Women constitute almost half of the Ethiopian population and without hesitation they play anrnimportant role in economic growth and development. However, women‘s labor forcernparticipation is low when compared to their counterpart males in Ethiopia. As a result of thisrnwomen‘s economic status is lower compared to male and this implies lower output and lowerrneconomic performance in Ethiopia. In Ethiopia there is a labor force participation gap and itrnneeds to be investigated seriously. Many studies had been done with this regard but there arernlimitations in scope and coverage and in addition to this there are contradicting findingsrnconcerning the factors/challenges that affect women‘s labor force participation. Thus, thernpurpose of this research is to find out factors/challenges that determine women‘s labor market inrnEthiopia. In order to identify factors/ challenges that determine women‘s labor forcernparticipation in Ethiopia the Ethiopian Demographic Health survey (EDHS) was employed. Thern2011 and 2016 cross sectional data set were employed and these two data sets were pooled so asrnto increase sample size and observation. This pooled data set is assumed to help identifyrnfactors/challenges that determine women‘s labor force participation in Ethiopia. For the analysisrnof this research paper descriptive and econometric analysis were employed. Specificallyrnlogit/logistic regression model was employed to analysis the econometrics part. The results of therndescriptive statistics indicate that 71.7 percent of women are not participating in labor marketrnand only 28.3 percent of women participate in the labor market. The results of the logit/logisticrnmodel revealed that education level of women, economic status, number of household members,rnhusband‘s education, women‘s age, and sex of household head affects women‘s labor forcernparticipation positively and significantly while number of children age five year and under,rnpregnancy and place of residence rural negatively and significantly affects women‘s labor forcernparticipation. The results obtained from this study have their own implications on women‘s laborrnforce participation in Ethiopia. As a result the findings of this research could invite furtherrninvestigation on factors/challenges that determine women‘s labor force participation and mightrnhelp policymakers to reconsider the issue of women‘s labor force participation and its role torneconomic growth and development in Ethiopia