Construction in developing countries is still influenced by the labour force. Overall objective of the study is to analyse the challenges for improvisation on labour management system through work efficiency. Department of Hydrology and Meteorology (DHM) office, Department of Food Technology and Quality Control (DFTQC) office building and Dhobi Khola Bridge along Arniko highway- at bijulibazar were selected for the study. Schedule questionnaire survey with labours, interview with agents or labour supplier clients, contractor and their project manager were conducted at each selected site for primary data collection. Attendance records, minute of meetings of all three site as well different journal were analysed and reviewed for collecting secondary data. Fluctuation in availability of labor were found mainly in months of January, June, September, October due to festivals and agricultural purposes as very few of labors were specific labor for the industry. Pilling works were mostly done by the labor from India. Labors form Bardia, Kailali, Kanchanpur, Dhading were expertise for concrete work. Similarly labors from Dolkha, Sindupalchowk, Saptari, Dhading were engaged in from work. Rebar works were found to be performed by the labors from Saptari, Siraha, Udayapur, Sunsari where as labors from Dhading, Sindhupalchowk, India were engaged for brick work. Labors were lacking for piling work, retrofitting and electromechanical works. Labors were not being provided any training nor has any performance test been performed, only 6% of labor were trained rest acquired skill through working experience which is the challenge for immersing work. Construction companies had maintained their labors supply through agents or labors suppliers. In spite of their agreement regarding health and safety facilities, contractors do not provide it to labors satisfactorily. Labors management lacks a definite framework for their development and performance. Labor management should be ensured by ensuring job guarantee, remuneration, health facility, provision of leave and compensation. Construction industries should ensure better labor management by facilitating working condition through clear working methodology and labor card. Regular training, tool box talk should be conducted for skill development. Rather than project award to the lowest bidder priority should be given to specification and working methodology. Health and safety facilities, site infra structure should be incorporated as the submittal of the contract document.