Labour management in building construction has an essential impact on controlling manpowerrnrelated problems. Ineffective construction labour management is always a source of claims,rnconflicts, unproductivity, cost overrun, and delay affecting overall performance of thernconstruction projects causing imperfect competition among local and foreign constructionrncontractors. This study was aimed at conducting a comparative analysis of building constructionrnlabour management practices between local and foreign contractors in Addis Ababa. It isrnimportant to identify the trend gaps between these contractors, and work for improvement. rnThe principal tools used to conduct this research are literature review to select the most commonrnbuilding construction labour management practices identifying 39 factors leading to affectrnmanagement practices, and experiences of other countries; two separate semi-structured surveyrnquestionnaires for contractors at head offices and at project site, and semi-structured interviewrnwith senior Foreman (Craftsmen). Using the Kish sampling technique a total of 112 respondentsrn(i.e. 40 Contractors, 40 Engineers, 32 Foreman (Craftsmen)) has been involved in the study fromrnboth foreign and local construction contractors. The study has used the SPSS software of 20.0rnversion to analyze the responses from survey questionnaire and calculated RII to prioritize thernleading factors. rnThe study has revealed major problems of building construction labour management practicesrnfrom both local and foreign contractors affecting their performance. According to the results ofrnthe study; lack of HRM personnel, technical selection criteria, lack of scheduled training,rnminimum labour wage scale and labour-relation are found to be the major factors affectingrncontractorsâ€™ performance. Comparative study of management-related and labour-relatedrnproblems also has been done. Finally, relevant recommendations for the conclusions made, andrnfuture research areas are forwarded.