This study aims at investigating the effect of skills acquisition and youth empowerment on the reduction of youth unemployment in Ebonyi State, Nigeria. The study adopted descriptive survey research design. The Economic Survival-Based Theory was adopted. Data for the study were gotten from both primary and secondary sources. The research was conducted in Ebonyi State, Nigeria. A total of 371 questionnaires were administered to respondents using purposive sampling techniques and on the spot filling and collection. The data obtained from the field were subjected to descriptive statistics and correlation analysis, particularly, using Pearson Moment Correlation Coefficient, Microsoft SPSS (version 21). The reliability of the instrument was established using Cronbach Alpha reliability coefficient method. A total of 30 respondents who were not part of the sample were used in testing the reliability of this instrument. The reliability coefficient stood at 0.672. The results of the Mean and Standard Deviation and the testing of the four alternative hypotheses indicate that skills acquisition and youth empowerment have the potential to create employment opportunities and reduce youth unemployment in Ebonyi State, Nigeria. Findings from this study reveal that skill acquisition in the areas of carpentry, fashion design/tailoring business, barbing saloon and handset repairs have empowered the youths meaningfully to generate employment and reduce unemployment in Ebonyi State, Nigeria. The study also reveals that most youths accept political appointment as empowerment owing to the fact that they lack requisite skills and startup capital to be independent and self-reliant. The study show that most youths prefer skills acquisition and startup capital to start a venture of their own and be self-reliant than political appointment. The study concluded that the strategies of empowerment adopted by government through the offering of political appointment to young graduates without skills is erroneous and same does reduce unemployment per se. Based on the findings, the study recommended, amongst others that, skill acquisition should be made compulsory from secondary school to tertiary levels, such that every graduate irrespective of one’s course of study should possess one skill as a prerequisite for graduation. The centre for the skill acquisitions in each institution should certify the student before graduation. It is also recommended that technical and vocational devices, machines and tools necessary for takeoff of every graduate with a requisite skill should be made accessible and supplied free of charge. Also, that there is need for reorientation of the youths in line with the present economic realities in order to obviate self-pride and shame and avail themselves with the skills acquisition opportunities available to them.