This study is an attempt to investigate the determinants of unemployment in Pakistan. Annual data series is used from the period 1977 to 2011. The variables used in this study are inflation, gross fixed capital formation, rate of interest, GDP, unemployment rate and remittances. Unit root test is used to check the properties of time series data. The study has employed ARDL framework to investigate the determinants of unemployment in Pakistan. The study found a negative relationship of unemployment with remittances, GFC, GDP, interest rate and positive with inflation. The value of ECM (-0.6475) also shows a significant speed of adjustment.