nigeria for the period under review. Thus, the paper recommends that additional finance be allocated to the agriculture sector at the federal, state and local levels with flexible credit conditions and additional agricultural and rural employment opportunities should be created to absorb the increasing labour force in the nation.