The relationship between policy uncertainty and unemployment rate in this study is considered to be derived; in mat, the level of unemployment rate is projected to reflect how key macroeconomic indicators such as investments react to policy uncertainty. This study is of the view that since employment growth tend to lag growth in productivity, investments, GDP etc. effects of policy uncertainty on unemployment rate will be channeled through how such performance indicators respond to or perform in an uncertain environment. Consequently, this study projects that if policy uncertainty is verified to impact investment and GDP growth negatively, then the trend will ultimately exert significant negative impact on prevailing unemployment rate all things being equal. In other words, if policy uncertainty depresses investments and GDP growth, (due to conditions such as perceived heightened business risk, investment irreversibility, doubts about permanence of specific policies etc.), then employment opportunities which could have been generated as a result of such investments will also fail to materialize. In such condition, policy uncertainty would be perceived as a remote causal agent responsible for relatively high unemployment rate through its initial impact on investments and GDP growth.